Tesla, Sunrun, and Renew Home turn home devices into grid support for AI power needs

In short: As AI data centers use more electricity, Tesla, Sunrun, and Renew Home are leaning on home solar panels, batteries, and smart thermostats to help support the power grid.

What's going on

AI data centers, the buildings that run many AI systems, are driving a sharp rise in electricity demand in parts of the US. This is pushing utilities to look for more power during busy hours, not just more power overall.

Instead of relying only on new power plants, companies are increasingly trying to link together energy devices already installed in homes. This is often called a virtual power plant, which is like treating many small home devices as one bigger power source (similar to how a carpool uses many cars to move one group of people).

Tesla is building programs that connect Powerwall home batteries and other devices so they can send power back to the grid when needed. Sunrun, known for rooftop solar, is putting more focus on batteries and grid services. Sunrun has also tied this effort directly to AI related demand, saying home solar plus batteries can help meet growing needs from AI and data centers.

Renew Home, which was formed from Arcadia and Google Nest’s energy business, focuses on controlling energy use, not generating it. It coordinates smart thermostats and other devices so homes can automatically use less power at peak times, freeing up electricity for other uses.

What to watch

A key test will be how widely these programs expand beyond early markets like Texas, and how homeowners are paid or credited for letting their batteries and devices help the grid.

Source: NYTimes