Virtual Power Plant USA

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Five ways to join a virtual power plant

The biggest differences come down to two questions: who owns the equipment, and who keeps the money the grid pays for it. Here they are side by side.

Who owns the equipmentWho earns the grid moneyWhat you getWhat you payCommitment
Own a battery, get paid by your utilityThe homeowner (bought outright or financed).The homeowner, through incentives paid by the utility or program, sometimes passed through the battery maker or an aggregator.Performance-based payments for the battery's average output during grid events, plus backup power the rest of the time. In Massachusetts' ConnectedSolutions, for example, the payment is an annual incentive per kW of average event performance, and the rate is locked for the first five summers of enrollment.The full cost of the battery and its installation (financing may be available, e.g. the HEAT Loan for first-time buyers in Massachusetts).Usually seasonal, with an opt-out. ConnectedSolutions runs June 1 to September 30, with events between 3 and 8 pm, no more than 60 events a summer, at most 3 hours each, and customers 'can opt out at any time.'
A company-owned battery at your homeThe company (e.g. Sunrun, SOLRITE, Haven Energy) owns the system installed at the home.Mainly the owner company. Utilities and grid operators pay the company, and some programs share part of that with customers. Sunrun says customers earned more than $17 million collectively in 2025 from its programs.Solar and/or battery backup with little or no upfront cost, often a lower or more stable electricity price, and in some programs a share of grid rewards (e.g. Sunrun CalReady pays a reward per battery each season).A monthly lease, subscription or per-kWh PPA payment under the contract. Some income-qualified programs (Haven Energy under California's SGIP equity program) are offered at no cost.Long-term contracts. SOLRITE's Illinois battery-only option, for example, runs on a 20-year term. Grid events run on a seasonal schedule: CalReady's 2026 season is May 1 to October 31, with events between 4 and 9 pm, each 1 to 3 hours, up to 60 event hours.
A battery bundled with your electricity planVaries. Base Power and SOLRITE own the battery. With Tesla Electric, the homeowner owns the Powerwall (Tesla also advertises a lease option).The retailer or aggregator bids the fleet into ERCOT, for example through the ADER pilot. Base says it 'earns income from the power grid instead of from members.' Tesla Electric passes a monthly 'VPP Credit' to Powerwall owners.A retail electricity plan plus home battery backup. Base offers fixed-rate energy service in deregulated areas. Tesla Electric VPP members get monthly bill credits and standard sellback credits.Depends on the provider: an installation fee and/or monthly membership plus the energy rate (Base, SOLRITE), or the cost of the battery plus the plan (Tesla Electric with an owned Powerwall). Prices vary by area and aren't quoted here.You switch to (and stay with) the retailer. Base's 'battery agreement runs with the home': if the next owner doesn't sign up, Base removes the system. Tesla's ADER program requires being 'a Tesla Electric member in good standing.'
Smart thermostat rewardsThe homeowner owns the thermostat or device.The utility pays the incentive. The device maker or platform (ecobee, Renew Home/Google Nest, EnergyHub for utilities) runs the program.Small rewards set by the utility program. ecobee says customers could 'earn up to $125 in rewards' and that 'the incentive type and amount will vary based on the utility program.'Only the device. ecobee's Community Energy Savings is free to join.Low. Enrollment happens in an app, and you can 'opt-out of an event at any time.'
Your electric vehicle as a batteryThe homeowner owns the EV and the bidirectional charging equipment.The utility pays, often through an aggregator (Sunrun ran BGE's pilot), and payments go to participants.Payments for energy the vehicle sends to the grid at peak times. In the 2025 BGE pilot, payment was based on energy dispatched between 5 and 9 pm on weekdays, with a per-season cap. Sunrun's CalReady+ also lists an EV reward.The vehicle and compatible bidirectional hardware (the BGE pilot used the Ford Charge Station Pro and a Home Integration System, up to 9.6 kW).Early-stage. The first US residential V2G power plant (Sunrun and BGE, Maryland) had three participants in its summer/fall 2025 pilot.

01

Own your battery and enroll it in a utility 'bring your own device' program

Good to know

  • Homeowner keeps the equipment and all of the program incentive
  • Can usually opt out; backup reserve settings stay with the owner
  • Works with many battery brands through approved inverter or battery makers

Trade-offs

  • Largest upfront cost of any model
  • Payments depend on the local utility program and can change after a lock-in period
  • Battery is drained during events, so less charge is held for backup on event days

Examples: National Grid / Mass Save ConnectedSolutions (MA); Tesla VPP programs through utilities in 24+ states; Enphase, SolarEdge and FranklinWH utility program enrollments

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02

Third-party-owned battery or solar + battery (lease, PPA or subscription), dispatched by the company

Good to know

  • Little or no upfront cost
  • The company handles maintenance, monitoring and grid enrollment
  • Puts batteries within reach of households that couldn't buy one

Trade-offs

  • Homeowner doesn't own the equipment; most of the grid revenue goes to the company
  • Long contract terms; moving or selling the home needs a transfer
  • The company decides when the battery is used for the grid. Ask how much charge the agreement keeps in reserve for your backup during grid events.

Examples: Sunrun CalReady (CA) and other Sunrun distributed power plants; SOLRITE (TX, IL and others); Haven Energy (CA)

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03

Battery bundled with a retail electricity plan (deregulated markets such as Texas/ERCOT)

Good to know

  • Backup power with low upfront cost when the company owns the battery
  • One bill and one company for both electricity and battery
  • Uses Texas' competitive retail market and ERCOT's ADER pilot

Trade-offs

  • Only available where retail choice exists or where the provider has a utility or co-op partnership
  • Ties your electricity supply to one provider
  • The company decides when to dispatch, within backup-reserve rules

Examples: Base Power (TX, IL); Tesla Electric VPP (TX); SOLRITE program with sonnen batteries (TX)

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04

Smart thermostat and smart-device demand response

Good to know

  • Cheapest and easiest way to take part
  • No new equipment beyond a smart thermostat
  • Full control: override any event

Trade-offs

  • Smaller rewards than battery programs
  • Events change home temperature (precooling or preheating, then small adjustments at peak)
  • No backup power

Examples: ecobee Community Energy Savings; Renew Home (Google Nest thermostats); Sunrun CalReady+ thermostat rewards

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05

Electric vehicle managed charging and vehicle-to-grid (V2G)

Good to know

  • Uses a large battery the household already owns
  • Can also power the home during outages (vehicle-to-home)

Trade-offs

  • Very few programs, mostly pilots
  • Needs specific vehicles and bidirectional chargers
  • The car has to be plugged in at event times, and dispatch lowers its range

Examples: Sunrun + BGE V2G pilot with Ford F-150 Lightning (MD); California DSGS Option 3 allows bidirectional EVSE aggregators

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Questions welcome, no obligation

Ask about your home

Tell us where you live and what you're curious about. We'll point you to the programs that fit, and connect you with a program partner only if you choose one below.

  • We answer questions about any program on this site.
  • In Texas, Illinois and California, our partner VirtuGrid can check whether your home fits the SOLRITE home battery program.
  • You'll always see who will contact you before you send.

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