Distributed energy resource (DER) software platform Voltus and tech giant Google have announced a major expansion of their energy partnership, committing to build a 1 gigawatt (GW) virtual power plant (VPP) across the PJM Interconnection region.
The deal adds 1,070 megawatts (MW) of flexible power capacity, building upon an initial 100 MW agreement executed between Google and Voltus in June 2026. The expanded project represents one of the largest distributed capacity portfolios ever backed by a hyperscale technology company.
Under the framework, Voltus will aggregate flexible load and distributed assets—including industrial process adjustments, commercial energy management systems, residential smart thermostats, and battery storage—from local businesses and homeowners into a single Google-funded virtual power plant.
During periods of peak grid stress, Voltus automatically signals participating facilities to lower their electricity draw. In exchange, participating customers receive direct payments and bill credits funded through Google’s capacity procurement.
Key operational and market implications of the initiative include:
- Grid reliability scaling: Adds over 1.1 GW of non-emitting, dispatchable capacity across PJM’s multi-state transmission footprint, which serves 67 million people across 13 states and the District of Columbia.
- Consumer cost reduction: Delivers direct financial compensation to participating residential and commercial energy users while easing regional capacity prices.
- Capital markets innovation: Demonstrates a model for data center operators and tech hyperscalers to fund grid-scale virtual capacity directly rather than relying solely on traditional utility power plants.
- Demand response integration: Leverages advanced DER orchestration software to manage decentralized energy assets into a reliable baseload-equivalent grid resource.
Ellen Zuckerman, Head of Energy Market Development for North & South America at Google, stated that expanding the agreement tenfold ensures Google’s growing digital infrastructure actively contributes to regional grid stability while creating economic value for local utility customers.
Dana Guernsey, Chief Executive Officer of Voltus, added that scaling distributed energy capacity to gigawatt levels aligns data center expansion directly with local community benefits and grid decarbonization.
