INSIGHTS

Bidirectional Charging Pulls EVs Into the Grid’s Inner Circle

US utilities and automakers expand bidirectional charging, recasting EVs as grid assets and nudging companies to plan incentives and partnerships early

2 Feb 2026

Electric car plugged into bidirectional home charger

Electric vehicles in the US are starting to play a more active role in the power system, as utilities move beyond pilot projects to use car batteries to support the electricity grid.

A new bidirectional charging programme being rolled out in California and Connecticut allows participating EVs to both draw power from the grid and send it back. During outages, vehicles can supply electricity to homes. At times of peak demand, they can feed power into the grid, offering utilities a flexible alternative to building new infrastructure.

The initiative marks a shift from earlier trials towards larger-scale deployment. Utilities have been exploring ways to manage rising electricity demand driven by electrification and extreme weather. Using parked vehicles as mobile storage offers a potential source of capacity that already exists, rather than one that must be built.

The programme is coordinated by Bidirectional Energy, which uses software to link individual vehicles into a single network. Aggregated together, thousands of car batteries can function like a virtual power plant, responding to grid needs in real time. Industry groups such as the Smart Electric Power Alliance have long argued that vehicle to grid systems could improve reliability and help manage peaks.

Financial incentives are central to the model. Drivers receive upfront rebates as well as ongoing payments for making their vehicles available, addressing a key barrier to participation. Without compensation, utilities have struggled to persuade owners to share control of their batteries.

Advances in equipment are also enabling wider adoption. Wallbox is supplying home chargers capable of exporting power from vehicles, one of the first large-scale residential deployments of bidirectional hardware in the US. Moving into households, rather than controlled test sites, suggests growing confidence in the technology’s readiness.

Participation remains limited. Only a small number of EV models are currently compatible, including Kia’s EV9, as many vehicles were not designed to discharge electricity. Analysts say starting with a narrow group allows utilities and manufacturers to test performance while limiting technical and operational risks.

Running programmes across two states has highlighted differences in utility rules and incentive structures, lessons that are now informing broader regulatory discussions. Challenges remain, including concerns about battery degradation, system coordination and driver trust. Even so, utilities see bidirectional charging as a potential tool in building a more resilient grid.

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