Google and virtual power plant operator Voltus have announced a three-year Bring Your Own Capacity agreement to aggregate up to 100 MW of distributed energy resources each year across the PJM Interconnection grid in the US. The programme will draw on batteries, smart thermostats and other flexible assets from homes and businesses, with Voltus paying participants for reducing demand when the grid needs it.

The deal is designed to create a Google-funded virtual power plant that behaves like a decentralised power station, cutting grid stress at peak times without waiting for new large-scale generation to be built. Google says the approach can help meet rising data centre demand more affordably and reliably while also creating direct economic benefits for local customers.

The companies frame the partnership as a model for how large electricity users can support grid expansion through smarter use of existing infrastructure. Google has also been widening its own demand response efforts, including work aimed at unlocking 1 GW of flexibility from its data centres through utility agreements.

Voltus chief executive Dana Guernsey said the agreement could become a blueprint for other large-load customers, while Google’s Michael Terrell said the company wants its energy growth to translate into a more reliable and affordable power system for communities.

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