What Are Virtual Power Plants and Why Are They Growing in the Northeast?
A virtual power plant (VPP) is a network of distributed energy resources — primarily home batteries, solar inverters, and smart thermostats — that are aggregated and coordinated to function as a single dispatchable power source. Instead of building a new $500 million gas peaker plant to handle two-hour demand spikes on hot August afternoons, utilities can dispatch stored energy from thousands of home batteries simultaneously. The grid gets reliable, fast-responding capacity. Homeowners get paid.
The Northeast is at the epicenter of VPP growth for three reasons. First, the region has the highest retail electricity rates in the continental United States — Massachusetts averages $0.33/kWh, Connecticut $0.32/kWh — making battery economics fundamentally stronger. Second, aggressive clean energy mandates (Massachusetts targets 100% clean electricity by 2030, Connecticut by 2040) are driving utilities to seek distributed alternatives to fossil-fuel peaker plants. Third, the region's aging grid infrastructure and vulnerability to extreme weather events (nor'easters, heat waves, ice storms) makes distributed battery capacity genuinely valuable for grid resilience.
The ConnectedSolutions program — administered by utilities across Massachusetts, Connecticut, Rhode Island, and New Hampshire — is the largest and highest-paying residential VPP program in the country. It pays homeowners $175–$275 per kilowatt of battery discharge capacity per summer season, with some utilities adding winter payments. A homeowner with a single Tesla Powerwall 3 (5 kW continuous discharge) in Massachusetts can earn $1,375–$1,625 per year from VPP participation alone — before accounting for TOU arbitrage, solar self-consumption, and backup power value.
But ConnectedSolutions is only one piece of the landscape. Vermont's Green Mountain Power operates a unique battery lease-or-BYOD model. Maine's Efficiency Maine is running limited battery pilots. New Jersey's Board of Public Utilities has grid services pilots through PSE&G. And Texas — though not technically “Northeast” — is part of NuWatt's service territory and offers a fundamentally different VPP market built on ERCOT wholesale price volatility.
This database compiles every VPP and battery demand response program available across NuWatt's 9 service states: Massachusetts, Connecticut, Rhode Island, New Hampshire, Vermont, Maine, New Jersey, Pennsylvania, and Texas. For each program, we document the administering utility, summer and winter rates per kW, typical events per year, compatible battery brands, and current enrollment status. Use the interactive tool below to filter by your state, battery, or minimum payout threshold — and estimate your annual VPP revenue.
VPP Programs at a Glance: All 9 States
Quick overview of VPP availability, top summer rates, and enrollment status across every state NuWatt serves. Scroll down for the full filterable database.
| State | Programs | Top Summer Rate | Top Utility | Winter Pay | Status |
|---|---|---|---|---|---|
| MAMassachusetts | 2 | $275/kW | Eversource | Active | |
| CTConnecticut | 2 | $200/kW | Eversource CT | Active | |
| RIRhode Island | 1 | $225/kW | RI Energy | Active | |
| NHNew Hampshire | 1 | $175/kW | Eversource NH | — | Active |
| VTVermont | 1 | $150/kW | GMP | Active | |
| MEMaine | 1 | $100/kW | Eff. Maine | — | Limited |
| NJNew Jersey | 1 | $100/kW | PSE&G | — | Pilot |
| PAPennsylvania | 0 | — | — | — | None |
| TXTexas | 2 | $120/kW | Tesla Electric | — | Active |
Complete VPP Program Database & Revenue Calculator
Filter by state, utility, battery brand, or minimum payout. Switch to the Revenue Estimator tab to calculate your annual VPP earnings based on a specific program and battery combination.
