Toward flexibility of user side in China: Virtual power plant (VPP) and vehicle-to-grid (V2G) interaction

The construction and development of the new power system with new energy sources as the main component will face significant challenges in terms of scarcity of flexible resources. User-side adjustable loads and energy storage, particularly electric vehicles (EVs), will serve as substantial reservoirs of flexibility, providing stability to the power system. The rapid deployment of renewable energy and the surpassing of expectations in the penetration rate of EVs in China present opportunities for the significant growth of Virtual Power Plants (VPPs) and vehicle-to-grid (V2G) interactions. The enormous potential and advantages of V2G as a primary user-side resource are further revealed. Under China's current electricity market policies, the pilot projects of user-side interactions are being analyzed. Furthermore, the prospects for the future development of VPPs and V2G, along with relevant recommendations and perspectives regarding commercial models, technologies, and policies, are highlighted. The development of VPPs and V2G interactions in China holds immense potential for leveraging adjustable resources, especially EVs and energy storages with lithium-ion batteries, to enhance grid flexibility and stability. •The necessity and enormous potential of developing VPPs and V2G on the user side is emphasized.•The pilot projects of VPPs and V2G interactions on the user side across the country are presented.•The future development direction is indicated, with a particular emphasis on the key areas of commercial models and technologies.