Virtual power plants in the US
The standing record of US virtual power plants and what happens to them next.
Where things stand
As of October 14, 2026, US virtual power plants are growing through state programs and private capacity deals while FERC Order 2222 market access arrives operator by operator; DOE's January 10, 2025 Liftoff update counted 33 GW across North America.
Order No. 2222 requires each regional grid operator to open its markets to aggregations of distributed energy resources. CAISO's program has run since November 1, 2024 (tracker report), and ISO New England's program takes effect November 1, 2026 (readiness page). Next: NYISO compliant software by the end of 2026 (project list); PJM full go-live February 1, 2028 (deck); MISO day-ahead and real-time participation January 1, 2030 (timeline); SPP second-quarter 2030 (filing).
Texas, outside FERC jurisdiction, runs ERCOT's Aggregate Distributed Energy Resource pilot (PUCT Project No. 53911), whose registered capacity limit ERCOT raised from 200 MW to 500 MW on March 2, 2026.
California's Demand Side Grid Support program had an estimated 1,145 MW enrolled (CEC April 27, 2026 guidelines). Funding past 2026 is unsettled: SB 168 opened 2021 backup-assets money to DSGS through June 30, 2027 without stating an amount; AB 113, chaptered September 18, 2026 (history), carries no new DSGS appropriation; and Advanced Energy United says the program "is currently funded only through the end of 2026" (coverage). SB 913, requiring resource adequacy pathways for aggregations by June 30, 2028, was approved on September 30, 2026 (history; coverage).
New Jersey board staff's July 15, 2026 straw proposal would launch a utility-run interim program by July 1, 2027 and an open-access tariff from 2029; the board's August 17 storage straw would pay up to 150 MW of home batteries up to $200 per kilowatt-year for 10 years (coverage). Staff's September 3 deck says Block 1 will be established in the interim VPP program's minimum-filing-requirements order, which the straw expects staff to present in October 2026.
Colorado's program is in effect: the PUC approved Public Service Company of Colorado's aggregator settlement in Decision No. C25-0903, the Advice Letter No. 2014 tariff is Effective per the docket sheet, and the program plan says enrollment opens in 2026 for an estimated 25 MW a year, 125 MW by the end of 2030.
Sunrun, Renew Home (now Everyday Electric), and Tesla announced on June 24, 2026 an agreement to deliver "more than 16 gigawatts" of flexible capacity to hyperscalers and utilities. Voltus will aggregate up to 100 MW a year in PJM under its Google agreement and expects to grow its platform to 20 GW by 2030 (release). PG&E's SHARE pilot, which PG&E says Google fully funds, aims to enroll nearly 21,000 home devices with no capacity figure (coverage). Central Georgia EMC will dispatch a 50 MW fleet of Base Power home batteries, with first installations scheduled for 2027 (coverage).
Timeline
- 2026
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Sunrun said its and Tesla's residential batteries delivered 669 MW of peak power to California's grid on October 5 and 745 MW on October 6; DSGS dispatches on both evenings were triggered by a CAISO day-ahead locational marginal price above $200/MWh, and on October 5 DSGS and ELRP (the CPUC's Emergency Load Reduction Program) dispatched concurrently across all participating investor-owned utility territories, with no per-program split given (release). Tesla's October 8 post showed 85,774 participating Powerwall homes, 601 MW of participating peak power and 932 MWh of output on October 6 (coverage).
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FERC rejected PJM's Interim Resource Adequacy Service and Bring Your Own New Capacity rules (docket ER26-3515), under which new generation, storage and eligible demand-side resources could have offset a new large load's curtailment exposure, and kept only PJM's Large Load definition and registry (order; coverage).
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Renew Home renamed itself Everyday Electric and introduced Everyday VPP, which it describes as "a personalized virtual power plant that builds upon traditional demand response programs," with direct partnerships with HVAC, EV, EVSE, storage and solar OEMs; it said it had acquired Smartcar, a connected-vehicle platform, to support customer savings and managed charging in the utility programs it operates, without disclosing terms. The company says it coordinates 6+ GW of capacity across connected products; its about page counts batteries at installed rated capacity and HVAC at the one-hour peak load shift potential of connected smart HVAC systems and thermostats (release; acquisition announcement; about page; coverage).
