GridBeyond has raised €12 million ($13.8 million) in a new equity funding round to expand its virtual power plant technology designed to balance electricity supply and demand on modern power grids. The Dublin-based company develops software and hardware systems that connect renewable energy sources, batteries, and industrial power users so they can operate collectively as flexible energy resources.
The funding round was led by Samsung Ventures, with participation from investors including ABB, Act Venture Capital, Alantra Energy Transition Fund, Constellation Technology Ventures, EDP, Energy Impact Partners, Enterprise Ireland, Klima, Mirova, and Yokogawa.
Managing Power Supply During Peak Demand
According to Michael Phelan, the electricity grid faces its biggest challenge during periods of peak demand rather than average usage.
“The problem on the grid is a peak problem,” Phelan said. “Most of the time you’re okay, you have plenty of power. But in those peak hours you might not have enough.”
Demand spikes are increasingly associated with the expansion of data centers and the energy requirements of artificial intelligence systems.
Training and running AI models can require large quantities of electricity, creating challenges for utilities and developers building new data center facilities.
Phelan said large energy storage systems and adjustable industrial power loads can help address these shortages. Batteries or industrial users that temporarily reduce electricity consumption can provide hundreds of megawatts of capacity during peak periods.
Virtual Power Plants Connecting Distributed Energy
GridBeyond’s technology combines various energy assets into a virtual power plant system.
The company manages about one gigawatt of renewable and storage capacity, including solar, wind, hydropower, and battery installations.
On the demand side, the company coordinates several gigawatts of power usage across commercial and industrial facilities that can reduce or shift consumption when required.
GridBeyond installs hardware controllers at renewable energy sites, battery facilities, and large industrial locations to coordinate electricity flows.
These systems are currently deployed across Australia, Ireland, Japan, United Kingdom, and the United States.
Origins In Ireland’s Renewable Energy Market
The company’s development was influenced by the growth of wind energy in Ireland.
As the country expanded wind generation, grid operators faced challenges balancing supply and demand on an island-based electricity system with limited connections to neighboring grids.
According to Phelan, flexible electricity consumption and storage became important tools for stabilizing the system.
Utilities have long encouraged large energy users to reduce consumption during extreme demand periods, such as heat waves. Financial incentives are often offered to companies that temporarily lower their electricity usage.
This approach can reduce the need for additional power plants or new transmission infrastructure.
Role Of Batteries In Modern Power Systems
Large battery installations have expanded the capabilities of virtual power plant networks.
GridBeyond manages several energy storage projects, including a 200-megawatt battery facility in California.
Batteries can respond to changes in electricity demand much faster than conventional peaking power plants, which may take minutes to reach operating capacity.
The rapid response allows companies to buy and sell electricity quickly and manage fluctuations in renewable generation.
Implications For Data Centers
The rise of artificial intelligence infrastructure has created new challenges for grid operators.
Many data centers draw power unevenly, particularly during intensive AI training sessions. These sudden increases in electricity demand can create fluctuations in the grid.
According to Phelan, batteries located at data centers can absorb those spikes in demand and smooth electricity usage.
By connecting data centers to nearby virtual power plants or installing batteries directly at facilities, operators may find it easier to secure grid connections while minimizing disruptions to local power systems.
Featured image credits: Wikimedia Commons
For more stories like it, click the +Follow button at the top of this page to follow us.