Tesla rolls out Virtual Power Plant to SDG&E customers in San Diego

Published

1 year ago

September 21, 2023

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Tesla’s Virtual Power Plant program, a way for Powerwall owners to make money selling energy to the grid in times of need, is rolling out to San Diego Gas & Electric utility customers now.

SDG&E announced late last month the start of its own virtual power plant (VPP) program which would leverage household backup batteries and smart devices to reduce demand and increase supply of electricity to the grid during “demand response” events – when the grid is stressed and needs to spin up extra capacity to keep the lights on.

However, Tesla’s program is separate from SDG&E’s, even though it’s part of the same service area.

Demand response events are often expensive, because the price of a blackout is high, and the price of marginal electricity generation (often via gas peaker plants) is costly both economically and environmentally. During last year’s record heat wave, the wholesale spot price of electricity got as high as ~$2,000/MWh in parts of the state (as of the writing of this article, the price is currently ~$49/MWh).

A home or business with access to energy storage might want to leverage that storage by buying electricity while it’s cheap, and then discharging it to the grid while it’s very expensive. While this is possible on a home-to-home basis by arbitraging cheap off-peak energy and using it during on-peak times, it isn’t really great for widespread grid events unless several home storage systems can be joined together.

What does a Virtual Power Plant do?

Enter the VPP, which combines thousands of internet connected devices across a wide area and manages them all together in order to make a significant difference on the grid in times of need.

SDG&E has been running its own pilot VPP program since December, which has been tested 17 times. Participants get a message that a demand response event is coming and can choose to opt-out for certain devices (for example, to keep their air conditioning running at full blast). SDG&E says that the opt-out rate has been very low so far, suggesting that participants are happy to do their part when the grid is in need.

We saw similar behavior statewide in California last year when the grid faced its highest level of demand ever recorded on an exceptionally hot day. California’s grid operator sent out a text message to everyone in the state asking them to conserve energy, and Californians reduced their energy use by multiple gigawatts in mere minutes, thus saving the grid from overloading statewide.

But with a virtual power plant, participation doesn’t need to be voluntary, it can be automatic (for those who have signed up). And in exchange for the valuable benefit of helping to avoid blackouts by adding electricity to the grid when it is most expensive, VPP participants can be paid for their service.

We’ve already seen this happening with one of the largest and earliest VPPs out there, Tesla’s VPP in Northern California, in the service area of Pacific Gas & Electric. We saw participants receive checks of up to $575 for their first year of participation in the program.

Growth of Tesla VPP as it expands to San Diego

Tesla’s VPP program has been growing. Last time we checked in last year, it was capable of providing 50 MW across California, which is about as much as one average gas peaker plant (the state has about 7GW of gas peaker capacity total). This was right after Tesla opened up the program to SoCal Edison customers.

As of now, the site we were using to track growth has changed its measurements a little, but it looks like the system can provide ~116MWh of potential backup energy – so as much as running two gas peaker plants for an hour or so.

And as of now, Tesla Powerwall owners in San Diego can join the Virtual Power Plant program by enrolling through the same Tesla app which they use to manage their Powerwall.

All owners need to do is open up their app to the Powerwall page and tap on the “Virtual Power Plant” item, which should be at the top of the list, as seen below:

Tesla will provide an estimate of how much you can earn by participating in the program, based on the size of your system and your standard usage. Of course this is just an estimate, and you can always change your settings or usage to try to maximize this number, especially on days where demand response events are likely (e.g., hot days in California, which tend to stress the grid the most due to overuse of air conditioning).

In addition to California’s struggles with hot weather events (which are worsening due to climate change), SDG&E has rather wide time-of-use rates, with super off-peak rates of 24 cents per kWh, raising as high as 70-80 cents during on-peak times. This makes Powerwalls more attractive due to the possibility of energy arbitrage – and even more attractive during demand response events, where effective wholesale rates can go much higher than that.