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Governor Newsom approved SB 913, which adds Section 380.1 to the Public Utilities Code and requires the CPUC, in coordination with the CEC and CAISO, to enhance existing market-integrated pathways for aggregated distributed energy resources to qualify as resource adequacy capacity by June 30, 2028; September 30 was the last day to return it under Article IV, Section 10(b)(2) of the state constitution, the Governor's office listed it among the day's signings in its legislative update, and the Secretary of State chaptered it the same day as Chapter 987, Statutes of 2026 (bill history; enrolled text; coverage).
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Sunrun and SPAN announced an expansion of their partnership under which Sunrun will provide home solar and battery storage, with a SPAN smart panel, through a pre-paid lease at no cost to the builder or homeowner, to new-construction homes in Texas and "other specified markets" it does not name that host SPAN's XFRA compute nodes, and will enroll the home batteries in its grid service programs; the release's subhead promises "residential deployment at gigawatt scale" and its body gives no node count, megawatts or compute buyer (release; coverage).
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Sunrun and Tesla said in a joint release that their home battery fleets dispatched more than 580 MW of peak power to California's grid for three hours on the evening of September 9, 2026: 517 MW from Tesla Powerwalls (110,000 Powerwalls participated, 55% of them owned and operated by Sunrun) and 63 MW from what the release calls additional batteries, with Sunrun also dispatching more than 30,000 of its customers' batteries from other manufacturers; the DSGS event was triggered by the CAISO day-ahead locational marginal price exceeding $200/MWh and the ELRP event was called by PG&E for its territory, and the companies call it the largest distributed power plant dispatch event on record (release; coverage).
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Governor Newsom signed AB 113, the Budget Act of 2026 amendments bill, chaptered as Chapter 248, Statutes of 2026; the chaptered text carries two $10 million appropriations for the Distributed Electricity Backup Assets program, each restricted to new clean microgrids or new non-residential or aggregated residential distributed clean energy and storage projects, and does not name the Demand Side Grid Support program (bill history; chaptered text; coverage).
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The Virgin Islands Energy Office ran two half-hour tests of its Tesla-operated VIBES-2.0 virtual power plant in the US Virgin Islands: 190 residential batteries across 80 sites on St. Thomas and St. John discharged at approximately 800 kW and 108 batteries on St. Croix at approximately 500 kW, per the office's September 16 release, which put the combined total at 2.5 MWh without saying how it was measured (about 0.65 MWh by The Duck Curve's arithmetic) and total incentives paid or processing at approximately $244,000 (release; coverage).
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Written comments closed on New Jersey's GSESP Phase 2 Block 1 storage straw with 36 comments dated August 15 to September 10, 2026 on the comment page of Docket QO26040116 (plus utility and developer filings on its document list), many asking for payment on average or delivered energy rather than minimum hourly discharge, including Vote Solar asking for $300 per kilowatt-year and at least 60 summer events, Lunar Energy supporting $200, and Rockland Electric asking for a $2,000 to $3,000 upfront payment on top of it (docket).
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Southern California Edison requested a three-hour dispatch during peak hours of the Sunrun and Tesla batteries enrolled in ELRP in its territory, which the September 9 event had not dispatched; the companies say they delivered more than 140 MW (release).
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Tesla Energy said on X that about 69,000 Powerwall owners across California were dispatching more than 500 MW to the grid during a heatwave; its attached dashboard screenshot, live as of 7:17 p.m. PDT, showed 105,009 homes in California VPPs, 68,887 homes in a VPP event, and 507 MW of battery power discharging (post; coverage).
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New Jersey board staff held the GSESP Phase 2 Block 1 stakeholder meeting; the deck says the program "will be officially established as part of the VPP Interim Program Minimum Filing Requirements Order" (presentation).