Northeast VPP Database
Filter, sort, and estimate revenue from every battery program
| State | Utility | Program | Summer Rate | Winter Rate | Events/Yr | Compatible Batteries | Status |
|---|---|---|---|---|---|---|---|
| MAMassachusetts | Eversource | ConnectedSolutions | $275/kW | $50/kW | 20-40 | Powerwall, Enphase, Franklin, sonnen | Open |
| MAMassachusetts | National Grid | ConnectedSolutions | $225/kW | $50/kW | 15-30 | Powerwall, Enphase, Franklin, sonnen | Open |
| RIRhode Island | Rhode Island Energy | ConnectedSolutions | $225/kW | $50/kW | 20-35 | Powerwall, Enphase, Franklin, sonnen | Open |
| CTConnecticut | Eversource CT | ConnectedSolutions | $200/kW | $25/kW | 15-25 | Powerwall, Enphase, Franklin | Open |
| CTConnecticut | United Illuminating | ConnectedSolutions | $200/kW | $25/kW | 10-20 | Powerwall, Enphase | Open |
| NHNew Hampshire | Eversource NH | ConnectedSolutions | $175/kW | — | 10-20 | Powerwall, Enphase | Open |
| VTVermont | Green Mountain Power | Battery Lease / BYOD | $150/kW | $50/kW | 15-30 | Powerwall | Open |
| TXTexas | Tesla Electric | Virtual Power Plant | $80-120/kW | — | 20-60 | Powerwall | Open |
| TXTexas | Octopus Energy | Intelligent Octopus | Variable | — | Daily | Powerwall, Enphase | Open |
| MEMaine | Efficiency Maine / CMP | Battery Rebate + Pilot | $100/kW (pilot) | — | 5-10 | Powerwall, Enphase | Limited |
| NJNew Jersey | PSE&G | Grid Services Pilot | $100/kW | — | 5-15 | Powerwall, Enphase | Pilot |
| PAPennsylvania | — | No VPP programs | — | — | — | — | None |
Highest-paying VPP program in the Northeast. Summer events June through September, 2-7 PM weekdays.
National Grid administers ConnectedSolutions across its MA territory. Same structure as Eversource, slightly lower summer rate.
Statewide single-utility program through Rhode Island Energy. Rates match Massachusetts National Grid.
CT version of ConnectedSolutions. Stackable with CT ESS battery rebate program for dual incentive.
United Illuminating serves southwestern CT. Same rates as Eversource CT.
Summer-only program through Eversource NH. No winter dispatch yet. Expected to expand.
Lease a Powerwall for $55/mo or bring your own device. GMP dispatches year-round for grid services.
Automated dispatch via Tesla app. ERCOT price volatility creates high-value events during summer heat and winter cold.
Daily optimization of battery charge/discharge based on wholesale ERCOT pricing. Requires Octopus as REP.
Efficiency Maine offers up to $4,000 battery rebate. VPP pilot through Central Maine Power is capacity-limited.
NJ Board of Public Utilities grid services pilot. Expected to expand as NJ pursues clean energy targets.
No active VPP or demand response program. Battery value comes from TOU arbitrage ($300-$500/yr) and backup power.
How to Enroll in Each VPP Program
Enrollment varies by program, but the process generally follows the same pattern: install a compatible battery, configure it for grid interaction, submit enrollment paperwork to the utility or program operator, and wait for approval (typically 2–6 weeks). NuWatt handles this entire process for customers who purchase a battery through us.
ConnectedSolutions (MA, CT, RI, NH)
- 1Install a compatible battery (Powerwall, Enphase, Franklin, or sonnen) through NuWatt or another approved installer.
- 2Your installer submits the ConnectedSolutions enrollment form to your utility (Eversource, National Grid, RI Energy, or United Illuminating).
- 3Utility approves enrollment (2–4 weeks). Battery firmware is configured for demand response dispatch with your chosen backup reserve level.
- 4Events dispatch automatically during summer (June–September) and winter (December–March where available). Payments are credited quarterly.
GMP Battery Program (VT)
- 1Option A: Lease a Tesla Powerwall from GMP for $55/month. GMP installs and maintains the battery, and dispatches it for grid services.
- 2Option B: Bring Your Own Device (BYOD). Install a compatible battery through NuWatt and enroll it with GMP for grid services payments.
- 3GMP dispatches year-round (not just summer). Earnings of approximately $150/kW summer and $50/kW winter. BYOD participants keep all VPP revenue.
Tesla VPP (TX)
- 1Install a Tesla Powerwall (2 or 3). Only Tesla batteries are eligible for the Tesla Virtual Power Plant.
