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Virtual Power Plant (VPP) Demonstrations

AEMO is collaborating with the Australian Renewable Energy Agency (ARENA), the Australian Energy Market Commission (AEMC), the Australian Energy Regulator (AER), and members of the Distributed Energy Integration Program (DEIP), to establish the VPP Demonstrations.

These demonstrations are the first step in a broad program of work designed to inform changes to regulatory frameworks and operational processes so Distributed Energy Resources (DER) can be effectively integrated into the National Electricity Market (NEM), maximising value to consumers while also supporting power system security.

A virtual power plant (VPP) broadly refers to an aggregation of resources (such as decentralised generation, storage and controllable loads) coordinated to deliver services for power system operations and electricity markets.

VPP Demonstrations launch July 2019

AEMO is establishing a framework to allow VPPs to demonstrate their capability to deliver services in contingency FCAS and energy markets. The VPP Demonstrations will allow participating VPPs to trial a new specification to deliver contingency FCAS, and AEMO will observe how VPPs respond to energy market price signals as non-scheduled resources. By trialling VPP operations while their aggregated fleets remain of a small scale, the VPP Demonstrations aim to inform the effective integration of VPPs into the NEM before they reach large scale.

The VPP Demonstrations aim to:

  • Allow VPPs to demonstrate their capability to deliver multiple value streams across FCAS, energy and potential network support services.
  • Provide AEMO with operational visibility to help AEMO consider how to integrate VPPs effectively into the NEM.
  • Assess current regulatory arrangements affecting participation of VPPs in energy and FCAS markets, and inform new or amended arrangements where appropriate.
  • Provide insights on how to improve consumers’ experience of VPPs in future.
  • Understand what cyber security measures VPPs currently implement, and whether their cyber security capabilities should be augmented in future.

The VPP Demonstrations are now open for enrolments. AEMO's full media statement can be seen here.

Information on the final design of the VPP Demonstrations program and how to enrol can be found in the following documents:


As part of the October release (R2) of the VPP demonstrations, AEMO introduced the new API Management Platform (APIGEE) to VPP trial participants. All the participant facing APIs are deployed on the APIGEE platform.  

The VPP Demonstrations participants will now be able to consume the Enrolment, Contingency FCAS Response and VPP Operational data APIs. This allows VPP Demonstrations participants to submit data in real time. 

The external APIs enables AEMO to:

  • Access near real time data from VPPs;
  • On-board new proponents into the VPP trials. 

The VPP Demonstrations participants are now able to submit new site and DER device information on a regular basis as their fleet size grows.

For more details on these participant facing API’s please refer to below links.

Arena funding announcement April 2019

AEMO has secured funding from the Australian Renewable Energy Agency (ARENA) for its Virtual Power Plant (VPP) demonstrations to advance the integration of Distributed Energy Resources (DERs) in Australia’s electricity network. AEMO's full media statement can be seen here.

Consultation Paper November 2018

In November 2017 AEMO published a consultation paper to seek feedback on a proposed framework for the VPP Demonstrations.

AEMO held two stakeholder webinars to facilitate further discussion on the consultation paper prior to a deadline for written submission. The details for these webinars, and the non-confidential written submissions received are below.  

VPP Demonstrations Webinar #1 on 4 December 2018

VPP Demonstrations Webinar #2 on 17 December 2018


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