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SB 913 was enrolled and presented to Governor Newsom (bill history).
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California's Senate passed and Assembly concurred in AB 113, the budget bill, with no appropriation for the Demand Side Grid Support program, though it reappropriates Item 3360-108-0001 of the Budget Act of 2021, the backup-assets money SB 168 opened to DSGS, for encumbrance or expenditure until June 30, 2027 (bill text; coverage).
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Shell confirmed the completed sale of the German home battery and VPP company sonnen to the family office Tiven (Energy-Storage.News; coverage).
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The New Jersey Board of Public Utilities announced its August 17 straw proposal for up to 150 MW of behind-the-meter residential storage paid up to $200 per kilowatt-year for 10 years, targeted to open by July 2027 and excluding any project under contract with a data center or other new large load (straw proposal; coverage).
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The New Jersey board announced a July 30, 2026 public meeting in West Windsor Township to take stakeholder feedback on the VPP straw proposal (release).
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New Jersey board staff issued a straw proposal for a statewide VPP program, adopting a working definition of a VPP as an aggregation of DERs and other load management technologies that can balance electrical loads to defer or avoid transmission or distribution upgrades and provide "utility-scale, utility-grade grid services analogous to those provided by traditional generation resources," with an interim utility-run program launching no later than July 1, 2027, an open-access tariff from 2029, and an appendix sizing a 2 to 7 percent statewide peak shave at 393 to 1,374 MW (straw proposal).
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California's SB 168 was approved by the Governor as Chapter 81, making 2021 Distributed Electricity Backup Assets money also available to the Demand Side Grid Support program through June 30, 2027 (bill text; bill history).
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Sunrun, Renew Home, and Tesla announced a framework to deliver more than 16 GW of flexible capacity to hyperscalers and utilities from home batteries and more than 8 million smart thermostats and devices, with more than 300 MW they say is available in Virginia, expected to grow to at least 500 MW by 2030 (release).
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Voltus announced a three-year Bring Your Own Capacity agreement with Google for up to 100 MW a year of distributed resources in PJM (release).
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FERC accepted SPP's Order 2222 compliance filing, as amended on April 9, 2026, according to SPP's May 2026 regulatory status report (report).
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Ann Arbor's Sustainable Energy Utility began installing city-owned solar and batteries in the Bryant neighborhood (announcement; coverage).
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The California Energy Commission approved the fifth edition of its DSGS guidelines, reporting an estimated 1,145 MW enrolled, $109.5 million allocated of an originally envisioned $314 million, and a $19.5 million cap on 2026 storage-VPP payments absent new funding (guidelines).
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Requested effective date of Public Service Company of Colorado's AVPP tariff, filed on more than thirty days' notice; the PUC's docket sheet for Proceeding No. 26AL-0078E lists its status as Effective with no filings after February 25, 2026 (docket sheet).
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PJM's Order 2222 team laid out for stakeholders a schedule in which DERs are able to offer into the 2028/2029 Base Residual Auction under its aggregator model in the June 30 to July 7, 2026 window, enrollment begins in November 2027, and the full model goes live February 1, 2028 (presentation).
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ERCOT raised the ADER pilot's registered capacity limit from 200 MW to 500 MW while leaving its ancillary service limit at 100 MW (market notice).
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Public Service Company of Colorado filed Advice Letter No. 2014 and its AVPP program plan to implement the approved Colorado program: 25 MW per year, a generation capacity incentive of $151.70 per kW-year for year-round aggregations or $106.19 for summer-only ones plus smaller transmission and distribution incentives, rates fixed for five years for first-year aggregations, up to 80 load control events a year for year-round aggregations and 60 for summer-only ones of at most four consecutive hours, and an estimated 125 MW enrolled by the end of 2030 (advice letter; program plan).
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Governor Sherrill signed Executive Order No. 2, declaring a State of Emergency and directing the board to commence development of a VPP program within 180 days (order).
