This week, Cambridge, Massachusetts, announced it will procure 50 MW of clean energy under a virtual power plant agreement in Illinois with MN8 Energy. This is the largest virtual power plant agreement signed by a U.S. city and the first time a city uses one to offset residential carbon emissions.
This is unique partly because the virtual power plant being constructed and operated by Prairie Solar Project is in Champaign County, Illinois—more than 1,000 miles away from Cambridge, Massachusetts.
The solar farm (see picture below) will provide electricity to Illinois residents, and in this deal, Cambridge residents will receive renewable energy credits that can be used to lower its carbon emissions. Massachusetts is one of few states offering a solar income tax credit.
A virtual power plant is virtual because it has no physical facility like a traditional coal or gas plant. Instead, the operation of these energy sources is connected via computers and software, with essential assistance from batteries that work together to help balance the electricity supply in the larger grid.
This virtual power plant is slated to generate 113,000 MWh of clean energy which would be enough to power over 25,000 Cambridge homes – more than half of the city’s households. Cambridge, with 120,000 residents in 6.5 square miles, has been unable to meet its electricity needs through renewable sources within city limits.