- 2Enroll through the Tesla app. Select “Virtual Power Plant” and choose your backup reserve percentage.
- 3Tesla dispatches automatically during ERCOT grid events. Credits appear in your Tesla Energy account. 20–60 events per year.
Intelligent Octopus (TX)
- 1Sign up with Octopus Energy as your Retail Electric Provider (REP) in the ERCOT market.
- 2Connect your Powerwall or Enphase battery through the Octopus app. Octopus optimizes charge/discharge based on real-time wholesale ERCOT pricing.
- 3Daily optimization runs automatically. Variable earnings based on wholesale price spreads. Strongest returns during summer heat events.
ConnectedSolutions vs. GMP vs. Tesla VPP vs. Octopus: Which Model Pays the Most?
The four major VPP models in NuWatt's service territory work differently. Here is how they compare on payment structure, dispatch control, and earning potential.
ConnectedSolutions — Highest Fixed Rates
Strength: Highest per-kW rates of any residential VPP. Utility-backed with reliable quarterly payments. Multi-battery compatible.
Limitation: Summer-focused (some winter pay). Limited to New England states.
GMP Battery Program — Year-Round Dispatch
Strength: Lease option ($55/mo) removes upfront cost. Year-round dispatch provides consistent value.
Limitation: Vermont only. Lower per-kW rates than ConnectedSolutions. Powerwall only for lease.
Tesla Virtual Power Plant — Event-Driven ERCOT Arbitrage
Strength: Automated, real-time pricing. High-value events during ERCOT price spikes ($5,000+/MWh).
Limitation: Powerwall only. Variable earnings. Newer program with less track record.
Intelligent Octopus — Daily Wholesale Optimization
Strength: Daily charge/discharge optimization. Multi-battery compatible. Good ERCOT event payouts.
Limitation: Requires Octopus as REP. Texas only. Variable and harder to predict earnings.
Battery Compatibility Matrix: Which Batteries Work With Which Programs?
Not every battery works with every VPP program. This matrix shows which programs accept each battery brand, along with capacity, discharge power, and best-case annual earnings in the highest-paying market.
| Battery | Capacity | Discharge | Compatible VPP Programs | Best Earnings |
|---|---|---|---|---|
| Tesla Powerwall 3 | 13.5 kWh | 5 kW | ConnectedSolutions (MA, CT, RI, NH) | GMP Battery (VT) | Tesla VPP (TX) | Octopus VPP (TX) | $1,375–$1,625/yr (MA) |
| Tesla Powerwall 2 | 13.5 kWh | 5 kW | ConnectedSolutions (MA, CT, RI, NH) | GMP Battery (VT) | Tesla VPP (TX) | $1,375–$1,625/yr (MA) |
| Enphase IQ Battery 10T | 10.08 kWh | 3.84 kW | ConnectedSolutions (MA, CT, RI, NH) | Octopus VPP (TX) | Efficiency Maine Pilot | $960–$1,250/yr (MA) |
| Franklin aPower | 13.6 kWh | 5 kW | ConnectedSolutions (MA, CT, RI) | $1,375–$1,625/yr (MA) |
| SonnenCore+ | 10 kWh | 4.8 kW | ConnectedSolutions (MA, RI) | sonnenConnect VPP | $1,200–$1,560/yr (MA) |
| Enphase IQ Battery 5P | 5 kWh | 1.92 kW | ConnectedSolutions (MA, CT, RI, NH) | Octopus VPP (TX) | $480–$625/yr (MA) |
Tesla Powerwall 3
Tesla Powerwall 2
Enphase IQ Battery 10T
Franklin aPower
SonnenCore+
Enphase IQ Battery 5P
Earnings estimates based on ConnectedSolutions MA rates (Eversource: $275/kW summer + $50/kW winter). Actual earnings vary by utility, event participation, and battery degradation over time.
Revenue Stacking: How One Battery Generates 4 Income Streams
VPP payments are only one piece of the battery value equation. A well-optimized battery stacks multiple revenue and savings streams simultaneously, turning a single piece of equipment into a multi-stream financial asset.
