Tesla Virtual Power Plant with National Grid New York

For eligible Powerwall owners, National Grid New York’s ConnectedSolutions program links batteries across the state to create a large supply of sustainable energy—a virtual power plant—to be used during peak demand. This program only applies to National Grid’s New York service territory. National Grid has a similar program in Massachusetts.

By participating, you’re contributing to a cleaner, more resilient grid—all with the same self-powered and emergency backup features of Powerwall. Learn more about program eligibility, compensation and more.

• Overview
• Eligibility
• Event Experience
• Compensation
• Frequently Asked Questions

Overview of the Program

By becoming a part of the Tesla Virtual Power Plant (VPP) with National Grid NY, your Powerwall will export energy to the grid during summer afternoons when the grid is stressed. The program will dispatch your Powerwall up to 60 times between May 1 and September 30. Participants are compensated on a pay-for-performance basis for the average kW you dispatch during peak events over the course of a season.

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Eligibility

Powerwall owners with or without solar are eligible to participate in the National Grid NY ConnectedSolutions program if they receive electric services from National Grid New York and have a residential utility service account.

Sign up in the Tesla app and your local utility will review your information to determine eligibility. If eligible, you will be automatically enrolled in the program. If you are ineligible, National Grid New York will email you with the reason you are ineligible.

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Enrollment

To enroll, follow these steps: 

1. Open the Tesla app and select the Virtual Power Plant section on the Powerwall home screen.

2. Ensure you have your utility bill with you to retrieve your account information.

3. Enter your name as stated on your utility bill, email and phone number.
4. Review the program information and select 'Accept and Sign Up.'

Once you sign up, your utility will review your application. You will be notified once your application has been approved in the Tesla app. 

If your system is not accepted for the program based on the information provided, you will receive a notification in the Tesla app with the option to re-apply. 

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Event Experience

Once enrolled, Tesla and your local utility will call upon the VPP to reduce peak load during the demand response season from May 1 to September 30. The program will dispatch no more than 60 times with events lasting no longer than four hours.

What to Expect

You do not have to do anything in response to events. Your Powerwall will respond automatically to support the grid and earn you money. Your system will respond to event signals, but performance will depend on your system and other factors. Tesla cannot guarantee any level of performance or dollar value.

• Before the Event: Your Powerwall system will prioritize charging and preparing for an event after the event is scheduled. An event may be scheduled a day ahead, but circumstances may require much less notice.
• During the Event: Your Powerwall will discharge either until the event ends, or until it reaches your selected Event Backup Reserve level.
• After the Event: Powerwall will resume normal operation.

Controlling Your Participation

Powerwall gives you three options for controlling your participation in VPP events: 

• Set Up Event Priority: In the Storm Watch settings, you can tset up event priority. If you prioritize Grid Events, your Powerwall will start discharging during a demand response event, even if Storm Watch is active. 
• Opt Out of a Single Event: When an event is scheduled or active, you can opt out of the event through the Tesla app. When you opt out, your Powerwall will stop reacting to the event and resume normal operation. 
• Suspend Participation: Toggle off participation in the Tesla app VPP settings. This will stop your Powerwall from reacting to future events scheduled until you resume participation. 

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Compensation

The NYSERDA Residential Energy Storage Incentive offers up to $200 per kWh installed in New York. For new Powerwall 3 owners, this could be worth $2,700 per Powerwall. If you install two Powerwall 3 systems, the incentive could be up to $5,000 upfront. To qualify for the incentive, you must enroll in a bring your own battery (BYOB) VPP program with your utility.

During the National Grid NY program season (May 1 – September 30), Powerwall customers can earn $50 per kW, based upon the average hourly performance across all events in the season. That is up to $180 per Powerwall per year. Actual incentives depend on the battery storage system size, average performance and utility territory.  

Powerwall 3 Example: With 13.5 kWh of energy, 20% backup reserve and an average of three-hour events over the season, the performance payout would be: 3.6 kW*$50/kW= $180 incentive per season. 

Performance could be impacted by the following: 

• Events: The number and length of events in a given calendar year. 
• Participating Energy Capacity: The number of Powerwall systems and your VPP Backup Reserve. 
  Note: Lower your VPP Backup Reserve to earn more. 
• Charge Level: How fully charged your Powerwall is before the event. 
• Energy Export: The amount of energy your Powerwall can safely discharge during the event. 
  Note: Powerwall may limit exports to safe levels. 
• Event Opt-outs: You can opt out of a dispatch event but will not receive compensation for those events. 

