The React Stack
How React contributes to cleaner and more resilient energy system.
Last updated
How React contributes to cleaner and more resilient energy system.
Last updated
Virtual Power Plants (VPPs) will be a critical component to the energy grid of the future as intermittent renewables become the dominant form of generation and we electrify massive new end markets.
However, scaling VPPs poses unique challenges.
There are four major functions associated with VPPs, each highly distinct from the other. To build a VPP today, an operator must build expertise across the stack.
Our vision for a cleaner, cheaper, and more resilient energy system can be realized, but it is reliant on our ability to deliver a more connected and distributed energy system.
Specifically, the React stack operates across three functions:
Data & Connectivity
Aggregation
Energy Management
By building the data, connectivity, and orchestration layer for the grid, VPP operators can focus on their market strategies without needing to build the underlying technology and spend significant resources on customer acquisition.
Anode Labs has built an integration library to cover all major distributed energy resources, allowing any resource to participate. React's incentive design incentivizes participants to deploy energy monitors to buildings, creating the ubiquitous real-time data layer absent from the energy system today. Together, React creates the data infrastructure necessary for VPP operations. As a decentralized system, data is user-owned and controlled, and anchored on-chain for verifiability.
React's token-based incentive system rewards participants for deploying energy monitors and connecting resources to the network. This creates a positive feedback loop for growth, pulling more resources into its aggregation layer as network effects emerge. This facilitates bottom-up network construction as opposed to top-down, eliminating very high customer acquisition costs from the aggregation equation.
Last, the energy management system turns the network from a chaotic, distributed system, into a controllable resource for market participants. This allows market participants in the energy industry to operate on top of the network, utilizing the network's aggregation pools to act as a grid resource. To utilize the network's infrastructure, market participants must burn KWH tokens to mint Data Tickets.
As a single digital infrastructure layer, React unlocks the grid edge as a resource for existing energy market participants, including utilities, REPs, and traders, among others. It unlocks additional insight into distribution grid operation and performance as the largest source of granular, real-time grid edge data. And it creates an acquisition channel for developers to deploy new DERs to customers in advantaged areas.