VPP Payments
Direct payments from ConnectedSolutions, Tesla VPP, or other demand response programs. Highest in MA, RI, CT.
TOU Arbitrage
Charge during off-peak hours ($0.10–$0.15/kWh), discharge during peak hours ($0.25–$0.45/kWh). Available in all 9 states.
Solar Self-Use
Store excess solar production during the day and use it at night instead of buying from the grid at retail rates.
Backup Power
Avoided generator costs, spoiled food, and lost income during 2–3 annual grid outages typical in the Northeast.
Full Revenue Stack Example: Massachusetts Eversource + Tesla Powerwall 3
A single Powerwall 3 generating $2,725 annually pays for itself in 5–6 years at current installed prices. Two Powerwalls generate roughly double — $5,450/yr — with payback under 5 years.
State Deep Dives: Where the Money Is
Massachusetts: The Gold Standard
Massachusetts runs the strongest residential VPP program in the country. ConnectedSolutions through Eversource pays $275/kW summer and $50/kW winter. National Grid pays $225/kW summer and $50/kW winter. A Tesla Powerwall 3 (5 kW continuous) on Eversource earns approximately $1,375–$1,625 per year from VPP alone. Stack that with TOU arbitrage ($450/yr on Eversource TOU rates), solar self-consumption ($350/yr), and backup value ($300/yr) and total annual battery value reaches $2,475–$2,725.
Summer events run June through September, typically 20–40 events on hot weekday afternoons from 2–7 PM. Winter dispatch (December–March) adds 10–15 events. Participants set a 20–30% backup reserve that events cannot breach. The program has grown from under 1,000 participants in 2020 to over 15,000 enrolled batteries in 2026, making it the largest residential VPP fleet in the United States.
Connecticut: Growing Fast
Connecticut's ConnectedSolutions program through Eversource CT and United Illuminating pays $200/kW summer and $25/kW winter. A 5 kW battery earns approximately $1,000–$1,125 annually from VPP. Connecticut sweetens the deal with its Energy Storage Solutions (ESS) program, which provides battery rebates up to $7,500 — effectively reducing installed cost and accelerating payback.
CT homeowners can also finance battery installations through Smart-E Loans at competitive rates, making $0-down battery + VPP enrollment accessible. The combination of VPP payments + ESS rebate + Smart-E financing creates one of the strongest battery value propositions in the country.
Texas: High Volatility, High Opportunity
Texas operates on the deregulated ERCOT grid, creating a fundamentally different VPP landscape than the Northeast. Wholesale electricity prices can spike from $0.03/kWh to $5/kWh (that is $5,000/MWh) during extreme heat or cold events. VPP operators like Tesla Electric and Octopus Energy capitalize on this volatility by dispatching enrolled batteries during high-price periods.
Texas VPP earnings are more variable than ConnectedSolutions but can be substantial: Tesla VPP pays $80–$120/kW with 20–60 events per year. Octopus Energy's Intelligent Octopus runs daily optimization. Annual earnings typically range from $600–$1,000 for a single Powerwall, with additional TOU arbitrage savings of $300–$500 given Texas's large peak-to-offpeak spreads. Note: Texas has no statewide net metering, making battery storage and VPP the primary ways to monetize excess solar.
Methodology and Data Sources
How We Built This Database
This database compiles VPP and battery demand response program data from primary sources including utility program filings, state public utility commission documents, manufacturer compatibility lists, and NuWatt's own enrollment records across 9 states.
Rate data reflects published 2026 program rates as filed with state regulatory commissions. Rates may change mid-year based on program budget utilization and regulatory proceedings. We update this database quarterly.
Battery compatibility reflects manufacturer-confirmed VPP integrations as of April 2026. New battery models and firmware updates may expand compatibility. Contact NuWatt for the latest compatibility information.
Revenue estimates use published per-kW rates multiplied by rated continuous discharge capacity. Actual earnings depend on event participation rate, battery state of charge, degradation over time, and individual utility program terms. Estimates do not include TOU arbitrage or self-consumption savings, which add $300–$800 per year depending on rate structure.