Illinois Approves New Virtual Power Plant Initiative
The Illinois Commerce Commission has granted approval for Commonwealth Edison’s new initiative, the “scheduled dispatch virtual power plant” (SDVPP). This program aims to utilize battery storage to enhance energy efficiency in the Chicago area.
This new program replaces a previous proposal that was withdrawn by ComEd last November after Illinois enacted the Clean and Reliable Grid Affordability Act. This law focuses on increasing battery storage and managing energy supply more effectively as demand rises in the region.
Andrew Plenge, ComEd’s vice president, stated that the SDVPP is a significant step forward. It will leverage customer-owned energy resources, making the grid more resilient during peak demand times while providing customers with additional benefits amidst rising energy costs.
Legislative Context
Governor J.B. Pritzker signed the Clean and Reliable Grid Affordability Act in January. This came after a report indicated that electricity prices in Illinois surged over 15% in 2025. The state’s energy grid operates under both the PJM Interconnection and the Midcontinent Independent System Operator, both of which have recently seen significant price hikes.
The new law mandates electric utilities in Illinois to deploy 3 gigawatts (GW) of energy storage by 2030. This includes developing virtual power plants that make use of distributed assets, such as home batteries and electric vehicle chargers. The law also encourages energy efficiency programs and time-of-use pricing for residential customers.
Plenge expressed that ComEd’s SDVPP aligns perfectly with the goals of the new legislation to utilize distributed energy resources effectively for overall grid stability.
Will Kenworthy, Midwest regulatory director at Vote Solar, applauded ComEd’s swift response in launching the program. He noted that it serves as a model demonstrating how the clean energy transition can lead to cost savings for consumers.
Program Details
The SDVPP will draw power from participating batteries during times of high demand, helping to reduce strain on the grid in densely populated areas like Chicago. With recent demand peaks almost reaching record numbers, efficient energy management has become increasingly essential.
ComEd has connected about 1.8 GW of distributed energy resources to its grid. Participants in the SDVPP must commit to the program for five consecutive seasons, receiving payments based on the energy they contribute during peak demand events.
The approval of this initiative marks an important milestone in Illinois’ commitment to renewable energy and grid reliability, promising benefits for both the utility and its customers.