Payment

National Grid New York will pay customers as a credit on their electric bill for program performance participation. National Grid NY calculates your performance, and the incentives earned based on your Powerwall data as shared by Tesla.

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Participation Agreement

National Grid New York (“the Utility”) created a virtual power plant “(VPP”) program called ConnectedSolutions (the “Program”) to help reduce stress on the electrical grid, supported by Tesla, Inc. (“Tesla”). This Program compensates eligible customers for supplying energy from their Powerwall back to the grid. Tesla, Inc. (“Tesla”) supports this Program, which is open to customers with one or more eligible Tesla Powerwall(s) (each, a “Device”) that Tesla will control during demand response events (each, an “Event”). Your participation is subject to your agreement to be bound by these terms and conditions with Tesla (“Terms”). By clicking “Accept Enrollment” you (“You” or “Participant”) acknowledge that You have read these Terms and agree to be legally bound by them. 

1. Eligibility and Enrollment
   Upon completing the necessary information and agreeing to the Terms, Tesla will submit Your application to Your Utility. Your Utility in its sole discretion shall accept or reject Your participation in the Program. Eligibility criteria at a minimum includes that you: 
   1. Are at least 18 years of age 
   2. End-user must have an residential electric account in good standing with the Utility 
   3. End-User must have a complete interconnection application for BESS with the Utility and remain compliant with interconnection requirements 
   4. Have authority to control the Device as set out in Section 2 
2. Authority
   You should not participate in the Program unless You have the authority to control the Device(s) and are the customer of record for the utility account associated with the address at which the Device is installed (“Customer of Record”). By accepting these Terms, You confirm that You have the authority to control the Device and are the Customer of Record, and that Tesla and the Utility can rely on those confirmations in connection with the Program. 
3. Grant Of Control Over Your Device
   By accepting these Terms, You grant Tesla remote access to control the enrolled Device to automatically charge and/or discharge the Device, during an Event. Tesla may charge or discharge Your Device at any time and to any level but will make efforts to respect Your preferences as configured in the Tesla app, like VPP Backup Reserve During Events and Event opt-out, as applicable.  
4. Term
   This Agreement will commence upon the date that You accept these terms and conditions and will continue for 1 year (the “Term”). Thereafter, the Term shall automatically be extended for additional renewal terms of one (1) year each, each anniversary thereof, until either You or Tesla terminates this Agreement as allowed under these Terms. 
5. Program Events
   Events will be called subject to the “Program Rules,” which you will be required to review and accept in accordance with this Agreement and a copy of which may be found by clicking the link at the bottom of this page with link title: “Program Terms”. Tesla will control the Device to respond during Events and will make reasonable efforts to maximize performance within Your preferences as configured in the Tesla app. 
6. Compensation
   The Program provides compensation in the form of bill credits based on the average amount of energy Your Device(s) discharge during Program Events. You acknowledge and agree that Tesla does not guarantee any specific level of compensation from Your participation. The calculation of the performance and compensation is defined by the Utility in the Program Rules published on their website. You agree that the Utility will provide payment to You (“Compensation”) for Your Device’s contribution to the VPP. The Compensation payments referenced herein, if any, are the only compensation that You will receive from Tesla or the Utility for participating in the Program. You are responsible for all other costs of participating in the Program, including, but not limited to Your cost of electricity to charge Your Device as well as for the general use of Your Device. 
7. Your Device Data and Other Information
   Participation in the Program means that the Utility and Tesla will have access to certain types of Your personal identifiable information and energy use data, including, but not limited to, Your name, address, energy usage, utility account number, Device information, data generated from the Program and other personal information, collectively referred to as Confidential Information. You authorize the Utility and Tesla, and their respective employees and representatives, to use and exchange the Confidential Information to administer the Program and in accordance with Tesla’s Customer Privacy Policy, as applicable. (Even though this policy is a separate document from these Terms, it is considered part of these Terms). You further authorize Tesla and the Utility to provide Your Confidential Information to relevant regulatory bodies upon their valid, legal request or as otherwise required by law. You also authorize Tesla or the Utility to use or share Confidential Information that is anonymized without further need for Your consent provided that it does not contain any of Your personal identifiable information. 
8. Program Communications
   By accepting these terms and conditions, you consent to Tesla, your Utility and other Program agents communicating with you for the purpose of enrolling you and managing your participation in the Program by email, SMS or telephone, including without limitation placing calls to wireless and other phone numbers using automatic dialing systems and recorded voice technology, notwithstanding any registration pursuant to federal, state or local Do-Not-Call lists or similar registries. 
9. Enrollment Into Other VPP Programs
   You agree that Your enrollment into the Program means that You are interested in participating in Virtual Power Plant programs. You grant Tesla the right to apply on Your behalf, unenroll You from programs and enroll you in alternative or follow-on VPP programs that are, in Tesla’s sole discretion, similar to the Program. If this occurs, Tesla will notify You of the change and provide You with an option to unenroll. 
10. No Warranty; Disclaimer
    Tesla expressly disclaims all warranties of any kind relating to this Program, whether express, implied or statutory including but not limited to any implied warranties for conditions, merchantability, fitness for a particular purpose, title, non-infringement or misappropriation of intellectual property rights. 
11. Limitation of Liability
    In no event will Tesla be liable for any direct, indirect, incidental, special or consequential damages arising in connection with the Program, including but not limited to, Your Device’s reduced charge during a power outage causing a loss of power or any other loss of power. If You are dissatisfied with the Program, any of these Terms, or believe Tesla has breached these Terms, Your sole and exclusive remedy is to discontinue participation in the Program. 
12. Termination
    You agree that either of us may choose to terminate Your participation in the Program, at any time and for any reason. If Tesla elects to terminate Your participation in the Program, Tesla will provide You with [5] days' written notice to the email address You maintain with Tesla in Your Tesla app. If You elect to terminate Your enrollment in the Program, you may do so by contacting vppsupport@tesla.com and termination will be effective within [5] days of processing Your request 
13. General
    1. Entire Agreement. Except as otherwise stated herein, these terms and the Program Rules constitute the entire Agreement between You and Tesla concerning the Program. 
    2. No Assignment. You may not assign this Agreement without Tesla’s prior written consent. 
    3. Severability and Waiver. If any provision herein is invalid or unenforceable, the remaining provisions will remain in full force and effect. 
    4. Survival. Termination of the Program will not affect any obligations and rights under this Agreement, including Sections 7, 8, 10, 12 and 13, which are intended to survive such termination. 
    5. Governing Law. This Agreement is governed by California law. 
    6. Amendments. This Agreement may be amended by Tesla from time to time upon 5 days’ written notice to the email address You maintain with Tesla in the Tesla app with reference on the pilot support page which can be accessed through the Tesla app. 

