What Is a Virtual Power Plant — and Can Your Battery Earn You Money?
Updated April 2026 | 8 min read | Solarus Energy, Stockport
Most homeowners in Stockport and Greater Manchester install a battery storage system to store solar energy and cut their electricity bills. That’s a brilliant reason. But there’s a lesser-known benefit that many battery owners are missing: your battery can also earn you money by supporting the national grid. This is done through something called a Virtual Power Plant or VPP.
At Solarus Energy, we install solar panels, batteries, heat pumps, and EV chargers across Stockport, Tameside, Cheshire, and Greater Manchester and we make sure every customer knows how to get the maximum return from their system. This guide is part of that commitment.
What Is a Virtual Power Plant (VPP)?
A Virtual Power Plant is a network of thousands of home batteries and sometimes EV chargers and heat pumps connected together through a software platform and coordinated to act like a single large power station.
Unlike a traditional power station at a fixed location, a VPP exists entirely in software. It links distributed energy assets across the country from homes in Stockport to properties across the UK and manages them as one collective resource.
Here’s the key problem it solves: the electricity grid must be perfectly balanced at every moment. Supply must always match demand. Historically, when demand suddenly spiked — say, at half-time during a big football match grid operators would fire up gas-powered “peaker plants” to compensate. These are expensive, polluting, and wasteful.
As more renewable energy comes online, balancing the grid becomes even more complex. A VPP provides a cleaner, faster, cheaper alternative by drawing small amounts of stored energy from thousands of homes at once, instead.
| The National Grid ESO (nationalgrideso.com) recognises VPPs as a critical part of the UK’s future energy system — and Greater Manchester households are already part of that solution. |
How Does a Home Battery VPP Work in Practice?
Here’s what actually happens when a Solarus customer in Stockport joins a VPP like Axle Energy:
- You sign up and connect your battery to the VPP platform via an API giving the software permission to communicate with your battery
- The platform monitors the grid continuously, looking for moments when extra power is needed
- During a “grid event” typically lasting 1–2 hours — the platform automatically instructs your battery to export a small amount of stored electricity to the grid
- You receive payment for the energy your battery exports during that event
- Everything resets your battery continues operating normally for the rest of the day
Grid events typically happen 4–8 times per month. You’ll receive an email notification before and after each one, and most platforms allow you to opt out of individual events if needed.
Crucially — your normal daily battery usage is not affected. Your battery still charges from your solar panels during the day and powers your home in the evening. VPP dispatches happen in short windows and work within the battery’s normal operating parameters.
How Much Can a Stockport Homeowner Earn?
Here’s the current picture from Axle Energy, currently the leading UK residential VPP platform:
| Earning Type | Amount |
| Per kWh exported during a grid event | £1.00/kWh |
| Guaranteed monthly minimum | £10/month |
| Typical annual earnings | £120–£250/year |
| SolarEdge partnership (winter season) | Up to £250/season |
To put the £1/kWh rate in context: most solar export tariffs pay around 12–15p/kWh. Axle’s VPP rate during grid events is roughly 6–7 times higher than a standard export payment.
A typical 10kWh battery in a Stockport home, participating in 4–6 events per month and exporting 2–3kWh per event, would earn in the region of £120–£180/year, on top of all the savings from normal battery operation.
| Rates are based on current Axle Energy figures as of April 2026. Always check current terms at axle.energy before signing up. |
Will It Damage My Battery?
This is a common concern for Greater Manchester homeowners. The short answer is: no, when done correctly.
Axle Energy operates within each battery manufacturer’s specified parameters. Grid events are short, infrequent, and involve only a portion of the battery’s capacity. Most events dispatch only 20–30% of stored capacity — leaving plenty in reserve for your normal evening use.
VPP participation typically adds fewer than 10 equivalent full charge/discharge cycles per year — negligible against most batteries’ warranties of 3,000–6,000 cycles.
| Solarus always advises customers on VPP warranty compatibility at point of installation. If you’re unsure about your existing system, contact our Stockport team and we’ll check it for you. |
Which Batteries Are Compatible with Axle Energy?
As of April 2026, confirmed compatible systems include:
- FoxESS (ECS series and compatible models)
- SolaX (via SolaXCloud integration)
- SolarEdge (via Flexible Grid Services programme)
- Enphase (IQ Battery series)
- GivEnergy (all main models)
- SigEnergy
- Solis (via SolisCloud)
Axle continues to add new manufacturers. Check axle.energy for the current full compatibility list.
| Solarus installs several of these VPP-compatible brands as standard across Stockport and Greater Manchester. If VPP participation is a priority, tell us when requesting a quote and we’ll ensure your system is set up to be VPP-ready from day one. |
Do You Need to Switch Energy Supplier?
