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Tesla launches Virtual Power Plant program in Puerto Rico

Electric vehicle and clean energy company Tesla has unveiled a new virtual power plant (VPP) program in Puerto Rico, enabling owners of its Powerwall home batteries to earn money while supporting the electric grid.

The VPP links distributed battery systems in homes, enhancing grid reliability and resilience in Puerto Rico.

Participants in the Battery Emergency Demand Response Program allow their Powerwalls to provide emergency grid support when needed most, earning $1 for each kilowatt-hour (kWh) supplied during these events.

Customers can adjust their VPP backup reserve to determine the level of their contribution while ensuring an adequate backup energy supply for outages, Tesla explained.

Among the benefits Tesla cited for participants are the ability to stabilize Puerto Rico’s power grid by providing extra capacity, uniting as a “Tesla community,” ensuring energy security as Powerwalls will not discharge below the VPP’s backup reserve, and compensation for the electricity provided

Tesla Powerwall owners are eligible to participate in the Battery Emergency Demand Response Program if they have a residential service account registered with LUMA’s Net Energy Metering program and are not enrolled with another aggregator.

In a statement reflecting the potential of this initiative, Drew Baglino, senior vice president of Powertrain and Energy at Tesla, said: “Excited to be working alongside our partners @sunnovaenergy @sunrun and Powerwall customers to make this the biggest VPP in the world (potential over 300MW) and rapidly reduce the frequency and duration of grid outages in Puerto Rico.”

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1 Comment

  1. Pio Sanoguet March 7, 2024

    In simple terms the initiative seems to be Right but It needs to be analyzed deeper. Based on what was exposed, Luma will have access NOT to the reserve power but will have access to the part that makes US less dependent from the Grid. If in a emergency takes place the first Priority is our houses. If the battery gets drain below the safety level in the Powerwall and their is limited irradiation from the Sun. The Powerwall doesn’t have the capability to be charged with a Generator????; People We live in the Tropics and the Hurricane season is coming we all Know That and it does Not need explanation what We Know. Since the last Hurricane where does We stand???? And if We get Hit again this is a possible scenario, By No means I want to diminish the reputational Tesla and their things that need to be look into before giving access, Are the Powerwall’s designed for this in a continuous bases and if something happen, Who will respond?????

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