Eversource and National Grid have opened their ConnectedSolutions demand response virtual power plant (VPP) in Massachusetts to vehicle-to-grid (V2G)-capable electric vehicles, allowing EV owners to earn compensation by discharging stored battery energy back to the grid during peak demand events. The move marks the first time these two major utilities have integrated bidirectional EVs into a program historically focused on stationary batteries and smart thermostats.
ConnectedSolutions operates as a capacity-based demand response scheme, paying enrolled distributed energy resources for curtailing load or injecting power when the regional grid operator, ISO New England, faces stress. By admitting V2G-capable EVs, the program effectively turns a growing fleet of mobile batteries into a dispatchable grid asset—one that can scale with EV adoption.
Why does this matter for the grid?
Massachusetts leads New England in electric vehicle registrations, and V2G integration directly addresses two perennial grid challenges: peak load shaving and renewable energy firming. When hundreds or thousands of EVs discharge simultaneously during summer air-conditioning peaks, they can reduce the need for gas-fired peaker plants. Critically, the vehicles recharge later during low-demand, high-renewable periods (overnight), creating a daily arbitrage cycle that benefits both the grid operator and the customer.
The program design also rewards participation with a predictable incentive, typically paid as a per-kilowatt capacity payment. While the utilities have not publicly disclosed exact incentive rates for V2G enrollees, the structure mirrors existing stationary battery tariffs—suggesting a business case that is viable for EV owners who already own a bidirectional-capable vehicle (such as certain Nissan Leaf, Ford F-150 Lightning, or Kia EV9 models).
What are the obstacles to scaling V2G in a utility VPP?
Three structural barriers will determine how quickly V2G moves from pilot to mainstream in Massachusetts and beyond:
- Vehicle and charger compatibility: Not all EVs support bidirectional charging, and those that do require certified V2G chargers that communicate with utility dispatch signals—a configuration that remains rare in most households.
- Battery degradation concerns: While recent studies suggest V2G cycles have minimal impact on EV battery longevity, automakers and customers remain cautious. Some warranties still exclude degradation from grid services, creating a perceived risk that dampens enrollment.
- Customer engagement and enrollment friction: Demand response programs historically suffer from low participation rates, and adding V2G introduces a technical setup step (charger registration, network pairing) that non-enthusiast drivers may avoid.
Utility data access is another unspoken hurdle. For a VPP to dispatch EV batteries reliably, utilities need real-time state-of-charge visibility and the ability to pause charging or initiate discharge—a level of control that raises privacy and convenience questions for drivers. Massachusetts regulators have been proactive in data privacy rules, but no standardised telemetry protocol exists across automakers.
Perhaps the most significant industry implication is that Massachusetts is testing a model other states can emulate. California’s Emergency Load Reduction Program and similar VPPs in New York have largely treated EVs as flexible loads, not supply-side resources. By explicitly enrolling V2G as a capacity resource, Eversource and National Grid are validating the economic case for bidirectional infrastructure—potentially accelerating investment in vehicle-integrated power electronics and harmonised interconnection standards.
For energy professionals, the takeaway is clear: vehicle-to-grid is moving out of the lab and into ratepayer-funded programs. The next twelve months will reveal whether customer adoption matches the technical promise, and whether the business model can survive the early years of low bidirectional EV penetration. In the meantime, Massachusetts has provided a playbook—one that turns the humble electric car into a cornerstone of the modern virtual power plant.
Read the full report at Energy Storage News.