Dubbed the first of its kind in the UK, the partnership will offer customers access to the Levelise Hub for £599 when purchasing a solar and battery installation. Image: Otovo.

Residential solar and battery marketplace Otovo has announced a partnership with British virtual power plant (VPP) Levelise to launch an AI-powered ‘Hub’.

The Levelise Hub, in tandem with a solar PV system from Norwegian-based Otovo, enables households to actively participate in energy markets they cannot normally access, trading their power 24/7 and aggregating storage across multiple homes using Levelise’s VPP.

Dubbed the first of its kind in the UK, the partnership will offer customers access to the Levelise Hub for £599 when purchasing a solar and battery installation. AI-led algorithms ensure batteries charge during low-cost periods and discharge when prices peak; this means more energy efficiency and lower costs for consumers.

From 2025, Otovo customers will be able to sell their power through Levelise on wholesale markets. The VPP trades across 12 revenue streams including National Grid ESO’s Balancing Mechanism, Demand Flexibility Service and Frequency Response markets.

According to the companies, by 2026, all household electricity use in the UK will be settled on a half-hourly basis, meaning those with smart technologies stand to make significant financial gains while stabilising the grid.

An ESO report from March 2024 showed that over the last decade the average annual system inertia has fallen by 40%. Lower inertia means system frequency is less resistant to change—events like a sudden loss of generation or demand have more of an effect.

As stated in the report, scenarios with more asynchronous and variable sources of generation will likely require more reserve and response. This means some degree of responsibility on consumers to provide demand side flexibility, using VPPs to balance fluctuations in supply and demand.

Levelise product director, Steve Day, said: “By integrating advanced energy management technology with high-quality solar installations, the partnership aims to set new standards in residential energy solutions, promoting environmental sustainability and economic benefits for homeowners.”

General manager of Otovo UK, Jina Kwon, added: “It’s crucial that we move away from a fragmented marketplace and towards providing consumers with a comprehensive smart home offering instead.

“By providing consumers with access to trading markets as well as the ability to use their battery to take advantage of peak electricity prices to sell and cheap electricity prices to charge through Levelise, we can provide them with more savings and earnings as they simultaneously contribute to the decarbonisation and stabilisation of our grid.”

Otovo recently launched another partnership with Elli, a subsidiary of Volkswagen Group, combining its solar offering with e-mobility. By integrating a wallbox and PV system, the partnership claims to reduce the total cost of ownership for EVs by up to 40%.