Israel’s SolarEdge, which recently formed a joint venture to implement solar energy initiatives in Riyadh, has taken another significant step by joining a program to enhance the stability of Colorado’s electricity grid.
On Tuesday, the company announced its inclusion in Xcel Energy’s new “Renewable Battery Connect” Virtual Power Plant (VPP) incentive program in Colorado.
Residents participating in this initiative can earn significant financial incentives by contributing the energy stored in their home battery back to the grid during periods of high demand. This arrangement allows SolarEdge’s customers with home batteries to play a role in stabilizing the community’s electricity grid while reaping financial rewards.
Stabilizing the power grid and reaping the profits
“We collaborated closely with Xcel Energy to create a program that addresses the specific energy requirements of the state of Colorado,” said Peter Matthews, SolarEdge’s CEO for North America. “By leveraging our unique technological capabilities, we enable our customers to be part of the solution. The integration of our technology and software capabilities lays the foundation for the growth of grid stabilization programs in the future as part of the transition to a green and sustainable economy.”
The company explained that its direct coupling solution has the potential to offer an additional 7% solar power output because of the efficiency achieved by circumventing the “triple-conversion penalty.” Compared to alternating coupling alternatives, this solution requires two fewer power conversions.
As part of the new program in Colorado, automated management of energy charging and discharging from the home battery will be possible during “scheduled grid events” to which participants sign up. This simplifies the process for program participants and the local utility company.
Colorado’s new incentive program joins SolarEdge’s expanding portfolio of grid services, which saw 70% growth in sites enrolled globally in the second quarter of 2023, the company said. In the US, 16% of the company’s battery installations are now enrolled in grid services programs.
SolarEdge is Israel’s largest solar energy company.