Large aggregators include Next Kraftwerke, with 15,541 MW networked at the end of 2025, and Kraken, with more than 5.7 GW.
Why this market is moving now
- Only around 100 GW of demand response was in use worldwide in 2024, while home air conditioning adds about 600 GW to peak demand.
- China's 2024 to 2027 power system plan targets demand response of at least 5% of peak load.
- In October 2026 Voltus and Google agreed to build a 1 GW virtual power plant in the PJM grid region.
Key figures
Global figures for this market, with the year each one describes. Use Cite to copy a reference to this page.
| Figure | Value | Year | Cite |
|---|---|---|---|
| Around 100 GW of demand response capacity was in use worldwide in 2024. | 100 GW | 2024 | |
| Industry provided the largest share of demand response worldwide in 2024, at around 75 GW. | 75 GW | 2024 | |
| Demand response from buildings was around 30 GW worldwide in 2024. | 30 GW | 2024 | |
| Transport, mainly electric vehicle charging, provided less than 5 GW of demand response worldwide in 2024. | 5 GW (less than) | 2024 | |
| Home air conditioning added around 600 GW to world peak electricity demand in 2024, but very little of it was used for demand response. | 600 GW of peak demand | 2024 | |
| China's 2024 to 2027 action plan for its power system says demand response capacity should reach at least 5% of peak load, and 10% in some areas. | 5 % of peak load (minimum target) | 2027 | |
| Next Kraftwerke had 15,541 MW of networked capacity across 14,375 aggregated units at the end of 2025. | 15,541 MW | 2025 | |
| Kraken managed more than 5.7 GW of controllable capacity in December 2025, including 2.5 GW of residential flexibility such as EVs and heat pumps. | 5.7 GW | 2025 | |
| Voltus raised $225 million in October 2026 and expects its platform to reach 20 GW by 2030. | 20 GW (company target for 2030) | 2030 | |
| In October 2026 Voltus and Google agreed to build a 1 GW virtual power plant in the PJM grid region, expanding a 100 MW agreement signed in June 2026. | 1 GW | 2026 |
Calculated figures (shares, changes and prices per kilogram) are plain arithmetic on the reported values. Read how we work.
Companies to watch
Next Kraftwerke
Aggregator with 15,541 MW of networked capacity across 14,375 units at the end of 2025.
Kraken
Energy software company that controlled more than 5.7 GW of flexible capacity in December 2025.
Voltus
Distributed energy platform in the US and Canada that targets 20 GW by 2030.
Agreed in October 2026 to a 1 GW virtual power plant with Voltus in the PJM grid region.
What the full report covers
- 01Executive summary
The answer in one page: size, direction and what moves it - 02Market definition and scope
What is in and out of the global market - 03Global market size, 2021 to 2025
Historical series and growth rates - 04Countries and regions
Demand, supply and trade by country and region - 05Outlook to 2031
Base, low and high scenarios with stated assumptions - 06Rules, policy and deadlines
Regulation and programmes that change demand - 07Drivers and barriers
What accelerates or slows adoption, by customer segment - 08Prices, costs and margins
Unit economics where public data allows - 09Competitive landscape
8 to 12 company profiles with recent moves - 10Opportunities and risks
For new entrants, suppliers and investors - 11Method and assumptions
How every figure was built
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Frequently asked questions
How big is the global virtual power plant market?
Around 100 GW of demand response capacity, the flexible load that virtual power plants pool, was in use worldwide in 2024. Industry provided about 75 GW and buildings about 30 GW.
Which sectors provide the most demand flexibility?
Industry provided about 75 GW of demand response worldwide in 2024, buildings about 30 GW and transport less than 5 GW.
Which companies run the largest virtual power plants?
Next Kraftwerke had 15,541 MW of networked capacity at the end of 2025. Kraken managed more than 5.7 GW in December 2025. Voltus expects its platform to reach 20 GW by 2030.
How much untapped flexibility is there?
Home air conditioning adds about 600 GW to world peak demand, yet flexible response from these loads remains marginal. Only around 100 GW of demand response of all kinds was in use in 2024.
Are governments setting demand response targets?
Yes. China's 2024 to 2027 action plan says demand response capacity should reach at least 5% of peak load, and 10% in some areas.
Are large technology companies buying virtual power plant capacity?
Yes. In October 2026 Google and Voltus agreed to build a 1 GW virtual power plant in the PJM grid region, expanding a 100 MW agreement signed in June 2026.
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