Intelligent Energy Solution Provider ZD Power Secures Round A of Financing Worth Over $13.8M
ZD Power, a Chinese smart energy solution provider, announced on October 27 that it had completed an A Round of financing exceeding 100 million yuan ($13.8 million). This round of financing was led by GL Ventures and was followed by Source Code Capital and Creo Capital.
ZD Power, established in 2017, is a provider and integrated operator of smart energy, grid and power trading technology. It is committed to building power and energy networks with digital technology and energy technology. The firm builds energy digital interconnection platforms with high efficiency and low-carbon optimization of all energy links as the core, and optimizes the operational efficiency of energy-related production, consumption and trading.
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The company’s core technology is a virtual power plant technology, called “ZD POWER VPP.” Through advanced information, communication and control technologies, virtual power plants can aggregate and coordinate the distribution of massive power generation, consumption and energy storage resources, enabling participation in energy market operations as a special power plant in addition to providing strong support for the safe and stable operation of power grids and energy systems.
With the advantages of power supply, grids and users, the company is the first operator in China to implement the full-link operation of virtual power plants. At present, it has implemented dozens of virtual power plant projects in cities across China with an adjusted capacity exceeding one gigawatt and an annual operation and management power of several billion kilowatt hours.
In addition, the company has two major brands. The “Magic Lamp Elf” mainly provides power services such as electricity sales services and power transactions, demand response and virtual power plants, energy management, and optical storage system construction, while the other brand, “Carbon Saving Elf,” mainly provides carbon reducing services such as energy consumption monitoring, energy efficiency improvement, energy saving and carbon reduction optimization, energy consumption budget management and carbon asset management.
As a new format and mode of intelligent energy, virtual power plants have a wide array of applications. At the same time, the Chinese government has also issued policies to promote the development of this new industry. In 2021, China initiated the Action Plan for Peak Carbon before 2030, in which it called for vigorously improving the regulation capacity of power systems and the expedited construction of flexible regulation power supplies, including the construction of virtual power plants.
At present, enterprises in this field have accelerated their layout. The state-owned company North China Grid took the lead in carrying out virtual power plants to participate in auxiliary service market transactions in the country. The smart virtual power plant platform of Zhejiang Integrated Energy Company of China’s State Grid has also been launched online. The virtual power plant platform of the State Power Investment Corporation (SPIC) Shenzhen Energy Development Co., Ltd. also participated in power spot market transactions.