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August 10, 2026

Virtual power plants (VPPs)

  • Companies including GM, Ford, Google would work together to establish standards for scaling up use of VPPs.
  • VPP is a network of decentralized power generating units that pool together thousands of energy resources like electric vehicles (EVs) or electric heaters.
  • VPPs use advanced software to react to electricity shortages with techniques like switching households’ batteries from charge to discharge mode or prompting electricity-using devices to back off their consumption.
  • VPPs will enable grid planners to better manage growing electricity demand and make sure grid stays reliable even in extreme weather challenges and aging infrastructure.

 

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