Earn money by selling your battery’s extra energy to the electricity grid. Pay off your solar panels and battery faster and help keep your neighbours’ lights on.
How it works
Virtual Power Plants (VPPs) connect individual power resources, like batteries, into big groups that can support the electricity grid. Joining one means you can share any extra energy you have with the grid when it’s needed, like hot summer days when everyone’s running air conditioning.
If you have a compatible battery, there’s no extra equipment required because your VPP provider manages the VPP remotely. You’ll get paid for any energy you sell, either with a direct payment or credit on your bill. You might also be eligible for extra incentives when you sign up.
Who it’s best for
Joining a VPP can be a smart choice if you’re a home or small business who owns or is installing a compatible battery. It can help you make the most of your investment and pay it back faster.
To join a VPP, you’ll need:
- a compatible battery to store your excess power
- a reliable internet connection and invertor so your battery can be managed remotely.
How much you can save
Help make our energy system more reliable, reduce reliance on fossil fuels, lower energy prices and support your community.
How much it will cost
It’s free to join a VPP if you have a compatible home battery. If you don’t already own a battery there’s incentives to help you get set up. You can also receive incentives for signing up to a VPP, which will help with the cost of installing a battery.
Case study
"We get to control our energy system completely as part of a VPP. So I can decide when I want to sell power into the grid or I can leave it to my provider to make that decision for me.
I can also buy power from the grid when it's very cheap, and I can sell it back into the grid when the feed-in tariff is much higher."
– Ken and Corinne, NSW homeowners on building their own power system by installing solar, home battery and joining a Virtual Power Plant (VPP).
Get started
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Choose your VPP provider
- Research multiple VPP providers and the different conditions they offer. View our list of providers eligible for the NSW Government incentives.
- Each VPP provider offers different prices for your excess electricity, and different conditions for when they’ll access some of your battery.
- Some providers offer incentives when you sign up. They may also offer you fixed payments or pay you when your battery is used.
- Read the program terms and conditions of your contract carefully to make sure you’re getting the best deal for you and your home or business.
- Talk to your VPP provider to work out if your battery is eligible to join their VPP.
- Research multiple VPP providers and the different conditions they offer. View our list of providers eligible for the NSW Government incentives.
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Join a VPP
- Joining is a simple sign-up process with your selected VPP provider and doesn’t require further installation steps.
- Depending on your VPP provider, you may need to change your electricity retailer. Not all electricity retailers are compatible with VPPs.
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Get the most out of your VPP
- Once you’ve joined a VPP, the process is fully automated. You just need to keep your battery system connected to the internet so it can communicate with the VPP.
- Track your impact by using your provider’s app or website to monitor performance, payments, and energy savings.
- Depending on your VPP provider, you may be able to choose to charge your battery when electricity prices are cheaper. You may also be able to choose when to sell your battery’s electricity. Check what options are on offer by different providers.
How to get financial help
There’s NSW and Australian Government support to both install a VPP-compatible battery and to join a VPP. You can combine them to reduce your upfront costs and help pay back your battery faster.
NSW Government’s Virtual Power Plant incentive
If you’ve already got a battery, you can receive an incentive from the NSW Government to connect your battery to a VPP.
- Who it's for: NSW residents connecting a battery up to 28 kWh in size to a VPP.
- How it works: You receive an incentive for connecting your battery to a VPP. The incentive amount varies depending on the provider and the other conditions they’re offering. The incentive can be either upfront or ongoing payments.
- How to access it:
- Compare VPP providers, choose the best offer for you, and your chosen provider will check your eligibility.
- The VPP provider will give you a contract and/or nomination form. You must sign this paperwork so you can receive your incentive.
Available incentives
Australian Government’s Cheaper Home Batteries Program
If you don’t already have a battery installed, you can get a discount through the Cheaper Home Batteries Program. All batteries eligible for this program are VPP-compatible. Once you’ve got a battery installed, you can connect to a VPP.
- Who it's for: All homeowners and businesses installing a new, eligible battery system connected to solar panels.
- How it works: You get an upfront discount of around 30% on batteries between 5 kWh to 100 kWh in size. Note, that to receive the NSW Government’s VPP incentive you are only eligible for batteries 28 kWh and smaller. Your installer will provide the exact value of this discount on the quote they provide you.
- How to access it: Pick a Clean Energy Council-approved battery and a Solar Accreditation Australia installer. Your installer will provide the discount to you upfront in the quote they give you.
This program covers out-of-pocket costs with low-interest green loans from participating banks and lenders.