Utilities expand virtual power plant programs paying households for smart devices
Virtual power plants let utilities remotely adjust smart thermostats, EV chargers, batteries and solar panels in homes to reduce strain during peak demand, in exchange for bill discounts or signup bonuses. More than 500 such programs already run across the US, with about 4 million smart-thermostat households enrolled as of last year, and interest is growing as companies like Google invest in the technology to support data centers.
GoKawiil's interpretation of the reporting above, not reported fact.
Aggregating small reductions in household energy use across millions of homes can mimic the output of an actual power plant, offering a cheaper, faster alternative to building new generation capacity. However, experts caution that poorly designed programs could misjudge participants' actual usage patterns, meaning some households might end up paying more rather than saving money.
- VPPs bundle home devices like thermostats and EV chargers so utilities can shift electricity demand during peak hours.
- Participants can earn signup bonuses and ongoing savings, ranging from tens to potentially thousands of dollars annually.
- Experts warn that flawed program design could lead to inaccurate billing and higher costs for some enrollees.
Google Nest Learning Thermostat — A smart thermostat is the easiest on-ramp to a virtual power plant, since most utility VPP programs start by enrolling devices like this one. The Nest Learning Thermostat adjusts to your schedule automatically and can be controlled from your phone, so utility-driven tweaks during peak hours stay comfortable and hands-off.
See Google Nest Learning Thermostat on Amazon → Affiliate link — we may earn a commission on purchases, at no extra cost to you. Product picked by AI based on this article; it is not a tested recommendation.Source: technologyreview.com — Eshan Raul, 2026-08-28
Published there as: “How to sign up for a virtual power plant—and decide whether you should”
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