Voltalis is making a significant £1 billion investment in the UK energy sector, marking a pivotal shift in electricity use management. The company aims to connect 1.5 million devices, not merely to save energy but to create virtual power plants capable of instant demand response. This move is facilitated by Ofgem's new reforms, which could fundamentally alter how consumers interact with the power grid and potentially lower energy costs.
Voltalis's plan involves enabling up to 5GW of peak demand-response capacity across UK homes and businesses by 2030. This investment underscores the UK's need for greater grid flexibility, particularly as it integrates more intermittent renewable energy sources into the grid.
"Freeing up that demand at those peak periods of time, using digital technology and AI to do that is exactly where we want to be," said UK Industry Minister Sarah Jones, highlighting the importance of demand-side response in driving decarbonisation.
According to Pierre Bivas, CEO of Voltalis, the company's demand-flexibility technology is crucial in balancing supply and demand when renewable generation fluctuates: "There needs to be a way to balance supply and demand when renewable generation fluctuates. It will often be necessary to reduce or delay part of electricity demand until times when solar and wind generation is abundant and cheap".
Voltalis's investment is a direct response to Ofgem's approval of the P415 modification, which has opened up the GB wholesale energy market to demand response services like those provided by Voltalis, putting it on a level footing with traditional energy generation.
UK Investment and Demand Response Innovation
Voltalis, Europe's leading flexibility management operator, has committed to a £1bn investment in the UK energy sector by 2030. This move follows Ofgem's recent demand response reform, which has created new opportunities for energy management solutions in the British market.
Voltalis, a pioneer in demand response technology, has connected over 1.5 million devices across eight European countries. Their smart system helps balance the power grid by encouraging users to reduce electricity consumption during peak periods, using digital technology and AI to make it happen seamlessly.
Industry minister Sarah Jones has thrown her support behind the initiative, recognizing demand-side response as a key player in the country's economic transformation. "We have to grasp the new technologies of the future and that has to be at the forefront of everything we do if we're going to transform the economy in the way that voters have told us we must do," she said, according to.
Voltalis's investment aims to enable up to 5GW of peak demand-response capacity by 2030, leveraging their existing technology and partnerships with energy suppliers and cities. The company has already proven their financial prowess by securing significant funding for similar projects in France. They're using a project finance structure similar to those used in renewable energy projects. The initiative is particularly valuable during periods of dunkelflaute, when wind and solar generation are low.
The company's expansion into the UK market is part of their larger vision to deploy 10GWp capacity across Europe by 2030. With over 500 employees and a track record of success since 2006, Voltalis is well-positioned to transform how the UK manages its energy consumption.
Pierre Bivas, CEO of Voltalis, emphasized the importance of demand-side response in the UK market. "What is important in Ofgem's decision is that it makes it free for consumers to install automated and remotely operated DSR technology, like that which is offered by Voltalis," he said, according to. "A free solution makes it much easier to quickly engage hundreds of thousands of consumers, and thus build gigawatt-scale virtual power plants needed to deliver those tens of terawatt hours per year of flexibility in the system."