Virtual Power Plant (VPP) in NSW

Earn with Your Solar Battery

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Thinking about joining a virtual power plant (VPP) in NSW?

A VPP connects thousands of home and small-business solar batteries so they act like one power station.
During peak times, these batteries supply VPP power back to the grid - helping to reduce bills, earn rewards and support clean energy in Australia.

Learn more about our Solar Battery Storage Systems

What is a Virtual Power Plant?

Battery Storage System with Lithium Batteries

In simple terms, a virtual power plant (VPP) is a network of solar batteries linked by smart software. When electricity demand is high, the VPP draws small amounts of energy from each connected battery. Together, this behaves like one large generator.

Features of a VPP:

  • A smarter way to manage clean energy.

  • A coordinated system that helps stabilise the grid.

  • In New South Wales, a VPP is part of a government-supported program that rewards households and small businesses for connecting.

NSW VPP Rebate and Incentives:

From 1 July 2025, the NSW Government offers up to $1,500 when you connect a solar battery to an approved VPP. This NSW VPP rebate applies to both homes and small businesses. It can also be combined with the Federal Cheaper Home Batteries Program, saving you even more.

VPP battery rebates reward you for eligible solar battery systems. Simply connect your battery to create a solar battery VPP and start earning credits. Compatible systems are controlled automatically during events.

Solar Battery Storage System Panels placed on top of battery

Why Join a VPP in NSW?

  • Financial Benefits – Earn bill credits or event payments when your battery supports the grid.

  • Grid Support – Reduce blackouts, support renewable integration.

  • Best VPP NSW Options – Multiple providers to choose from.

  • Flexibility – Most modern batteries can join; you decide which program suits you.

VPP Providers in NSW

Here are the main VPP providers NSW homeowners and businesses can choose from:

Provider Program Name How It Works Rewards Lock-in
AGL VPP AGL Virtual Power Plant Bring-your-own or bundled batteries, controlled events $200 welcome, $1/kWh bill credit BYOB flexible, 5-yr if bundled
Origin Energy Origin Loop VPP Automates battery use based on grid demand Bill credits Contracted
Amber SmartShift VPP Links battery to wholesale price spikes Earn during price events Amber retail only
ENGIE ENGIE VPP Aggregates home batteries for predictable returns Monthly credits Varies
EnergyAustralia PowerResponse VPP Uses home batteries for grid support events Bill credits Flexible
Nectr Nectr VPP Smart battery control with feed-in rewards Bill or feed-in credits Varies
Powershop Grid Impact VPP Battery dispatch for network support Fixed credits Varies
GloBird ZEROHERO VPP Aggregates customer batteries for energy trading Incentives & feed-in rates Confirm NSW
Evergen Evergen Platform Partner software powering many retailer VPPs Varies by retailer Software only
Enphase Enphase VPP Hardware platform integrated with retailer offers Retailer-based rewards N/A
Growatt Via Discover Energy API-based control of Growatt batteries Feed-in & credits Retail-based
Tesla (SA model) Tesla VPP Large-scale SA project; NSW via retailer integration Rewards depend on provider N/A
Pointing to a design on laptop

How to Join a VPP

  1. Install or confirm that your VPP battery is compatible.

  2. Choose one of the VPP providers in NSW that fits your goals.

  3. Apply through your retailer or aggregator.

  4. Claim the NSW VPP rebate and start earning.

FAQ: Virtual Power Plants (VPP) in NSW

  • A virtual power plant is a network of distributed energy resources eg. home and business solar batteries - linked and managed by smart software. Together these systems act as a single large power station, helping stabilise the grid and rewarding owners with payments or credits.

    Source: Clean Energy Regulator – Virtual Power Plants

  • Yes. From 1 July 2025, eligible NSW homes and small businesses that connect their battery to a VPP can claim up to $1,500 under the state scheme. This stacks with the Federal Cheaper Home Batteries Program for even bigger savings.

    Source: NSW Climate and Energy Action - official program

  • A VPP program is an offering from a retailer or aggregator (like AGL, Origin or Amber) that allows you to enroll your battery into a managed network.
    The program sets the rules for when your battery is charged/ discharged and what rewards you’ll receive (bill credits, cash payments or rebates).

  • A VPP payment is the financial benefit you receive when your battery participates in grid events.
    This may include:

    • Upfront NSW VPP rebate (up to $1,500)

    • Ongoing bill credits or cash for energy discharged

    • Feed-in tariffs or wholesale market earnings (with some providers like Amber)

  • Any homeowner or small business in NSW with a compatible solar battery can join. Most modern batteries (eg. Sungrow, GoodWe, Tesla Powerwall, Growatt) are eligible. Your installer or retailer will confirm compatibility.

    • Financial rewards: Credits or rebates reduce payback time on your battery.

    • Energy independence: Optimise when to buy, store or sell power.

    • Grid stability: Support NSW in meeting renewable energy targets.

    • Best VPP NSW choice: Compare providers to find the right mix of payments and flexibility.

  • No. VPP providers typically only draw from your battery during set ‘dispatch events’, usually when demand is very high. You still use your stored energy for your own home or business outside these events.

  • Leading VPP providers NSW include:
    AGL, Origin Loop, Amber SmartShift, ENGIE, EnergyAustralia, Nectr, Powershop, GloBird ZEROHERO, and Evergen (platform).
    Each has different payment structures, levels of control and contract terms.

  • Not exactly. The VPP rebate in NSW is a new scheme rewarding you for connecting to a VPP. The older upfront battery rebates ended in June 2025. Going forward, the focus is on supporting VPP solar batteries that help stabilise the grid.

  • Small businesses in NSW are eligible. By connecting your VPP battery at work, you can access the same incentives and payments as residential customers.
    Larger commercial and industrial sites may be able to join special business VPP programs.