Why frequency response pays
Grid operators need fast up/down power when frequency drifts from 50 or 60 Hz. Batteries and aggregated DER can respond in seconds—programs compensate enrolled capacity ($/kW-month), dispatched energy ($/kWh), or both through utilities and VPP aggregators.
How this estimate works
Effective kW = available kW × (availability % ÷ 100) × min(1, participation hours ÷ 24). Capacity mode: monthly $ = effective kW × $/kW-month. Energy mode: monthly kWh ≈ effective kW × hours × 30 days × ~12% activation duty × $/kWh. Annual = monthly × 12.
Availability scenarios
The calculator table compares 60–100% availability so you can see how compliance penalties or outages affect revenue. Real programs may also require minimum response time and SOC windows.
Frequently asked questions
Q: Same as TOU arbitrage? A: No—frequency services are grid-stability products, not retail rate spreads. Q: Home battery eligible? A: Only where utility or VPP enrollment exists—check interconnection. Q: Include battery wear? A: Pair with degradation cost in planning; this tool shows gross revenue only.