Google and Voltus expand PJM virtual power plant to 1GW from 100MW

Google and Voltus will build a 1GW virtual power plant across PJM Interconnection, ten times the size of the 100MW agreement the two signed in June. Data Center Dynamics reported the expansion on Oct. 22 and said the deal is expected to last approximately three years.

Voltus assembles the plant from flexibility that already exists on the grid: smart thermostats, batteries, commercial cooling systems and industrial equipment belonging to businesses and households. It bundles that capacity into a portfolio Google funds. When demand peaks, the platform temporarily reduces those assets' consumption and pays participants for the reduction. The aggregate is dispatched as capacity that relieves stress on the grid.

Ellen Zuckerman, Google's head of energy market development for North and South America, described the result as "one of the largest known distributed capacity portfolios deployed by a hyperscaler to date." Data Center Dynamics described it as the biggest VPP deal signed by a hyperscaler so far.

Voltus connects distributed resources to all nine wholesale markets in North America and reports more than 7.5GW of DERs in operation. It launched the Bring Your Own Capacity product last October, and in February agreed with Octopus Energy US to offer BYOC solutions to utilities, grid operators and data center developers.

Voltus markets the BYOC product to developers as a route to market-accredited capacity that does not depend on a queue position.

Google is again buying coordination of hardware that already exists rather than new generation, as it did with the PG&E virtual plant covered in September. The coverage gives no price for the 1GW and no per-kilowatt payment to participants.