- 2025
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The Colorado Public Utilities Commission issued Decision No. C25-0903, granting the settlement on Public Service Company of Colorado's Aggregator Virtual Power Plant program "without modification," calling it "a reasonable approach for launching Colorado's first VPP Program" but "not the VPP program we expect to have in the coming years" (decision).
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The CEC's December 2025 status report put DSGS at more than 448,000 participants and an estimated load reduction capacity of more than 1 GW as of November 30, 2025, based on provider estimates (report page).
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SPP made its third Order 2222 compliance filing, proposing an effective date in the second quarter of 2030 and asking FERC for an order by February 13, 2026 (filing).
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MISO gave its Distributed Energy Resources Task Force a revised Order 2222 timeline: aggregated resource enrollment available June 1, 2029, day-ahead and real-time market participation January 1, 2030, and capacity market participation from June 1, 2030 (minutes).
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The Brattle Group, commissioned by Sunrun and Tesla Energy, estimated $28 million to $206 million in net system savings from DSGS over 2025 to 2028 and reported an average net-load reduction of 539 MW during a July 2025 test event (release).
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Public Service Company of Colorado filed the settlement agreement on its Aggregator Virtual Power Plant program (Hearing Exhibit 131) that the commission later approved (decision).
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NYISO's 2026 market project candidates list scheduled deployment of Order 2222 compliant software by the end of 2026, building on the FERC-accepted DER participation model it deployed in 2023 (project descriptions).
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FERC approved all outstanding items of PJM's Order 2222 aggregator model, per PJM (PJM presentation, March 9, 2026).
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Public Service Company of Colorado filed its Aggregator Virtual Power Plant application, Proceeding No. 25A-0061E, proposing about $78.5 million for 25 MW of capacity a year over five years (PUC proceeding page).
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DOE released its Liftoff update on virtual power plants, counting 33 GW across North America, describing 80 to 160 GW by 2030 as enough to serve 10 to 20 percent of peak load that could support rapid load growth while reducing overall grid costs, and saying CAISO and ISO New England had fully complied with Order 2222 "though implementation remains slow nationally" (announcement).
- 2024
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CAISO implemented its Order 2222 program, according to the November 2024 FERC Order 2222 and DER policy tracker report (report).
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CAISO's business requirements specification for Order 2222, which references its August 15, 2022 tariff filing, scheduled the implementation release for November 1, 2024, reducing the minimum aggregation size to 100 kW and adding heterogeneous aggregations (specification).
- 2022
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California's AB 205, authorizing the Demand Side Grid Support program, which the CEC's program page describes as incentives for load reduction and backup generation during extreme events from May to October, was approved by the Governor and chaptered as Chapter 61, Statutes of 2022 (bill history; CEC program page).
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ISO New England made its primary Order 2222 compliance filing (key project page).
- 2020
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FERC issued Order No. 2222, requiring RTOs and ISOs to open their capacity, energy, and ancillary service markets to aggregations of distributed energy resources; the rule was published October 21, 2020, took effect December 21, 2020, and set compliance filings due September 17, 2021 (Federal Register).
Next milestone
- 2026-10-28: New Jersey board meeting; next chance for the interim VPP program order.
- 2026-11-01: ISO New England's Order 2222 participation takes effect.
- 2026-12-01: Aggregators' notice-of-intent deadline for PJM's 2030/2031 auction, per New Jersey's VPP straw.
The interim VPP order is not on the posted October 14 agenda; the calendar lists October 28 next. Watch whether the order keeps the per-event minimum-hourly-discharge performance factor, the $200 rate and the 35-event cap.
This is a maintained page: it is revised as the record changes, and every revision is reviewed before it goes live. Dates in the text are the dates the facts hold for, not the date you are reading it.
