June 12, 2025
As electric vehicle (EV) adoption accelerates, so does the opportunity for automakers and charging solution providers to generate revenue in grid services programs. EVs have the potential to be powerful flexible assets in the virtual power plant (VPP) ecosystem, but getting there takes more than just plugging in - it requires careful coordination across hardware, software, and grid program requirements.
Leap’s technology simplifies the complexity of building and operating VPPs, but there are still several factors to consider when EV providers are designing a grid services offering that meets their business goals. EV providers who thoughtfully address these factors from the outset will be better positioned to deliver real value to their customers — and to the grid.
1. Know the primary value for your customers
Start by identifying the core benefit you’re aiming to deliver. Is your primary goal to help EV customers lower energy bills? Or to lower emissions? Maximize grid services revenue from participation? Some combination of all three? Clarifying the fundamental value proposition will guide every other decision, including program selection and participation strategies.
This clarity matters because VPP participation can look very different depending on the kind of customer experience you want to provide. A strategy prioritizing customer charging flexibility might focus on programs that only activate during infrequent emergency energy events. A cost-saving approach may involve optimizing EV charging around time-of-use (TOU) rates. A revenue-maximizing strategy might prioritize participation in market-based programs. An emissions-reduction angle could focus on aligning charging with clean energy availability. Each path requires distinct design choices and tradeoffs.
2. Control is key: EVs and chargers must be smart and accessible
To participate in a VPP, EV providers need the ability to control charging sessions. That means establishing a direct line of communication with either the EV itself (via telematics) or the EV charger to start, stop, or schedule charging events based on grid needs.
In either case, granular control is critical for reliable VPP operation. The method of control — through the vehicle’s onboard systems or a connected charger — can also affect which types of programs are available and how data is reported.
Today’s smart control technologies enable VPPs to run behind the scenes, with minimal disruptions to the customer experience and allowing customers to remain in control. Rather than relying on manual overrides or notifications for every adjustment, smart systems should be designed to anticipate customer needs — like ensuring a vehicle is charged to a specific state of charge by a certain time — and automate participation accordingly.
By building around customer priorities and minimizing friction, EV providers can offer grid services without noticeable changes for customers.
3. Understand data requirements
There are unique data requirements for EVs to participate in grid programs.
One of the most critical data points is accurate interval charging data. While both EV telematics and smart chargers can provide this information, it’s often more precise and consistent when sourced directly from the charger. High-quality interval data is the foundation for verifying participation and ensuring compliance in many utility and market-based programs.
Another key metric is state of charge (SOC). Knowing the SOC allows charging schedules to be dynamically adjusted while still meeting customer needs — such as ensuring the EV is 80% charged by 6 a.m.
Charging location is also needed. For residential programs, participation is typically limited to at-home charging, while for fleets it’s often at-depot. Unlike meter-level programs, which automatically capture location data through the utility meter, device-level programs require additional steps to verify that charging occurs at an approved site. That’s where geo-fencing comes in. By implementing location filters, EV providers can ensure that only eligible charging sessions are counted — avoiding disqualifications or reporting errors that could jeopardize program participation.
EV providers who are looking to build VPPs will need control systems that can collect and transmit this data securely and consistently. They will also need to update customer onboarding processes to gather any necessary permissions or disclosures.
4. Know the rates — and how they impact participation
Depending on location, TOU pricing, demand charges, and other rate structures can influence when it makes sense to charge or discharge a vehicle for grid services applications. Smart scheduling around these rates can help customers maximize savings or earnings - and avoid unintended costs.
Including utility rate data as part of the VPP optimization logic is a crucial step, especially when designing automated charging behaviors.
5. Be aware of program conflicts
Some customers are already participating in some form of demand response or energy efficiency program, whether through a smart thermostat, solar-plus-storage system, or even an EV-specific utility program. These existing enrollments can sometimes conflict with new VPP participation. For example, a thermostat enrolled in one program may limit the ability to enroll an EV in another. The Leap platform helps our partners identify conflicts and take steps to resolve them.
6. Interconnection and V2X: plan ahead
Vehicle-to-everything (V2X) capabilities — including vehicle-to-home (V2H) and vehicle-to-grid (V2G) — open up exciting new opportunities for EVs to provide grid value, especially in programs like California’s Demand Side Grid Support (DSGS). But realizing that potential requires more than just the right technology — it often requires formal interconnection approval from the utility.
EV providers should plan for interconnection as a longer lead item, and allocate additional time in their deployment timelines to account for potential delays. In many regions, utilities don’t yet have standardized processes for evaluating and approving V2X devices, which can create unexpected bottlenecks.
Why EVs work great as paid grid resources
Electric vehicles are uniquely well-suited to serve as flexible grid assets. Unlike thermostats or HVAC systems, which are often in active use during peak grid events, EV charging can usually be shifted without compromising comfort or functionality. That flexibility makes EVs ideal participants in VPPs.
Of course, EVs are first and foremost transportation tools — and a major investment for the customer. But that’s exactly what makes them so valuable: when the vehicle isn’t needed for driving, it becomes an incredibly large, responsive, and adaptable load. Tapping into that “downtime” for grid support allows EV owners to monetize an asset that would otherwise be sitting idle, without sacrificing mobility or convenience.
The Leap platform helps EV providers turn that flexibility into a strategic advantage, providing access to energy markets and tools that guide providers through the steps needed to build and scale VPP offerings. With Leap, providers can capture the full value of their EVs as paid grid resources.
