Collaboration will assess coordinated battery storage at DayOne’s SG1 data center and other sites to build grid-responsive operating capabilities
DayOne Data Centers (“DayOne”), a Singapore-headquartered global digital infrastructure platform, and Blue Whale Energy, a Singapore-based company specializing in battery energy storage systems (“BESS”) and Virtual Power Plant (“VPP”) aggregation services, have signed a Memorandum of Understanding (“MOU”) to study the feasibility of a Distributed VPP in Singapore.
Under this MOU, the collaboration would explore an intelligent real-time solution to coordinate a distributed BESS network that links battery storage at DayOne's upcoming SG1 data center with suitable third-party commercial and industrial sites, allowing them to act together as a single, flexible resource for the grid.
As AI and cloud workloads increase, data center and grid operators are looking for innovative ways to optimize available grid capacity, particularly during periods of peak electricity use. The proposed Distributed VPP is designed to pool battery storage across multiple sites so that electricity drawn from the grid can be adjusted at key moments. Beyond helping to better utilize existing power infrastructure, such a collaboration could also unlock new capacity while mitigating the need for costly grid upgrades to deal with peak demand.
“Singapore's digital economy depends not only on computing infrastructure but also on the physical systems that support it, including energy. We believe data centers should play an active role in strengthening the broader power ecosystem they rely on and creating long-term value,” said Jamie Khoo, Chief Executive Officer of DayOne. “Through this collaboration with Blue Whale Energy, we are exploring how a Distributed VPP anchored at a data center could support greater grid flexibility alongside the continued growth of digital infrastructure.”
“Coordinated energy storage could create value by bringing together an anchor data center and suitable commercial and industrial sites,” said Gabriel Lim, Founder and CEO of Blue Whale Energy. “Through this MOU with DayOne, we will assess the technical, operational, and commercial arrangements required for a Distributed VPP that shows what that future could look like, starting here in Singapore.”
The initial work is expected to include a joint front-end engineering design study covering storage configuration, safety, metering and telemetry, controls, operational safeguards, and potential arrangements with participating commercial and industrial facilities.
DayOne and Blue Whale Energy also intend to engage relevant authorities and market stakeholders, as appropriate, to understand the applicable technical and market participation requirements. The parties will also assess the requirements for potential participation in Singapore’s Demand Response and Interruptible Load programs—which incentivize businesses to reduce electricity consumption during periods of market stress and grid contingencies, respectively, to support power system reliability—subject to applicable market rules and regulatory approvals.