Hitachi Energy to enhance Zhejiang Energy Group’s VPP services

Hitachi Energy has made a partnership with Zhejiang Energy Group to provide advanced digital solutions and consulting services aimed at improving the Smart Settlement of the Group Power Station (VPP) in Zhejiang Province, China.

Cooperation will integrate the VPP platform smoothly into the current energy system operations and enable full participation in local electricity market transactions.

In 2024, Zhejiang has presented policies that encourage VPPS’s participation in auxiliary services markets through both policy incentives and market mechanisms.

In this strategic step, Hitachi Energy provided consultations to help the Zhejiang Energy group launch the opening VPP project.

The project merges the various resources that provide auxiliary network services, which improve regulatory capabilities and demand dynamics.

The development of the algorithm for trading and settlement strategies will be part of Hitachi’s contribution as well as support for the necessary devices.

The implementation of these promotions supports the use of the most effective resources in the Zhejiang province, known as high industrial activity and where electricity consumption exceeded 678 billion hours (KWH) in 2024 – an annual increase of less than 9.5 %.

The VPP platform provides auxiliary services including adjustment of peak loading and response to frequency through smart reactions between power supply, loads and storage systems.

VPP currently connects more than 200 user resources inside the province, VPP collects multiple forms of energy, including storage capabilities and adjustable loads.

The published digital coordinated control technologies provide actual time reinforcement-necessary to maintain the balance between demand pressure with supply while ensuring the stable network operation.

It also plays a vital role stabilizing against intermittent renewable energy fluctuations, thus improving the efficiency of the use of renewable resources throughout the Zhejiang.

“Hitachi Energy to promote VPP services from the Zhejiang Energy Group group” was originally created by Power Technology, a brand owned by Globaldata.

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