Social license to automate batteries? : Australian householder conditions for participation in Virtual Power Plants

Energy companies and new aggregation businesses have recently promoted Virtual Power Plants (VPPs) to solve many problems in energy systems by aggregating and coordinating rooftop solar and household batteries to act in unison. If successful, they could support deployment of renewable generation into electricity distribution networks and enable households to access multiple value streams for their assets, through participation in markets for wholesale energy and system services and payments for network support. However, while residential battery purchase may be more financially attractive if combined with VPP participation, households remain cautious about participation. This paper examines the social factors behind this gap between industry promise and the very low household uptake of VPPs in Australia. We present the key findings from a qualitative study (n = 47) of Australian residential energy users' motivations towards, and conditions for, participation in a hypothetical battery-based virtual power plant. We find that users' willingness to participate in a VPP is affected by their motivations for solar and battery purchase. In particular, VPP participation can conflict with goals of independence from the grid and security of supply. Furthermore, the financial benefits may be more attractive to households who have not already embarked on a ‘sustainability journey’ by purchasing solar and/or a battery. We also find that environmental and social benefits can help motivate VPP participation, provided transparency and fairness in the distribution of benefits are assured through regulation or operation by a trusted broker.