No, and this is one of the most appealing things about VPPs for Stockport homeowners. Axle Energy is not an energy supplier, it’s a software platform. You stay with your existing supplier and tariff.
VPP earnings stack on top of whatever you’re already receiving through your export tariff under the Smart Export Guarantee (SEG), administered by Ofgem.
For example: if you’re already exporting solar on Octopus Outgoing at 12p/kWh, you continue to receive that. During a VPP grid event, you additionally earn £1/kWh from Axle on top. Two income streams, one battery.
VPP vs Export Tariff: Which Earns More?
It’s not an either/or — they work together. Here’s the key difference:
| Standard SEG Export Tariff | VPP (Axle Energy) | |
| Rate | 12–15p/kWh (fixed) or dynamic | £1.00/kWh during events |
| When | Any time you export | Only during grid events (4–8x/month) |
| Control | You control timing | Platform controls dispatch |
| Stacks with other income? | Yes | Yes — on top of SEG |
| Requires switching supplier? | Depends on tariff | No |
The practical answer: keep your export tariff and add a VPP on top. The VPP activates only during grid events; your normal export continues the rest of the time.
Beyond Batteries: What Else Can Join a VPP?
While home batteries are the most common VPP asset, the technology is expanding fast. Platforms like Axle Energy are also working with:
- EV chargers — smart chargers pause or reduce charging during grid events
- Air source heat pumps — pre-heating during cheap periods, pausing during peak demand
- Hot water cylinders — smart immersion heaters that shift heating to off-peak windows
As more Stockport and Manchester homes electrify their heating and transport, VPPs will become an increasingly significant income stream and a major part of how the UK meets its Clean Power 2030 targets.
Other UK VPP Platforms: Alternatives to Axle Energy
Axle Energy is the most accessible and supplier-agnostic platform — but it’s not the only option.
Octopus Kraken VPP (via Intelligent Octopus Flux)
Octopus runs one of the largest residential VPPs in the UK through its Kraken platform. Rather than paying cash per grid event, Octopus bakes VPP earnings into cheaper import and export rates on its Intelligent Octopus Flux tariff. Estimated savings of around £250/year, fully automated. Solarus is an Octopus Trusted Partner, so we can help Manchester homeowners access this route seamlessly.
- Fully automated, no manual management
- Strong peak export rates (up to 28p+/kWh)
- Must switch to Octopus as your energy supplier
Tesla VPP (via Octopus Energy / Tesla Electric)
Tesla launched its UK VPP programme in July 2025 in partnership with Octopus Energy, with Powerwall owners able to earn up to £300/month. Tesla has since received its own Ofgem electricity supply licence (March 2026), so a standalone Tesla offering may follow.
- Highest potential earnings of any UK VPP
- Tesla Powerwall only
- Currently requires Octopus as supplier
SolarEdge Flexible Grid Services (powered by Axle)
SolarEdge’s branded grid services programme runs on Axle Energy’s platform, accessed through your SolarEdge account. Combined earnings of up to £250/season in winter.
- No supplier switch needed
- Two grid service types stacked together
- SolarEdge batteries only
Capture Energy
Capture Energy combines smart tariff management, grid services, and VPP participation into one managed service, more of an ongoing energy advisory platform than a pure VPP.
- Holistic battery and tariff optimisation
- Works across multiple battery brands
- Less transparent on per-event earnings vs Axle
Which VPP Is Right for You?
| Platform | Earnings Model | Supplier Switch? | Best For |
| Axle Energy | £1/kWh per event + £10/month min | No | Most Stockport/Manchester homeowners |
| Octopus Kraken | Baked into tariff savings | Yes (Octopus) | Octopus customers wanting set-and-forget |
| Tesla VPP | Up to £300/month (variable) | Yes (currently) | Tesla Powerwall owners |
| SolarEdge Grid Services | Up to £250/season | No | SolarEdge battery owners |
| Capture Energy | Variable | Depends | Full-service management |
| Solarus’s view: For most Stockport and Greater Manchester homeowners, Axle Energy is the simplest starting point — no supplier switch, five-minute sign-up, transparent earnings. If you have a Tesla Powerwall or are already on Octopus, the Kraken/Tesla VPP route offers higher ceiling earnings. Talk to our team about which suits your specific system. |
What Are the Downsides? (Being Honest)
Solarus always gives customers the full picture. Here’s what to consider before joining any VPP:
Temporary loss of battery control during events
The platform has temporary control of your battery’s export during a grid event. Most platforms let you opt out of individual events, but if you need full battery capacity at a specific time, plan around this.
Earnings aren’t guaranteed beyond the minimum
The £10/month guarantee is a baseline. Higher earnings depend on event frequency, battery size, and location.
