- Insights from the US Virgin Islands and guidance for implementation in the Caribbean and beyond.
However, VPPs offer a promising solution by aggregating distributed energy resources such as rooftop solar panels and battery energy storage systems, as well as flexible loads like electric vehicle chargers and smart thermostats, to provide energy, capacity, or ancillary services to the grid through the VPP aggregator. By increasing the contributions of decentralized and distributed energy resources, VPPs can enhance energy resilience, reduce electricity system costs, and provide greater flexibility for electricity generation and ancillary services requirements on the grid. This report presents an in-depth analysis of these benefits, using a case study from the US Virgin Islands (USVI) to demonstrate how VPPs can stabilize the grid to enhance energy resilience and bolster disaster preparedness, while also improving overall system affordability and flexibility.
Beyond the US Virgin Islands, the report extends its findings to the broader Caribbean region, evaluating the scalability and replicability of VPP programs across other island nations. It examines how tailored strategies can facilitate successful VPP implementation, considering the unique characteristics of each country’s electricity system. Additionally, the report provides actionable recommendations for policymakers, utilities, and stakeholders aiming to transition to cleaner, more resilient energy solutions. By reducing dependence on fossil fuels, VPPs not only mitigate greenhouse gas emissions but also support global climate goals while fostering energy independence. Ultimately, VPPs can pave the way for a more sustainable and secure energy future across the Caribbean and other island nations.
Download the full report HERE
Authors: Zsaria Diaz, Sidney Jules, Lillie Ogden
The authors would like to thank Virgin Islands Energy Office (VIEO) Director Kyle Fleming, VIEO Energy Policy Analyst Kieshawne Green, and RMI Islands Energy Program Director of Projects Christopher Burgess for their contributions to this report
This article was originally published by the RMI and is republished with permission through the Creative Commons CC BY-SA 4.0 license.
