Energy Support

Tesla Electric Virtual Power Plant Beta with ERCOT

Powerwall owners who are members of Tesla Electric are working together to accelerate Texas’s transition to sustainable energy. Become part of the first distributed battery to provide critical grid balancing services to the Texas grid. As a participant in this Virtual Power Plant (VPP), your Powerwall will earn compensation by being available to provide power when it is needed, while still maintaining your energy security.

Learn more about program benefits, eligibility, compensation and more below.

Overview

Tesla Electric members who meet the eligibility criteria will automatically become a part of the Virtual Power Plant. While participating in the Virtual Power Plant, your Powerwall will be dispatched when the grid needs support. For your participation, you will earn $10 per Powerwall on your monthly electric bill, in exchange for your Powerwall’s contribution. This $10 per Powerwall is in addition to your monthly Sellback Credits earned for energy that you send back to the grid. You do not have to compromise your energy security to participate. You can adjust your Backup Reserve to set your contribution, while maintaining backup energy for outages. 

Benefits

This community-driven program is designed to: 

  • Stabilize the Texas grid with clean and reliable energy
  • Unite as a Tesla community to form one of the first distributed batteries in Texas
  • Increase your Powerwall value with program-based incentives
  • Maintain your energy security by selecting your Backup Reserve

Eligibility

Tesla Powerwall owners with or without solar are eligible to participate in ERCOT's ADER pilot if they:

  • Are a Tesla Electric member in Texas in good standing
  • Are not enrolled in a conflicting ERCOT or non-utility demand response program or another Virtual Power Plant
  • Have at least one Powerwall at your energy site (excluding Powerwall 1)
  • Have a valid interconnection agreement
  • Maintain an active Tesla account, Tesla app and internet connection for your Powerwall at all times
  • Are in one of the following TDSP (Transmission and Distribution Service Provider) service territories and corresponding load zone where we have established an aggregation: 
    • Oncor in the North Load Zone
    • Centerpoint in the Houston Load Zone


As we expand our participation in the ERCOT ADER pilot, we will offer the Tesla Electric VPP program to customers in more areas of Texas. If you do not reside in one of the regions above, you may be eligible at a later date.

If you enrolled in Tesla Electric and are determined to be eligible to participate in the VPP, you will be enrolled automatically and will receive confirmation of your enrollment in the pilot.

Participation

What to Expect

Most of the time, you won’t notice any difference in your Powerwall behavior. When the capacity of your Powerwall is needed, your Powerwall will be dispatched along with others to support the grid need, but never below your Backup Reserve.

With this VPP, you are getting paid for having power available and 'in reserve' that is occasionally deployed for a grid emergency. There may be times when the VPP has made a capacity commitment and is unable to discharge in response to prices above the sellback trigger price, but only if you are already earning money for reserving energy for grid support.

Controlling Your Participation

Set your Backup Reserve

Powerwall will not dispatch to an energy level below your Backup Reserve. Setting your Backup Reserve is the best way to control how much energy you elect for participation and how much you maintain in case of an outage. 

Suspend Participation

To suspend participation, you may contact Tesla Electric Support, through email or the Tesla app, to assist you. When you suspend your participation, your Powerwall system will not react to support the grid when ERCOT calls upon our distributed battery network. However, your Powerwall will still dispatch energy to the grid when the real-time energy price exceeds the grid support threshold – as is standard for all Powerwall owners with Tesla Electric. 

After suspending your participation, you are still able to re-enroll in the Tesla Electric VPP and can resume your participation at any time by contacting Tesla Electric Support. 

Compensation

Participation in the Tesla Electric VPP will earn you $10 per Powerwall, per month, as a credit on your monthly electric bill. You will still earn your monthly Sellback Credits for any energy sent back to the grid. Your compensation depends on the number of Powerwalls in your home that you have enrolled in Tesla Electric. As we continue to evolve the program, you can expect to see your credit become proportional to your level of participation, dictated by your Backup Reserve and energy capacity.

Note: Considering these factors, compensation earned during a billing period will vary from customer to customer. For example, a two-Powerwall system may earn $20 per month. 

Frequently Asked Questions