Brooklyn-based EnergyHub, a provider of grid-edge flexibility products, has acquired Resideo Grid Services, a specialist in demand response aggregation and programme management.

The acquisition reflects a growing industry shift towards using a single integrated edge distributed energy resource management system (DERMS) platform to manage all distributed energy resources (DERs) as utilities expand virtual power plants (VPPs) to include EVs, batteries and other DERs.

As demand for electricity grows, VPPs can help utilities deliver reliable, affordable service. Edge DERMS platforms are key to scaling VPPs, allowing utility operators to orchestrate millions of devices at the grid edge.

“As utilities face rising demand, they’re using VPPs for fast, cost-effective, flexible capacity,” said Seth Frader-Thompson, CEO of EnergyHub. “Resideo Grid Services provides DER management services to over two dozen utilities and markets, and has built a strong reputation in demand response. Together, we now manage over 2.5 million DERs on one platform, allowing any utility to orchestrate any DER to meet evolving grid needs.”

The acquisition solidifies EnergyHub’s position in edge DERMS, used by utilities to manage a wide range of DERs from a single platform. It also makes new DER classes available to Resideo Grid Services utility clients, making it easier for them to deploy and grow new programmes through unified visibility and control.

“VPPs are the fastest, cheapest and most customer-centric solution to load growth,” said Frader-Thompson. “This acquisition reflects our confidence in our strategy and our ability to lead the market towards a future where VPPs are critical tools integrated into system planning and grid operations.”

Dave Oberholzer, general manager at Resideo Grid Services (www.resideo.com/us/en/pro/energysales/), added: “I am extremely proud of the innovation, customer partnerships and strong reputation our grid services team has built. By joining forces with EnergyHub, we will be able to offer our clients a broader ecosystem of DERs and leverage our winning platforms and talented team to accelerate the reliable and cost-effective transition to a carbon-free grid.”

EnergyHub’s platform is used by more than 120 utilities, who collectively serve more than 55 million customers. The terms of the transaction were not disclosed.

EnergyHub (www.energyhub.com) is a subsidiary of Alarm.com, a platform for intelligently connected properties.