Virtual Batteries

What is the Concept of Virtual Batteries?

Virtual batteries represent a service provided by select electricity companies, allowing surplus energy generated by photovoltaic systems to be stored virtually for future use. Unlike physical battery systems, virtual batteries function as a method of tracking and accounting for excess energy produced but not immediately consumed, with compensation provided by the contracted supplier.

How Does a Virtual Battery Operate?

The operational specifics of virtual photovoltaic self-consumption batteries vary among electricity providers. However, the general process typically unfolds as follows:

1. Home Energy Generation: Energy generated by the residential photovoltaic system is primarily utilized to meet the immediate consumption requirements of the household.

2. Surplus Integration into the Grid: If the energy produced exceeds the home's current consumption, surplus energy is directed back into the electricity grid.

3. Financial Reimbursement: As surplus energy is injected into the grid, the equivalent amount is virtually stored, akin to a digital piggy bank. The supplier then compensates the system owner financially for the surplus energy contributed.

4. Billing Benefits: The accumulated balance in the digital piggy bank, directly influences the electricity bills of the photovoltaic system owner. The extent of the discount applied may vary based on the energy compensation policies implemented by the supplier.