Rates can change
The current £1/kWh is competitive but not permanent. Always check axle.energy for the latest terms.
Compatibility isn’t universal
Not every battery brand or model is supported. Check axle.energy before assuming your system qualifies.
How to Get Started with Axle Energy
If you have a compatible battery already installed anywhere in Stockport or Greater Manchester:
- Visit vpp.axle.energy
- Upload a recent electricity bill
- Log in to your battery’s monitoring portal (e.g. FoxESS Cloud, SolaXCloud, or your battery brand’s app)
- Connect your device to Axle
- Set your preferred mode — Fully Optimised or Events Only
- Done — Axle handles everything from there
Sign-up takes around 5 minutes. No exit fees. No hardware required.
Fully Optimised vs Events Only Mode
Fully Optimised — Axle’s AI manages your battery automatically throughout the day, optimising for bill savings and grid event earnings together. Best for hands-off maximum savings.
Events Only — Axle only dispatches during grid events. You keep full control of your battery the rest of the time. Best if you already use Predbat, Home Assistant, or your battery’s own scheduling, the two work alongside each other seamlessly.
Example: A Solarus Customer in Stockport — Annual Earnings Breakdown
A typical Solarus installation in Stockport, 10kWh home battery, 6kWp solar panels – stacking all income streams:
| Income / Saving Source | Estimated Annual Value |
| Solar self-consumption saving | ~£600–£800 |
| Smart Export Guarantee (SEG) at 12p/kWh | ~£150–£200 |
| Axle Energy VPP earnings | ~£120–£180 |
| Smart tariff arbitrage (overnight charging) | ~£150–£250 |
| Total estimated annual benefit | ~£1,020–£1,430 |
Illustrative figures for a typical Greater Manchester household. Actual results depend on system size, usage patterns, weather, and tariff selection.
Frequently Asked Questions
Do I need solar panels to join a VPP?
No — you just need a compatible battery. Solar panels maximise your overall savings but aren’t a requirement.
Will joining a VPP void my battery warranty?
Not if your battery brand has formally partnered with the VPP platform. Solarus always confirms this before recommending a VPP to a customer.
Do I need to switch energy supplier?
No. Axle Energy is not a supplier. You stay on your current tariff and keep receiving SEG export payments as normal.
How often are grid events?
Typically 4–8 times per month. Each event usually lasts 1–2 hours.
Can I opt out of events?
Yes. You can opt out of individual events. The less you opt out, the more you earn.
What is the minimum I can earn?
Axle currently guarantees a minimum of £10/month.
Is the £1/kWh rate permanent?
No — rates can change. The £1/kWh figure is current as of April 2026. Always check axle.energy for the latest.
My battery isn’t on the compatibility list — what can I do?
Contact Axle directly as they’re expanding the list regularly. Alternatively you may be eligible for the Octopus Kraken VPP or Capture Energy. Or speak to Solarus — we can advise on upgrading or replacing your system with a VPP-compatible model.
Battery Storage & Solar Installation in Stockport and Greater Manchester
At Solarus Energy, we install and optimise battery storage, solar PV, air source heat pumps, and EV chargers across Stockport, Greater Manchester, Tameside, Cheshire, and the wider North West. We’re based at Unit 12 The Gate Centre, Bredbury Parkway, Stockport – right at the heart of the communities we serve.
Every Solarus installation is designed with maximum long-term value in mind, that means the right battery brand for VPP compatibility, the right tariff advice from day one, and ongoing support as the energy market evolves.
We hold the following accreditations:
- MCS Certified — solar PV, battery storage, and heat pumps
- NICEIC Approved — electrical installation
- Which? Trusted Trader
- Octopus Trusted Partner
- CHAS
| Ready to find out how much your battery could earn? 📞 0161 674 0390 📧 hello@solarus.co.uk 🌐 solarus.co.uk |
Official Resources & Further Reading
- Axle Energy VPP platform
- Octopus Intelligent Flux (Kraken VPP)
- Tesla Energy Plan UK (via Octopus)
- SolarEdge Flexible Grid Services
- Capture Energy
- National Grid ESO: Virtual Power Plants
- Ofgem: Smart Export Guarantee (SEG)
- GOV.UK: Clean Power 2030 Action Plan
- MCS: Find a certified installer
- Energy Saving Trust: Battery storage guidance
- Solar Power Portal: SolarEdge & Axle Energy partnership
Solarus Energy Ltd | Unit 12 The Gate Centre, Bredbury Parkway, Stockport, SK6 2SN
MCS Certified | NICEIC Approved | Octopus Trusted Partner | Which? Trusted Trader | CHAS