A major challenge faced by American utility companies is the unstable demand for electricity. On the contrary, it fluctuates up and down, usually falling at night and rising during the day, especially on hot days when residents turn on their air conditioning at home.
The power company providing electricity must be able to cope with these fluctuations and meet peak demand. Generally, this requires them to build a large amount of expensive coal, natural gas, or nuclear power plants, or purchase energy from other suppliers when needed.
But now, some utility companies are looking for a cheaper and possibly more environmentally friendly solution - Virtual power plant.