Google and Tesla think we’re managing the electrical grid all wrong

Source: TechCrunch

Introduction

Google, Tesla, and data‑center developer Verrus are among a group of companies arguing that the electrical grid is being underutilized. They want everyone—especially politicians—to know about it.

The Utilize Coalition

The three companies, along with HVAC giant Carrier, virtual‑power‑plant firm Renew Home, distributed‑energy‑resource developer Sparkfund, and smart electrical‑panel startup Span, founded a new group called Utilize. The coalition launched on Tuesday (utilizecoalition.org) and is advocating for a change in how the grid is built and used.

Grid Underutilization

The grid is designed for brief bursts of high demand, leaving a large amount of capacity idle most of the time. Utilize argues that this excess capacity should be put to better use.

Proposed Solutions

Utilize points to several technologies that can tap into the unused capacity:

• Battery storage
• Demand response
• Virtual power plants

These solutions have emerged en masse over the past decade but remain under‑utilized. In many cases, they also improve grid resilience. For example, Texas’s grid has fared better during recent cold snaps after an increase in battery storage in the state.

Policy Advocacy

Utilize says it will “advocate for policies” that encourage broader adoption of these technologies, which benefit both the grid and the companies involved.

Member Roles

• Sell‑side:

  • Tesla – batteries and solar panels
  • Span – electrical panels that can react to changing loads
  • Carrier – heat pumps
  • Sparkfund & Renew Home – build and aggregate distributed energy resources

• Buy‑side:

  • Google and Verrus – have enormous power needs to keep their servers humming

Legislative Win

The coalition already touts a legislative win: “some members of Utilize” backed a bill in Virginia that would require utilities to quantify and disclose how the grid is being used.

Outlook

Advocacy organizations are no strangers to the utility industry, but the combination of new technology with both buy‑ and sell‑side companies makes Utilize distinct. Changing the way the grid is regulated is a long‑term effort; starting now is essential.