Sources
Primary
- Agenda for Board Meeting, Wednesday, October 14, 2026 · New Jersey Board of Public Utilities
Supporting
- Participation of Distributed Energy Resource Aggregations in Markets Operated by Regional Transmission Organizations and Independent System Operators (Order No. 2222), 85 FR 67094 · Federal Energy Regulatory Commission via Federal Register
- AB-205 Energy (2021-2022) bill history · California Legislative Information
- Business Requirements Specification: FERC Order 2222 (Document Version 1.2) · California Independent System Operator
- FERC Order 2222 & DER Policy and Implementation Report, November 2024 · Center for Understanding Sustainable Living Now (FERC2222.org / cusln.org)
- U.S. Department of Energy Releases New Reports Highlighting Benefits of Consumer-Centric Solutions for Households, Businesses, and Utilities (Pathways to Commercial Liftoff: Virtual Power Plants Update) · U.S. Department of Energy, Office of Technology Transitions
- Distribution System Plans (Public Service 2025-2029 Distribution System Plan; Aggregator Virtual Power Plant Program, Proceeding No. 25A-0061E) · Colorado Public Utilities Commission
- 2026 Market Project Candidates (Product and Project Management), Section 29: FERC Order 2222 Compliance · New York Independent System Operator
- Brattle Report Finds California's Distributed Power Plant Program Could Deliver Hundreds of Millions in Cost Savings While Supporting Grid Reliability · The Brattle Group via PR Newswire
- Distributed Energy Resources Task Force (DERTF) September 10, 2025 Minutes · MISO
- Order No. 2222 Compliance Filing in Response to September 2025 Order, Docket No. ER22-1697-004 · Southwest Power Pool, Inc.
- Demand Side Grid Support and Distributed Electricity Backup Assets Status Report - December 2025: AB 205, AB 1373 · California Energy Commission
- Decision No. C25-0903: Commission Decision Granting Applications with Modifications, Requiring Filings, Addressing Motions, and Issuing Certain Directives to Guide Future Filings (Proceeding Nos. 24A-0547E & 25A-0061E) · Colorado Public Utilities Commission
- Order No. 2222 Key Project · ISO New England
- Executive Order No. 2 (Governor Mikie Sherrill) · State of New Jersey, Office of the Governor
- Proceeding Detail, 26AL-0078E: Public Service Company - AL 2014 - Tariff 8 - AVPP · Colorado Public Utilities Commission (E-Filings)
- Attachment 1, SB24-218 Aggregator Virtual Power Plant (AVPP) Program Plan · Public Service Company of Colorado (Xcel Energy)
- Advice Letter No. 2014 - Electric (Aggregator Virtual Power Plant program tariff, Colorado P.U.C. No. 8 Sheets 124-124I) · Public Service Company of Colorado (Xcel Energy)
- M-A030226-01 Updates to ADER Pilot Participation Limits · ERCOT
- DER Aggregator Participation Model: Full Model Design (Informational Only), DISRS March 9, 2026 · PJM Interconnection
- Demand Side Grid Support (DSGS) Program Guidelines, Fifth Edition (CEC-300-2026-001-CMF) · California Energy Commission
- Demand Side Grid Support Program · California Energy Commission
- Ann Arbor Sustainable Energy Utility marks milestone with first installations in Bryant neighborhood · City of Ann Arbor
- Voltus and Google to Deliver Grid Capacity and Local Economic Benefits Through Bring Your Own Capacity Agreement · Voltus, Inc.
- Aggregate Distributed Energy Resource (ADER) Pilot Project · ERCOT
- Regulatory Status Report (May 2026), ER22-1697 Order No. 2222 Compliance Filing · Southwest Power Pool, Inc.
- Sunrun, Renew Home, and Tesla Team Up to Deliver More Than 16 Gigawatts of Fast, Flexible Power for Data Centers and Large Loads · Renew Home (joint release with Sunrun and Tesla)
- SB-168 bill history · California Legislative Information
- SB-168 Public Resources (Chapter 81, Statutes of 2026) · California Legislative Information
- Straw Proposal: Virtual Power Plant Program (Docket No. QO26030099) · New Jersey Board of Public Utilities (Staff)
- NJ Proposes "Virtual Power Plant" Plan to Save Ratepayers Millions Annually · New Jersey Board of Public Utilities
- Garden State Energy Storage Program (GSESP) Phase 2: Distributed Energy Storage Capacity Block 1 Straw Proposal · New Jersey Board of Public Utilities
- Sunrun to Supply Voltus with Energy Capacity for AI Hyperscaler Agreements · Sunrun Inc.
