Illinois Lawmakers Push Virtual Power Plant to Cut Energy Bills

Springfield, Illinois — Lawmakers at the Illinois Capitol are considering a program aimed at lowering residents’ energy costs: the Clean and Reliable Grid Affordability Act.

If approved, the act would create the state’s first virtual power plant program, which differs from a traditional power plant. Instead, it links small battery systems installed in homes across neighborhoods.

Energy experts explained that the program could include solar panels on rooftops and batteries in basements. When about 400 homes are connected, the combined systems operate like a single power plant.

“It all operates as a power plant normally would,” said Barry Matchett of Clearway Energy. “It produces power when the grid needs it most and charges batteries when energy prices are low.”

Participants would also receive payments for joining the program. Experts estimate the virtual power plant could save Illinois residents $34 billion over the next 20 years.

Matt Van Arkel of New Leaf Energy added that these smaller systems can be deployed quickly, helping reduce energy bills soon after the legislation passes. Andrew Linhares of the Solar Energy Industries Association said residents could see lower rates in under a year, potentially within six months.

However, Illinois Republican Senator Terri Bryant expressed skepticism, arguing the program could increase costs. “Grant money runs out every year, so they want more money for that. That would be an extra line item on your bill,” she said. Bryant emphasized that natural gas remains a reliable baseload energy source and that while wind and solar are important, they shouldn’t be the sole solution.

Matchett noted that participation would be entirely optional, and the Illinois Commerce Commission would determine the payment amount for residents who join the program.

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