Once you find a suitable virtual power plant (VPP) program, enrolling is usually simple. You may only need to select the program through your utility or device app, complete an enrollment form, or verify your account and equipment details on a third-party registration page. EV drivers may be able to review program terms and payment information in their automaker’s app and register “with the click of a button,” said Joseph Verrone, CEO of ChargeScape, an electric vehicle-focused VPP company.
However, eligibility requirements can be very specific. Smart thermostat programs may require an approved Wi-Fi-enabled thermostat. Electric vehicle programs can vary by automaker, charger, utility service area, or electricity rate plan. Home battery incentives may depend on the battery manufacturer, inverter, installer, and whether the system can communicate with the utility.
VPP programs are also not available evenly across the United States. They are most common in areas with many flexible energy devices, strained power grids, supportive utilities, or strong clean-energy policies. California, Texas, New England, and parts of the Mid-Atlantic region currently have some of the highest concentrations of virtual power plant programs.
2. Decide how much flexibility you can tolerate.
Before enrolling in a VPP, consider whether you are comfortable allowing a utility or energy company to adjust your connected devices, even if those changes typically occur only a few times per week.
For some households, the impact may be minimal. If your EV is plugged in overnight but needs only two hours to charge, shifting the charging schedule may go unnoticed. A home battery VPP program can also provide valuable compensation, but you should understand how often the battery will be used, how much backup power it must retain, and whether additional charging cycles could affect the equipment’s lifespan or warranty.
Other households “don’t have the flexibility to participate in any of these programs,” said Sanya Curley, a professor at the University of Pennsylvania and director of the Center for Energy Policy and Climate. People who work night shifts, provide caregiving, manage health conditions, or already limit their energy use to reduce utility bills may have less flexibility. These circumstances can make it harder to allow a power company to adjust heating, cooling, EV charging, or battery settings during periods of high electricity demand.
3. Review the opt-out rules and read the fine print.
Most virtual power plant programs allow participants to override temporary changes made by the utility or program operator. This opt-out option can be important when your plans change. For example, can you skip a thermostat adjustment when guests are visiting? Can you start charging your EV before a long trip? Can you preserve additional battery capacity ahead of a potential power outage? Utilities generally aim to make opting out easy, but programs may still include specific rules, limits, or deadlines.
You should also determine how the program collects, uses, and shares your energy data. EV and home battery programs may track information such as charging status, schedules, energy consumption, and power output. Smart thermostat data can reveal when household members are home, sleeping, or using certain appliances. The Electronic Frontier Foundation, a nonprofit organization focused on digital rights, warned that this information could be used to infer private details about daily life inside the home. Depending on the program, data may be shared not only with the utility but also with device manufacturers, software platforms, and other third parties that help operate the VPP.
ChargeScape and EnergyHub say the data collected for these programs is limited and used primarily to operate the equipment. EV data focuses on “the physics and energy of the asset itself,” Verrone said. “It’s not so much about what a particular customer is doing, it’s about what the average customer is doing,” explained Frader Thompson.
4. Decide whether the VPP compensation is worth it.
Virtual power plant compensation can vary significantly by utility, location, device type, and program rules. Payments may not come as regular checks. Instead, participants might receive an enrollment bonus, gift cards, monthly bill credits, discounted or free smart thermostats, reduced-cost EV charging, annual performance payments, or additional “export credits” for electricity sent back to the grid.
Source: www.technologyreview.com