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Frequency of the electricity grid gets stabilized by the VPP.

Balancing Energy 
Use your Power to Stabilize the Grid

The increased volatile feed-in of renewable energies brought a challenge to managing power grids: a stronger fluctuating grid frequency. These fluctuations need to be minimized in order to keep the grid stable. Aggregated in a Virtual Power Plant (VPP), distributed assets can play a vital role in levelling out these fluctuations. Next Kraftwerke networks small-scale producers, storage units and C&I-consumers in its VPP and thereby provides access to profitable balancing energy markets.


Additional revenue in our VPP from flexibility.

Balancing Energy from Distributed Assets

Today, not only large power plants can provide balancing energy. Aggregated in a Virtual Power Plant, flexible assets like biogas plants, hydropower units, CHP plants, batteries and even emergengy generators can help stabilizing the grid and thereby generate additional revenues. Smaller units often have a shorter reaction time and combined in a VPP they offer a higher granularity in catching fluctuations. Next Kraftwerke is active in seven European TSO areas providing ancillary services.

Requirements for the Provision of Balancing Services

Different countries have varying balancing service products and requirements. But generally speaking, if you are operating an asset that has the capability of ramping up or down its power production, you can provide balancing energy through a VPP. Once your asset is prequalified (technically and functionally checked for complying with the transmission code), the unit will be part of the VPP providing balancing energy. In case of a frequency imbalance the VPP will receive an order from the TSO requesting a certain amount of power in order to balance out frequency deviations.

For providing balancing energy, your asset needs to provide the following features:

  • Continuous power production
  • Possibility for remote control of your asset
  • Fast reaction time of your asset's power production
Virtual Power Plant functions explained

Aggregated in a VPP, distributed assets can make important contributions to the stability of a power grid and generate additional revenues.

Schedule optimization of flexible energy consumers.

Demand Response

Power consumption processes of C&I consumers can play an important role in providing balancing energy and help owners to generate additional profit. In this way, companies can generate revenues where they normally only have costs. The provision of reactive flexibility does not interfere with the main purpose of the industrial purpose. The operator or factory owner sets the restrictions in which the process can provide flexibility. The actual call for flexibility only uses a fraction of the entire consumption process.

Additional Revenues through Demand Response

More consumption processes than you might imagine are suitable for providing balancing energy. The following aspects are indicators that your process might also be able to provide demand response services:

Continuous power consumption

Possibility to temporarily reduce load within the consumption process

Possibility to ramp up the consumption on short notice

Existence of a buffer (batteries or storage tanks, silos)?

Automated consumption control via process control technology

Existence of own power production on the companies premises (CHP, emergency generators, power to X, etc.)

Load management with a variable power rate explained.

How to Start

Bringing your asset to the balancing energy markets is basically done in three simple steps:

1. Connection

An encrypted connection is established via the Next Box remote control unit.

2. Prequalification

The unit needs to be prequalified to comply to the TSO regulations for providing balancing energy.

3. Revenues

The asset owner receives revenues according to his contribution to grid stability.

Numbers & Facts

Prequalified R1 (in Europe)


MW Q1 2022

Prequalified R2 (in Europe)

1 028

MW Q1 2022

Prequalified R3 (in Europe)

1 513

MW Q1 2022

Aggregated Flexibility

2 555


Ancillary service provided in TSO areas


TSO areas



We are Next Kraftwerke

As one of the largest Virtual Power Plants in Europe, we network thousands of decentralized electricity generators, consumers and storage units. Through this network, we enable smaller units such as wind, solar, and biogas plants, as well as battery storage and electricity consumers, to participate in lucrative electricity markets. With our own trading floor, we trade on various European power exchanges and provide balancing power for grid stabilization. This way, we help shape the energy landscape of the future - for a power supply from 100% renewable energies.

  • Norman Gentges is the leader of our technical unit at Next Kraftwerke.

    We bring your asset into our VPP

    Our engineers and technicians take care of connecting your asset into our VPP – in close communication with you of course. This way you'll be able to comply with all regulations and be prepared for selling the power and flexibility of your asset.

    Norman Gentges
    Team Manager Technical Plant Integration 

  • Julian Kretz works in business development at Next Kraftwerke.

    Let's be honest

    Demand Response sounds complicated at first. But to be honest – it is far from rocket science. And your asset might be more prepared than you'd think. We evaluate your assets's potentials and help you monetize its flexibility.

    Julian Kretz
    Project Manager

  • Julia Schleper works as trader at Next Kraftwerke

    Flexibility is a valuable commodity

    With the increasing feed-in of solar and wind energy, volatility on the spot market has increased. Harnessing the resulting price spreads can result in significantly higher revenues. My team strives for getting the best out of your flexible power production.

    Julia Schleper