EV charging solutions firm Pod Point has entered a new energy flexibility market, selling energy in wholesale markets under the new P415 regulation.
The P415 regulation allows companies who are not energy suppliers to sell wholesale energy as a Virtual Trading Party (VTP). Entry into the wholesale market provides Pod Point with access to the largest segment of the flex market, it said.
The move comes as part of the company’s strategy to enter all the major energy flexibility markets, with the group already operating business-as-usual energy flex in the Distribution System Operator and Capacity Markets.
Pod Point is working with a VTP, providing the group with another incremental high margin revenue stream to support its customer lifetime value model by rewarding customers for smart charging their car.
Pod Point recently announced that it has more than 250,000 EV chargers, which provides a substantial “back book” of customers who can be offered rewards for smart charging.
Wholesale electricity prices rise during periods of high demand, such as at 6pm on a windless evening, and fall when there’s excess supply.
EV chargers can help stabilise the grid by pausing charging during peaks and shifting to greener, off-peak times. This flexibility supports Net Zero by enabling more renewable energy; it helps grid partners reduce costs and avoid capex; and Pod Point to create high value recurring revenues.
Melaine Lane, Chief Executive Officer, said:
“Our entry into the Wholesale market represents another important milestone in Pod Point’s Energy Flex strategy and creates further momentum in building recurring revenues for the Group. It’s another example of Pod Point taking the lead in Energy Flex as the first company to take advantage of this new regulation.
“We have the largest Energy Flex enabled chargepoint network in the UK, with over a quarter of a million chargers, providing significant scale and relevance to the Grid. Pod Point has delivered a huge amount of progress in Energy Flex over the last 12 months and we have further exciting plans for this emerging market in the next 12 months.”
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