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What is Peaking Response?

In today's volatile market, the National Electricity Market (NEM) urgently needs new forms of power capacity to balance renewables and to maintain a reliable and secure electricity grid. Peaking Response allows large energy users to offer demand flexibility via our Virtual Power Plant (VPP) to provide critical grid firming capacity. This puts downward pressure on spiking electricity prices and earns participating businesses new revenue.

Get paid for your flexibility

There are multiple ways to participate in the wholesale market, from providing the electricity of onsite backup generators to load reduction under the Wholesale Demand Response Mechanism. We advise our customers on the mechanism that best meets their site’s operational characteristics, commercial requirements, and sustainability objectives. Our customers earn a recurring new revenue stream, which can offset rising energy costs.

How does it work?


Grid need

The NEM coordinates the supply and demand of electricity every five-minutes through a dispatch process that produces a ‘spot’ price. This price reflects the real-time need for energy and will increase when demand becomes higher relative to the available supply. The market is signalling for more supply to be brought online when this price spikes. These situations can happen during very hot or cold weather events, planned or unplanned generation outages, or when there are other transmission issues.  

VPP is called, customer responds

Peaking Response allows qualifying resources to offer their energy capacity into the NEM as a new source of power supply during these critical times. This helps AEMO to enhance the reliability of the system, while allowing VPP participants to earn the spot power price when they are called on.

Earn regular payments

VPP participants receive regular payments for when their power is provided to support the grid during a dispatch event. This reliable new revenue stream can offset electricity costs, or be reinvested into other sustainability initiatives.  

Our services

Our market-leading and comprehensive service offering includes:

Contact an Enel X team member to learn more about our products and services.