- Unlocking California's Flexible Load: A Durable Blueprint for Affordability and Reliability · GridLab, Kevala, and E3
- NJBPU Advances Statewide Home Batteries Program with New Garden State Energy Storage Proposal · New Jersey Board of Public Utilities
- SB-913 Resource adequacy: aggregated distributed energy resources · California Legislative Information
- FERC Order No. 2222 (Participant Readiness Outlook) · ISO New England
- Shell offloads residential battery storage and VPP provider sonnen after seven years · Energy-Storage.News
- PSE&G Introduces GridSmart Battery Program, a New Residential Battery Storage Pilot · PSE&G
- AB-113 Budget Act of 2026 (amendments), Chapter 248, Statutes of 2026 · California Legislative Information
- California Turns Its Back on Proven Low-Cost Reliability Program · Advanced Energy United
- AB 113 bill history (2025-2026 session) · California Legislative Information
- SB-913 bill history · California Legislative Information
- GSESP Phase 2, Block 1: Stakeholder Meeting, September 3, 2026 (presentation) · New Jersey Board of Public Utilities / NJ Clean Energy Program
- PG&E, Rewiring America and Google Launch First-of-its-Kind Virtual Power Plant to Help Lower Costs for All Customers · Pacific Gas and Electric Company
- California Constitution, Article IV, Section 10 · California Legislative Information
- Case Summary, Docket No. QO26040116 (Garden State Energy Storage Program Phase 2, Block 1 Straw Proposal): public comments and documents · New Jersey Board of Public Utilities (Public Document Search)
- Tesla Energy (@teslaenergy) on X: ~69,000 Powerwall owners across California are currently dispatching more than 500 MW to the grid · Tesla Energy (official Tesla account on X)
- VIEO issues nearly $250K in Incentives as VPP Grid Impact Grows · Virgin Islands Energy Office
- NJBPU 2026 Board Agenda Calendar · New Jersey Board of Public Utilities
- Sunrun and Tesla Dispatch 580 Megawatts To California's Grid During Heat Wave, Marking Largest Residential Distributed Power Plant Event In History · Sunrun Inc. (GlobeNewswire distribution)
- Sunrun and SPAN Expand Partnership to Accelerate Distributed Edge Computing · Sunrun Inc. (GlobeNewswire distribution)
- Everyday Electric acquires Smartcar, extending its energy solutions and savings to electric vehicles · Everyday Electric
- Renew Home Rebrands to Everyday Electric, Prioritizes Savings With a Whole-Home Approach · Everyday Electric (PR Newswire)
- Voltus Raises $225 Million to Make Flexibility Foundational to the Grid · Voltus, Inc.
- Tesla Energy (@teslaenergy) on X: 85,000+ Powerwall owners across California dispatched more than 600 MW to the grid · Tesla Energy (official Tesla account on X)
- Order Accepting Tariff Revisions in Part and Rejecting Tariff Revisions in Part, PJM Interconnection, L.L.C., Docket No. ER26-3515-000, 197 FERC ¶ 61,019 · Federal Energy Regulatory Commission
- The Affordability Advantage: How Virtual Power Plants Can Alleviate Household Electricity Bill Pressure, Volume I: Summary Report · The Brattle Group (prepared for Everyday Electric)
- Central Georgia EMC and Base Power Launch Residential Battery Program to Bring Affordable Whole-Home Backup to Georgia · Central Georgia EMC and Base Power (Business Wire)
- Sunrun Leads Record Grid Dispatch Delivering Enough Energy to Power Every Home in San Francisco and San Jose · Sunrun Inc. (GlobeNewswire distribution)
- About Everyday Electric · Everyday Electric
- Governor Newsom issues legislative update 9.30.2026 · Office of Governor Gavin Newsom
Copies of cited sources are retained where available. If a link no longer resolves, request a copy at contact@theduckcurve.com.