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From Standby to Grid Ready: Onsite Generation is the Future of VPPs

Written by Kurt West | May 14, 2025 3:37:11 PM

 

Next week at the Energy Thought Summit in San Antonio, I’ll be joining a panel to discuss one of the most important shifts happening in today’s energy landscape: the rise of Virtual Power Plants (VPPs) and the transformation of onsite generation from emergency backup to revenue-generating, grid-supporting infrastructure.

At Kinsley Energy Systems, we see the shift every day. Large energy users are taking control of their energy strategies. No longer content to rely solely on the utility, they’re investing in smarter onsite systems that deliver resilience, unlock value, and support sustainability goals.

Leading this transition are linear generators. Through our partnership with Mainspring Energy, Kinsley offers high-performance, fuel-flexible power solutions that run on natural gas, biogas, and hydrogen blends. These modular systems provide clean, dispatchable energy that supports both onsite needs and grid operations.

And it doesn’t stop there. More and more large energy users are combining standby generation with CHP, battery storage, solar, and microgrid controls to create fully integrated energy ecosystems that perform year-round.

Why this shift is accelerating:

  • Nearly all standby generators sit idle 99% of the time

  • Power outages cost U.S. businesses over $150 billion per year

  • ISO-NE, NYISO, and PJM markets now reward behind-the-meter DERs

  • 72% of large energy users have carbon reduction goals influencing investment. 

Customers are not waiting for utilities or regulators to lead. They’re already building VPP-ready infrastructure because the business case is clear: lower energy costs, higher reliability, and greater control.

Still, barriers remain:

  • Interconnection queues are delaying high-impact projects

  • Utility programs often overlook the value of customer-owned assets

  • Policy uncertainty is limiting broader adoption of distributed energy resources

At Kinsley, we help large energy users move faster. We deliver turnkey, service-backed solutions designed for performance. From standby generators and Mainspring linear systems to CHP, BESS, solar, and advanced controls—we integrate the technologies, manage the complexity, and ensure the system works when it matters most.

The energy future is no longer centralized. It’s onsite, intelligent, and already in motion.

If you’re ready to turn backup power into a strategic advantage, let’s talk.


Kurt West
Vice President, Kinsley Energy Systems
Power is our product. Service is our promise.