Tesla also is also working on rolling out VPPs to Texas and Puerto Rico, and has another massive VPP in South Australia, an area which has been struggling with electricity issues for years now.

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Environment

Texans can now join a VPP and get 2 sonnen batteries at no upfront cost

Published

5 hours ago

January 17, 2025

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Texans can now join a VPP and get 2 sonnen batteries at no upfront cost

A groundbreaking new Virtual Power Plant Power Purchase Agreement (VPA) provides Texans with solar panels and two 20 kWh sonnen batteries at no upfront cost.

A new sonnen storage + solar VPP for Texans

SOLRITE Energy, which finances solar and battery storage, and global battery storage manufacturer sonnen today announced the launch of their new VPA in Texas’s ERCOT market. This program offers solar and battery storage for homeowners at an affordable monthly rate, making backup power accessible for many Texans.

Here’s how it works: SOLRITE installs solar panels and sonnen batteries at eligible customer households with no upfront cost. (I’ve asked the sonnen spokesperson what the eligibility criteria are and will update this post when I hear back.) Homeowners then pay a lower-than-average rate for the solar energy they produce each month, saving them money compared to typical electricity rates in Texas.

Texans participating in the SOLRITE program pay a leading rate of 12¢ per kWh for solar energy, significantly lower than the 19-20¢ per kWh rate commonly seen in the state.

The sonnen batteries provide backup power for each home at no charge and enable Texan homeowners to join a larger virtual power plant (VPP) network. The VPP supports the Texas grid, reducing reliance on polluting power plants during times of high demand. SOLRITE and sonnen generate revenue from the energy stored in these batteries, which helps cover the cost of the equipment, and that’s what allows homeowners to use the battery systems at no cost.

Each day, the sonnen batteries in the VPP help balance the Texas grid by directing power where it’s needed most and when it’s most valuable. This reduces energy costs for everyone, whether they’re in the VPP or not, and strengthens the grid’s efficiency and resilience.

The VPP also differs from traditional solar buyback programs that send extra energy to the grid whenever it’s sunny. Instead, the sonnen battery network strategically controls when and how energy is shared with the ERCOT grid, making solar energy a more reliable power source.

Since September 2024, SOLRITE says it’s already committed over 40 megawatt-hours of residential battery power to the Texas market through this program, working with solar installers statewide.

Blake Richetta, chairman and CEO of sonnen Inc. USA said:

The bold and inventive SOLRITE introduction in the Texas market represents the most successful early-stage launch of the sonnenConnect VPP in the world.

sonnen is proud to dispatch authentic VPPs across the United States and Australia, as well as the largest behind-the-meter residential battery based VPP in the European Union – with nerve centers in Germany, Italy and Belgium, amongst other countries.

And in all of these markets, we have never seen anything like the SOLRITE Texas launch. We are so proud of the SOLRITE invention, and we are passionate to build a SOLRITE-Future for Texas.

Electrek’s Take

I belong to a virtual power plant in Vermont and have two Tesla Powerwalls, and I love being part of this program. I lease my Powerwalls for $55 a month and had to pay a couple thousand dollars to have them installed, so what sonnen and SOLRITE are offering to Texans is a really good deal.

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Environment

As Biden heads out, $43.7M goes to 25 EV charging accelerator projects

Published

6 hours ago

January 16, 2025

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As Biden heads out, .7M goes to 25 EV charging accelerator projects

The Joint Office of Energy and Transportation’s Communities Taking Charge Accelerator has awarded $43.7 million to 25 innovative EV charging projects across the US.

The Communities Taking Charge Accelerator was launched on April 16, 2024, and the funding comes from the Infrastructure Investment and Jobs Act.

The three main goals of the funding are to expand access to electrified mobility options for folks who don’t have access to home charging, accelerate opportunities for fleet electrification, and improve and advance managed charging systems to mitigate impacts and optimize usage of the grid.