Tesla Arbitration Requirement

Agreement to Arbitrate
Read this part carefully because it means you are agreeing that any unresolved dispute between you and Tesla will not be decided by a judge or jury in a public courtroom, but instead by a single arbitrator in a private arbitration. 
 
If you have a dispute arising out of or relating to any aspect of this Agreement and the relationship between you and Tesla, Inc. or its affiliates (which we call “Tesla”), send us an email to resolutions@tesla.com, describing your dispute and how you would like it resolved. If it is not resolved within 60 days from the date of your email, you agree that your dispute can only be resolved by a single arbitrator in an arbitration administered by the American Arbitration Association (AAA) under its Consumer Arbitration Rules. This includes claims arising before you ordered your System (such as claims related to statements Tesla made about our products). We will pay all AAA fees for any arbitration, which will be held in the city or county of your legal residence. To learn more about the Rules and how to begin an arbitration, you can call any AAA office or go to www.adr.org. The arbitrator can only resolve disputes between you and Tesla and cannot consolidate claims from others without consent from you, Tesla, and the others. You can only bring claims in arbitration against Tesla in your individual capacity and not as a plaintiff or class member in any class or representative action (and the same is true for Tesla). If a court or arbitrator decides that any part of this agreement to arbitrate cannot be enforced as to a specific claim for relief or remedy (such as what lawyers call “injunctive” or “declaratory” relief), then that claim or remedy (and only that claim or remedy) will be carved out of the arbitration and can be filed in court; all other claims must be arbitrated. If you prefer, you can take your individual dispute to a small claims court instead. If you don’t want to agree to arbitration, you can "opt out” of arbitration by sending us a letter within 30 days after placing your initial order for your System. Send the letter to Tesla, Inc.; P.O. Box 15430; Fremont, CA 94539-7970 and include your name, your order number, the name of the product you ordered and a statement explaining your desire to opt out of arbitration. If you do not opt out, your agreement to arbitrate overrides any different arbitration agreement between us, including any arbitration agreement in a lease or finance contract 

National Grid NY Terms and Conditions