Getting bang for your buck: telcos and virtual power plants

The idea behind virtual power plants (VPPs) is to use excess energy supply from infrastructure companies to help with the stability of the electricity grid and provide a source of revenue. While VPPs are nascent, there is growing interest from telecoms operators and their vendor suppliers, with a potential win–win in terms of sustainability and P&L.

GSMA Intelligence recently published a report: Telcos and virtual power plants: green energy, green profit. This explored the rationale behind VPPs and the potential revenue models available. However, there will be more to explore over time, reflecting the many moving parts. To shine a light on some of the topics, GSMA Intelligence will be releasing two Insight Spotlights. This first analysis focuses on the financial incentive behind VPPs, while the second report in April will cover implementation models and go-to-market considerations.