Companies including GM, Ford, Google and solar energy producers said on Tuesday they would work together to establish standards for scaling up the use of virtual power plants (VPPs), systems for easing loads on electricity grids when supply is short.
, which will also aim to shape policy for promoting the use of the systems, the companies said.
With permission from customers, they use advanced software to react to electricity shortages with such techniques as switching thousands of households' batteries, like those in EVs, from charge to discharge mode or prompting electricity-using devices, such as water heaters, to back off their consumption.2021 Inflation Reduction Act
RMI estimates that by 2030, VPPs could reduce U.S. peak demand by 60 gigawatts, the average consumption of 50 million households, and by more than 200 GW by 2050. VPPs have already improved grid reliability in such countries as Germany and Australia and in some U.S. states.
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