Reducing VPP risk for utilities, participants and other ratepayers

A new report looks at "virtual power plants," or VPPs — networks made up of home solar panels, batteries, and electric vehicles that work together to support the power grid. If you have solar, a battery, or an EV, this is the kind of program that might eventually let your equipment earn money or bill credits by helping balance electricity supply and demand, especially during peak hours.

The report says VPP capacity could grow sharply by 2030, and programs already exist in at least 30 states. For homeowners, the appeal is straightforward: potential payments, lower bills, and in some cases backup power during outages. But the report stresses that clear rules need to be in place first, covering who enrolls you, who can send commands to your devices, who controls them, how your performance is measured, and how you get paid. It also flags that you should be able to see clearly whether you're giving up control of your equipment and whether you can opt out of events.

The report calls for strong consumer protections, including enrollment contracts that are easy to understand, plus solid cybersecurity and clear rules for how compensation works. It also notes that regulators need to watch for situations where costs shift unfairly between homeowners who join a VPP and those who don't. None of this means a specific program is available at your address yet — rules and offerings vary by state — but it signals that if you have solar, battery storage, or an EV, it may be worth checking what VPP programs, if any, your state or utility currently offers.