Households earn bill discounts by letting utilities adjust thermostats and EV chargers during peak demand.
Utilities in the US have enrolled millions of households with smart thermostats in virtual power plant programs that pay participants to reduce electricity use during peak demand. The programs control smart thermostats, EV chargers, and home batteries to lower strain on the grid.
More than 500 VPP programs operate in the US, and big players like Google invest in the technology to support data centers. EnergyHub helps utilities run VPPs, while UC Berkeley researchers caution that poorly designed programs can raise costs for nonparticipants.
Operators and builders can enter existing VPP programs by checking utility support for their devices. Smart thermostats offer modest initial bonuses, while battery and EV systems can generate hundreds or thousands in annual savings. Poorly executed programs risk paying users for not consuming energy they never planned to use.
Battery-to-grid programs, which send stored power back to the grid, are on the rise. Prospective participants should verify their utility supports their specific device model before enrolling. Savings vary by device type and program.
What matters
- Utilities enrolled an estimated 4 million households with smart thermostats in virtual power plant programs.
- Builders and operators can enroll device fleets in VPPs to earn bill credits and bonuses.
- Watch for battery-to-grid programs to offer larger consumer savings and expand VPP enrollment.
Why it matters
Watch for battery-to-grid programs to offer larger consumer savings and expand VPP enrollment.
This GenAI News article was prepared in original wording using reporting and materials published by MIT Technology Review AI. Source reference: https://www.technologyreview.com/2026/08/28/1142956/how-to-sign-up-for-a-virtual-power-plant-and-decide-whether-you-should/.
Drafted by the GenAI News review pipeline.