Solar Power World

  • Home
  • Top Solar Contractors
  • Articles
    • Most Recent Posts
    • News
      • Latest News Items
      • SPW State News Hub
      • IRA coverage
      • Solar tariffs
      • U.S. manufacturing updates
    • Featured
      • Latest Feature Stories
      • Contractor’s Corner
      • Trends in Solar
      • The Solar Explorer
  • Policy
    • The Solar Policy Scoop
    • IRA Coverage
  • Markets
    • Residential
    • Commercial
    • Community Solar
    • Utility
  • Products
    • Winners of SPW’s 2024 Top Products
    • Batteries and Storage
    • Electric Vehicle (EV)
    • Inverters
      • U.S. solar inverter manufacturers
    • Racking and Mounting
      • U.S. solar mounting manufacturers
    • Software
    • Solar Panels
      • U.S. solar panel manufacturers
  • Resources
    • About SPW
    • Digital Issues
    • Event Coverage
    • Podcasts
    • Product Manufacturing Locations
      • U.S. solar inverter manufacturers
      • U.S. solar mounting manufacturers
      • U.S. solar panel manufacturers
    • Solar Classrooms
    • Suppliers
    • Videos
    • Webinars / Digital Events
    • Whitepapers
    • Voices
  • 2025 Leadership
    • 2024 Winners
    • 2023 Winners
    • 2022 Winners
  • Advertise
  • Subscribe

California Energy Commission approves new statewide VPP program

By Kelsey Misbrener | July 27, 2023

Share

An SMA solar + storage installation.

The California Energy Commission (CEC) approved on July 26 a new program that would tap into thousands of distributed solar-charged and standalone batteries located at homes and businesses throughout the state to meet the state’s growing electricity needs, particularly on hot summer evenings.

The concept is sometimes called a “virtual power plant,” and it is now featured in an innovative new part of the CEC’s Demand Side Grid Support program. The program would allow fleets of customer-sited batteries to be remotely dispatched when demand for electricity is at its highest, the grid most stressed, and energy prices through the roof. Energy prices rise when supplies are tight, like in a heat wave when demand for electricity spikes to keep air conditioners running. Bringing fleets of batteries online during these high-price events will help respond to grid emergencies, avoid power outages, help lower prices for all ratepayers and ultimately avoid grid emergencies in the first place.

Approximately 100,000 solar-charged batteries are currently installed at businesses and homes throughout the state. These batteries have the combined capacity of approximately 1 GW of power, which is the size of one nuclear reactor. Unlike a traditional power plant, these batteries are extremely nimble, with the ability to respond in an instant when energy is needed.

“Energy needs in the 21st century demand innovative thinking and that is what the California Energy Commission is embracing today,” said Bernadette Del Chiaro, executive director of the California Solar & Storage Association. “California must do more to encourage consumers to adopt solar and battery technologies at the local level so that we can keep the lights on and the air clean.”

The program adopted on June 26 is an early step toward a future electric system that could ultimately draw on millions of clean, distributed batteries to support the grid, communities, and residents. The battery virtual power plant pathway was proposed by the California Solar and Storage Association as a way for the state to take better advantage of the many strengths of customer-sited energy storage.

The challenge for the state is to get more consumers investing in these batteries and to create programs and incentives to allow energy providers to tap into them during the small number of hours each year when the grid is most stressed. This challenge is supported in part by this new program, but much more needs to be done to meet California’s ambitious electrification goals.

The CEC passed guidelines for this program with a unanimous vote of three commissioners at its July 26 business meeting in Sacramento. With the passage of the new guidelines, Demand Side Grid Support providers — including companies that operate virtual power plants composed of customer batteries — are expected to enroll in the program and begin signing up customers as early as this summer.

“Today’s vote marks one small step but a step in the right direction nonetheless,” said Del Chiaro. “We applaud the Commission’s action today and look forward to working with more California policy makers to build more clean energy for the benefit of everyone.”

News item from CALSSA

About The Author

Kelsey Misbrener

Kelsey Misbrener is currently managing editor of Solar Power World and has been reporting on policy, technology and other areas of the U.S. solar market since 2017.

Tell Us What You Think! Cancel reply

Related Articles Read More >

ARRAY Technologies’ new Hail XP solar tracker built for extreme weather
TWAICE enhances battery analytics software
New Enphase battery owners in NY can now receive up to $6,250 in incentives
Sungrow’s 5-MWh ESS approved for installation in New York City
Solar Power World Digital Edition
Check in with the nation's leading solar construction magazine today.
 
“the-informed-solar-installer”
“solar
“spw
EXPAND YOUR KNOWLEDGE AND STAY CONNECTED
Get the latest info on technologies, tools and strategies for Solar Power Professionals.

Contractor’s Corner Podcast

“solar
Solar Power World
  • Top Solar Contractors
  • Solar Articles
  • Windpower Engineering & Development
  • Leadership
  • About/Contact Us
  • Subscribe
  • Advertising
  • WTWH Media

Copyright © 2025 WTWH Media LLC. All Rights Reserved. The material on this site may not be reproduced, distributed, transmitted, cached or otherwise used, except with the prior written permission of WTWH Media
Privacy Policy | RSS

Search Solar Power World

  • Home
  • Top Solar Contractors
  • Articles
    • Most Recent Posts
    • News
      • Latest News Items
      • SPW State News Hub
      • IRA coverage
      • Solar tariffs
      • U.S. manufacturing updates
    • Featured
      • Latest Feature Stories
      • Contractor’s Corner
      • Trends in Solar
      • The Solar Explorer
  • Policy
    • The Solar Policy Scoop
    • IRA Coverage
  • Markets
    • Residential
    • Commercial
    • Community Solar
    • Utility
  • Products
    • Winners of SPW’s 2024 Top Products
    • Batteries and Storage
    • Electric Vehicle (EV)
    • Inverters
      • U.S. solar inverter manufacturers
    • Racking and Mounting
      • U.S. solar mounting manufacturers
    • Software
    • Solar Panels
      • U.S. solar panel manufacturers
  • Resources
    • About SPW
    • Digital Issues
    • Event Coverage
    • Podcasts
    • Product Manufacturing Locations
      • U.S. solar inverter manufacturers
      • U.S. solar mounting manufacturers
      • U.S. solar panel manufacturers
    • Solar Classrooms
    • Suppliers
    • Videos
    • Webinars / Digital Events
    • Whitepapers
    • Voices
  • 2025 Leadership
    • 2024 Winners
    • 2023 Winners
    • 2022 Winners
  • Advertise
  • Subscribe