Sunrun, Renew Home, and Tesla have announced an agreement to deliver more than 16 gigawatts (GW) of flexible energy capacity to hyperscalers and utilities by aggregating millions of existing home energy devices, including home batteries, smart thermostats, and vehicle-to-grid systems, into a single turnkey capacity framework requiring no additional hardware, interconnection, water, or land.
The combined platform would form the largest distributed power plant in the country, drawing dispatchable capacity from hundreds of thousands of home battery systems operated by Sunrun and Tesla, alongside flexible peak capacity from more than 8 million smart thermostats and devices managed by Renew Home.
The framework is designed to be deployable in months rather than years, freeing up transmission capacity and easing congestion on distribution infrastructure while helping households lower energy bills and earn rewards for participation.
“The grid of the 1800s cannot power the innovation of 2026,” said Sunrun CEO Mary Powell, in a statement. “Americans deserve innovation that does not create unnecessary energy costs. When data centers are asked to throttle down operations during the most expensive and stressful hours of the day, we can activate our distributed power plants to help provide them the power they need while also protecting American families from footing the bill for costly new infrastructure.”
In Virginia, the heart of Data Center Alley, the companies already have more than 300 megawatts (MW) of capacity available for immediate deployment, with that figure expected to grow to at least 500 MW by 2030.
The three companies have also committed to provide capacity to PJM’s proposed Reliability Backstop Process, which would immediately unlock over one GW of capacity if accepted.
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