Our LG Home Batteries are eligible for 4 virtual power plant (VPP) programs across Australia, one of the largest selections out of any other home battery system. VPP’s are a great way to earn extra income and by joining a program you can become eligible for several financial incentives and benefits.
See the table below to see which VPP program is most suitable for your household or business.
Last updated: 21st July 2021
We will continue to update the list in the event that LG Home Batteries join new VPP programs or if information changes. The data above is given off current reports however you should always contact the VPP provider prior to registering your participation to confirm its VPP policy.
What do all these terms mean? Let us go through each of them to help you understand the VPP terms you may come across.
What is a virtual power plant (VPP)?
A virtual power plant is a network of distributed energy sources such as solar panels and home batteries. These power sources are interconnected and operated together through a central command point within the Virtual Power Plant. However, each power source is both operated and owned independently.
A VPP subsidy can be seen as a discount or incentive for signing up and being a part of that VPP program. All VPP programs offer different VPP subsidies and most provide a more cost-effective solution for owning a solar battery.
Each VPP partner/program will have specific requirements that are needed to be met before joining. These requirements can include things like location, solar capacity, and energy provider.
Number of places in a program
Some VPP programs have a limit in the number of users that can participate. However, some programs also offer an unlimited number of spaces.
Feed-in/usage tariffs offered
This is a term many solar owners will come across and refers to the monetary amount that you pay and are paid for when providing and receiving energy to the grid. Different VPP programs may offer various VPP tariffs so it is always best to check.
Minimum energy storage capacity reserved for homeowner
This refers to the percentage of the battery which is solely reserved by the homeowner. A VPP operator will cycle energy through the battery during a ‘VPP event’, regardless of your energy needs or usage. Take this figure in mind when deciding on a VPP as it may impact the amount of energy you have in your battery at any given time.
Contract term length
Some VPP programs may require you to sign a contract before joining, some do not.
Contract cancellation fee
This is the fee that you incur when exiting the VPP before the contract ends. Some VPP programs have an exit fee whilst others do not, make sure to check the terms and conditions before signing up so you are not met with any unexpected costs during your VPP journey.