How will the residential virtual power plant software market in Europe and North America evolve in 2026 and beyond? Berg Insight estimates that there were 13.9 million residential DERs connected to VPP software platforms in the two regions at the end of 2025. Residential VPPs aggregate DERs installed in homes, primarily smart thermostats, EV chargers, home batteries, heat pumps and rooftop solar PV systems. Until 2030, Berg Insight forecasts that this number will grow at a compound annual growth rate of 18.1 percent to reach 32.0 million at the end of the period. Get up to date with the latest trends and information about vendors, products and markets.
Highlights from the report:
- 360-degree overview of the residential virtual power plant ecosystem.
- Summary of key industry trends in residential DER aggregation and grid flexibility.
- Statistical data on connected residential DERs and flexible capacity in Europe and North America. Market forecasts lasting until 2030.
- Reviews of the latest initiatives launched by utilities, energy retailers, DER OEMs and specialist VPP platform providers.
- Profiles of the key companies active in the residential VPP market.
- Comparative analysis of the leading players in Europe and North America.
Table of Contents
Table of Contents
List of Figures
Executive Summary
1 Introduction
- 1.1 The electricity market
- 1.1.1 Europe
- 1.1.2 North America
- 1.2 Virtual power plants
- 1.2.1 Distributed energy resources
- 1.2.2 VPP software solutions
- 1.2.3 Value proposition of VPPs
- 1.3 Market drivers
- 1.3.1 Growing EV and renewable adoption increase electricity demand and volatility
- 1.3.2 VPPs enable deferred or avoided electricity infrastructure upgrades
- 1.3.3 Increasing electricity prices
- 1.3.4 Declining costs of solar PV, battery storage systems and other DERs
- 1.3.5 Value stacking improves the economics for homeowners
- 1.3.6 FERC Order 2222 unlocks DER market access in the US
- 1.3.7 NC DR framework to facilitate small-scale DER market participation in the EU
- 1.3.8 P415 is reshaping access to flexibility markets for DERs in Great Britain
2 Communications Technologies and Standards
- 2.1 3GPP cellular
- 2.2 Wi-Fi
- 2.3 DER standards and protocols
- 2.3.1 EcoPort/CTA-2045
- 2.3.2 EEBus
- 2.3.3 IEEE 2030.5
- 2.3.4 ISO 15118 - Plug & Charge
- 2.3.5 Matter
- 2.3.6 Modbus
- 2.3.7 MQTT
- 2.3.8 OpenADR
- 2.3.9 Open Charge Point Protocol (OCPP)
- 2.3.10 SG-Ready
- 2.3.11 SunSpec
3 Company Profiles and Strategies
- 3.1 Aggregators and market participants
- 3.1.1 1KOMMA5°
- 3.1.2 Axle Energy
- 3.1.3 Base Power
- 3.1.4 CheckWatt
- 3.1.5 David Energy
- 3.1.6 EnergyHub (Alarm.com)
- 3.1.7 Flexa (Enpal)
- 3.1.8 Flower Infrastructure Technologies
- 3.1.9 Frank Energie
- 3.1.10 Generac
- 3.1.11 Greenely
- 3.1.12 Joulen
- 3.1.13 Kaluza (OVO Group)
- 3.1.14 Kraken Technologies
- 3.1.15 Leap
- 3.1.16 Lumenaza
- 3.1.17 Lunar Energy
- 3.1.18 Ostrom
- 3.1.19 Renew Home
- 3.1.20 Sonnen (Shell)
- 3.1.21 Tesla
- 3.1.22 Tibber
- 3.1.23 Uplight
- 3.1.24 Voltalis
- 3.1.25 Voltus
- 3.2 VPP enablers and platform providers
- 3.2.1 Beebop.ai
- 3.2.2 Derapi
- 3.2.3 Eniris
- 3.2.4 Enode
- 3.2.5 ENSEK (Centrica)
- 3.2.6 Fever Energy
- 3.2.7 GridX (E.ON)
- 3.2.8 Kiwigrid
- 3.2.9 Podero
- 3.2.10 Saveeye
- 3.2.11 Smartcar
- 3.2.12 Texture
- 3.2.13 Virtual Peaker
4 Market Analysis and Trends
- 4.1 Market forecasts
- 4.2 Value chain analysis
- 4.2.1 Aggregators and market participants
- 4.2.2 VPP enablers and platform providers
- 4.3 Trends
- 4.3.1 Cellular connectivity enhances the reliability of DERs
- 4.3.2 Vehicle-to-grid to drive significant growth in VPP capacity
- 4.3.3 MARI and PICASSO enable cross-border energy balancing in Europe
- 4.3.4 VPPs become critical as energy demand and volatility surge
- 4.3.5 Reducing friction and providing strong incentives are key to VPP participation
- 4.3.6 HVAC to remain a primary driver of residential VPP capacity growth
List of Acronyms and Abbreviations