10% of California's EVs Could Meet One-Third of 2036 Storage Target
A new report suggests vehicle-to-grid technology could provide 9 GW of power, though fragmented utility rules remain a major hurdle.
California could secure a massive portion of its future energy needs by tapping into the batteries already sitting in residential driveways. A new report indicates that enrolling just 10% of the state's projected electric vehicles in vehicle-to-grid (V2G) programs by 2036 could provide 9 GW of 12-hour storage.
The findings, detailed in the report "Unlocking California’s Flexible Load: A Durable Blueprint for Affordability and Reliability," were produced by GridLab, Kevala, and Energy and Environmental Economics (E3). According to the researchers, this capacity would represent more than one-third of California's long-duration storage procurement target for 2036. The report highlights that while the technical capability exists, the primary obstacles to this scale of implementation are fragmented utility rules and a lack of standardized, interoperable program frameworks.
The Shift to Flexible Load
This research builds upon a 2024 study conducted by GridLab and The Brattle Group, which focused on the concept of "flexible load." This strategy involves using distributed resources—such as EVs, smart thermostats, and home batteries—to manage electricity demand dynamically. By treating these assets as a collective resource, the state can balance the grid without relying exclusively on the construction of new power plants or expensive physical grid upgrades.
As Ric O’Connell, executive director of GridLab, noted, the next generation of grid infrastructure is already present in homes and businesses. He argued that the central challenge is not a lack of resources, but whether state programs are designed to unlock their full value.
Economic and Industrial Impact
Moving toward decentralized energy storage could fundamentally alter California's energy economy by reducing the need for costly infrastructure projects and decreasing reliance on peaking power plants, which typically run during periods of highest demand. The financial implications are significant; based on the 2024 GridLab and Brattle Group study, virtual power plants (VPPs) could meet more than 15% of the state’s peak electricity demand and save utilities and consumers $550 million annually.
However, achieving these gains requires a systemic overhaul of how utilities interact with and compensate users. The report suggests a transition toward performance-based payments and standardized technical requirements to ensure equitable participation across the state's diverse population.
The Path Forward
To realize this potential, California must resolve the current patchwork of utility regulations that discourage V2G adoption. Observers will be watching for whether the state adopts a unified framework for interoperability, which would allow different vehicle brands and utility providers to communicate seamlessly.
Until these regulatory barriers are dismantled, the 9 GW of potential power remains a theoretical asset. The focus now shifts to whether policymakers can implement the "durable blueprint" suggested by GridLab and its partners to turn private vehicle batteries into a public utility resource.