On January 15, 25 project awardees were announced that impact 23 states, the District of Columbia, and Puerto Rico. Challenges that the projects will address include:

Solving for no-home charging. Not everyone has a driveway or garage to charge their EVs, e-bikes, or scooters. Projects are testing creative solutions like curbside chargers, multifamily charging setups, and shared community micromobility hubs. They also look at everything from rate design to building multimodal charging hubs, making it easier for people in apartments or urban areas to power up.

In this project, for example, Voltpost will install lamppost EV chargers in San Francisco using existing infrastructure.

Electrifying fleets for people and goods. Think of shared rides, carpool services, and last-mile delivery trucks. Electrifying these types of light- and medium-duty fleets could have a huge impact on reducing emissions. These projects aim to figure out how to charge fleets more efficiently, whether they’re transporting people or goods. It’s all about improving community access to clean transportation options while keeping operations smooth for fleet operators.

The Los Angeles County Metropolitan Transportation Authority’s project allows Metro Bike Share to increase access to electric bikes by implementing electrified stations with in-dock charging.

Managed charging for clean reliable energy. Managed charging is about coordinating when and how EVs charge to avoid grid strain and use renewable energy whenever possible. Projects in this area are working on open-source tools and standards to make managed charging tech accessible and easy to integrate into today’s energy systems.

The University of Alabama is running a project to develop and implement an end-to-end multi-stakeholder EV charging management framework to enhance grid reliability.

Gabe Klein, executive director of the Joint Office, said, “This investment aims to expand transportation and energy infrastructure to meet the current and anticipated demands – from how people charge and use shared vehicle fleets including e-bikes around transit hubs to a new model for more affordable multifamily housing charging – advancing a more holistic energy and transportation ecosystem.”

Electrek’s Take

The Biden administration has been rapidly doling out funds to clean energy and EV projects, and it’s great to see the Communities Taking Charge Accelerator funds reach its recipients at the 11th hour. There are some great projects, which you can check out here.

Your personalized solar quotes are easy to compare online and you’ll get access to unbiased Energy Advisors to help you every step of the way. Get started here. –trusted affiliate partner

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Environment

Tesla says a new way to clean cameras are coming

Published

8 hours ago

January 16, 2025

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Tesla says a new way to clean cameras are coming

Tesla announced on X that it is working on a new way to keep the cameras clean on the Cybertruck.

Hopefully, it will make its way to other Tesla vehicles because it is a common problem with the performance of its advanced driver assist systems (ADAS).

When driving using Tesla’s Autopilot or Full Self-Driving (Supervised) suite of driver-assist features, you will often get an alert that the system might not work properly because “one or more cameras are obstructed” due to dirt or snow coming off the road and into the lenses.

For Cybertruck, that’s an even problem because the rear-view camera is the only way to look behind the vehicle when the tonneau cover is up.

It led to some owners complaining that they need to remember to clean the camera at the back of the truck almost every time they use it, especially in the winter.

Tesla responded to some of those comments through its ‘Tesla AI’ account on X. One owner specifically asked if Tesla is planning a solution for when it achieves “unsupervised self-driving” because it then can’t expect someone to always be able to clean the cameras and Tesla responded:

On a more serious note, a more comprehensive cleaning solution is being worked on.

Tesla didn’t elaborate on the solution or when it would be available.

Back in 2019, we reported on Tesla applying for a patent on technology “to use laser beams to clean debris off its cars automatically.” It mused that it could be used to clean cameras, but nothing came out of the patent application.

Tesla says that it plans to achieve unsupervised self-driving capability in California and Texas around Q2 2025, but the latest data makes this sound extremely unlikely, to say the least.

Electrek’s Take

I doubt that it will be lasers, though it would be cool, but there’s undoubtedly a need for a solution.

In my own experience with FSD in the Quebec winter, I get alerts of obstructed cameras literally every other drive.

Tesla has already implemented heaters, which help some, but other than the front-facing cameras, which benefit from the windshield wipers, there’s a need for more.

What’s interesting here is Tesla basically admits that for unsupervised self-driving, which was part of the question it answered, it needs to add extra hardware to make it work.

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