Vehicle-to-grid (V2G) turns parked electric vehicles (EVs) into flexible grid assets. When plugged into a bidirectional charger, an EV can take power from the grid when energy is abundant and send it back when demand spikes. This loop makes neighborhoods more resilient, helps utilities balance renewable energy and can put real money back in drivers’ pockets. The idea is gaining attention because it solves a practical problem — how to match variable solar and wind with the moments people need power most.
What is Vehicle-to-Grid Technology?
V2G is a form of vehicle-grid integration where an EV communicates with a charger and the grid to control charging and discharging. Using standards such as ISO 15118-20 and modern charger protocols, the system authenticates the vehicle, measures energy flows, and executes commands to shift load or export power.
This communication layer is what allows grid operators or aggregators to treat thousands of parked EVs as a coordinated resource. As EV adoption increases, so does global interest in V2Gs. BloombergNEF projects passenger EV sales could reach 39 million in 2030, up from 17.6 million in 2024, with EV electricity demand expected to grow 2.4 times from 2025 to 2030.
How V2Gs Help the Community
V2Gs help households, businesses and whole communities handle stress on the grid while extracting more value from assets people already own. There are at least six ways it delivers benefits.
1. Bill Savings
With V2G-enabled tariffs, a home charger can automatically charge the car during off-peak hours and discharge during peak times. This reduces household demand fees and earns export credits. The U.S. Department of Energy’s vehicle-grid integration program (VGI) emphasizes simplicity and security, so customers can opt in and see predictable value.
For most homes, hardware choice matters as much as the tariff. Many vehicles today work well with a 32-amp charging station, but drivers planning to purchase newer models may want a 50-amp unit or higher to keep options open. Before buying, confirm the charger and vehicle support bidirectional operation and the utility’s program requirements.
2. Backup Power During Outages
Bidirectional EVs can power essential circuits when the grid goes down, keeping lights and appliances running. Travis County in Texas modeled winter-storm scenarios and found that V2G exports of about 7 kilowatts per vehicle could cut emergency load shedding significantly. Automakers and utilities are designing home integration systems that make this transfer safe and automated. Installers typically recommend a dedicated circuit, a transfer device and a licensed electrician to ensure the setup meets local code.
3. Faster Adoption of Rooftop Solar
A home with rooftop solar often exports midday power at low value and buys it back at night at higher prices. V2G can absorb excess solar at noon and release it at dusk, improving self-consumption and reducing evening demand on local feeders. The DOE’s VGI program highlights how interoperable controls between vehicles, chargers and buildings are key to realizing that value at scale.
4. Fleet Revenue and Cost Control
School buses, city vans and municipal cars sit idle for long stretches of time, making them ideal for V2G services. During a historic 10-day heat wave in California, a San Diego County school district used seven electric buses to send power back to the grid, enough to supply 452 homes each day of the wave. That real-world dispatch shows how public fleets can help stabilize the grid and create a new revenue stream without affecting service schedules.
5. Market Services That Lower Energy Costs
On a larger canvas, coordinated V2G fleets can provide frequency regulation to keep the grid within tight operating limits. The Intelligent Energy System Services (INEES) project in Germany, led by Volkswagen and Fraunhofer ISE, evaluated V2G for frequency control. A fleet of 50 EVs delivered 2 MWh of grid storage capacity and drove a 20% reduction in electricity costs for consumers. Indeed, the right incentives can speed adoption and deliver measurable savings.
6. Enabling New Business Models
As market rules evolve, drivers can get paid to export surplus energy. In 2024, France was the first country to allow individual consumers to use commercial V2G. This meant that Renault 5 drivers could make money by selling power to the grid operator under a set contract.
In the U.S., FERC Order 2222 opened wholesale power markets to aggregated distributed energy resources, which can include electric vehicles. This opened the door for similar programs to start as states and grid operators finalized their respective rules.
Why Standards and Hardware Choices Matter to V2G
Under the hood, V2G depends on standards that let different brands talk to each other. ISO 15118-20 adds a bidirectional use case, while the Open Charge Point Protocol 2.1 includes a full section for bidirectional transfer and smart charging strategies.
These advances make it possible to verify energy flows for settlement, maintain security, and scale across fleets and neighborhoods. Confirming which vehicles, chargers and network operators already support these rules can help when planning a home or depot installation.
Tips for households and small businesses considering V2G
- Check tariff options first: Utilities and community choice aggregators are rolling out V2G pilots with time-based rates or export credits, so be sure to check for these. The DOE’s EVGrid Assist hub curates tools and programs that can help consumers and installers evaluate what is available.
- Choose the right circuit and charger capacity: Prepare the right amperage for the charging station. A unit with a higher capacity offers more headroom for future purchases without the headache of replacing wiring later. Coordinate with a licensed electrician and confirm local codes.
- For fleets, match operations to grid needs: School districts and delivery depots can earn credits for peak-shaving or frequency support when vehicles return to base. Schedule these services around routes and maintenance windows.
The Future of V2G Technology
In the U.S., the DOE’s VGI vision calls for interoperable technology, simple customer experiences, and programs that value both managed charging and bidirectional services.
As the EV market expands and hardware costs fall, more drivers and fleets will qualify for exports that cut ownership costs. At the market level, growth in U.S. V2G revenue is supported by demand for renewable integration, incentives that reward participation and policies that increase EV use in public fleets.
The main hurdles are common standards across vehicles and chargers and concerns about battery wear, which pilot projects are addressing through managed duty cycles and warranty-aligned limits. Aggregation under FERC Order 222 creates a path for EVs to compete in wholesale markets once regional rulemaking is completed.
Several states are piloting V2G tariffs for school buses and workplace fleets. Those results will inform program design, battery limits and customer payments. As these pilots publish findings, expect simpler enrollments and clearer compensation flows.
A Smarter Grid With Wheels
V2G changes the frame from how to power EVs to how EVs power everything else when it counts. It gives homes a buffer, fleets a new revenue stream, and communities another tool during storms and heat waves. The next steps are straightforward — programs that pay fairly, equipment that speaks the same language and enrollment that takes minutes. With those in place, every plugged EV becomes a small, responsive asset that helps keep the lights on and accelerates the shift to renewables.