Toshiba, ITRI to explore virtual power plant strategies in Taiwan

Toshiba Energy Systems and Solutions Corp (Toshiba EES), a unit of Japanese conglomerate Toshiba, and Taiwan’s Industrial Technology Research Institute (ITRI) have signed a memorandum of understanding to pursue virtual power plant (VPP) opportunities in Taiwan with a focus on reinforcing the stability of the nation’s grid and infrastructure.

In a press statement, the companies said they will “validate and demonstrate” market trading operations and resource management strategies to focus on stability and resilience.

The effort will focus on Toshiba’s resource aggregation technologies, including predictive analytics for power generation.

ITRI will share insights into the energy market framework for Taiwan, and provide demand response technologies, and battery energy storage system integration insights.

Toshiba notes that Taiwan aims for renewables to account for 27%-30% of its energy mix by 2030. The Taiwanese government has previously vowed to reach a 20% goal for renewable sources in electricity generation by 2025.

An S&P Global report suggested that in 2023, the renewable mix into the Taiwanese grid was around 9%. In addition, with Taiwan experiencing regular earthquakes and typhoons, additional resilience via battery systems are in high demand.

The Japanese group said it will contribute its expertise in resource aggregation technologies, including predictive analytics for power generation, renewable energy, and battery storage. ITRI, in turn, will share its knowledge of the country’s energy market framework and its technologies for the Demand Response system and battery energy storage system integration.

Toshiba has worked at both utility-level and residential level in its VPP services in Japan, and sells renewable energy to retailers and consumers as an aggregator in the country.

Toshiba previously partnered with German virtual power plant operator Next Kraftwerke to establish VPP capabilities in Japan, after the country opened up Japan’s grid control reserve market in 2021. It further introduced what it called AI-driven renewable energy aggregation services in Japan in 2022.

As early as 2013, Toshiba had been investing in VPP technology, acquiring an Austrian developer and provider of intelligent energy management solutions, CyberGrid.