: 10.56472/25835238/IRJEMS-V4I11P123
Baginda Awaluddin Syahputra Hasibuan. "Designing a Virtual Power Plant Business Model and Implementation Roadmap to Integrate Rooftop Solar PV in a Regulated Distribution Utility in Indonesia" International Research Journal of Economics and Management Studies, Vol. 4, No. 11, pp. 170-179, 2025. Crossref. http://doi.org/10.56472/25835238/IRJEMS-V4I11P123
Roof-top solar photovoltaic (PV) systems are increasingly being installed in many developing countries. That’s possible because the costs of technology are dropping, people are paying more attention to the environment, and rules are changing. That’s good for countries trying to meet carbon reduction targets, but bad news for vertically integrated utilities, whose business models and grid operations were set up on the assumption of centralized generation and one-way power flows. This paper examines the strategic behavior of a large regulated distribution utility that deploys a Virtual Power Plant (VPP) business model to aggregate and orchestrate distributed energy resources (DERs), such as customer-owned rooftop PV, batteries, and flexible loads. The study is conducted based on a qualitative case study approach incorporating literature review, document analysis, and semi-structured interviews with internal experts in system operations/planning/commercial/digital. Analytical tools for the VPP model include BMC to design it, gap analysis to compare it with existing rooftop PV schemes, a five-level capability maturity assessment to check technical and commercial readiness, and a multi-year implementation map. The results show that there are big problems with DER visibility, AMI-SCADA integration, inverter telemetry, regulatory support for aggregators and demand response, and cross-unit coordination. The research suggests a phased roadmap commencing with technical VPP pilots, progressively advancing to a pre-commercial VPP ecosystem as digital, organizational, and regulatory competencies develop. This paper adds to the literature on the energy transition and new business models by giving utilities in regulated areas a framework for turning rooftop PV from an uncoordinated source of operational risk into a digitally orchestrated asset that improves system flexibility and helps long-term decarbonization.
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Virtual Power Plant, Rooftop Solar PV, Distributed Energy Resources, Business Model Innovation, Capability Maturity, Energy Transition, Regulated Utility.