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Commercial & industrial flexibility

C&I flexibility: the original virtual power plant

Long before home batteries, businesses were paid to cut load at peak. Commercial and industrial sites still deliver most of the flexibility — and the largest checks.

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The short answer

  • Businesses were the original VPP. Factories, warehouses, and office buildings have been paid to cut load for decades — and still supply most demand response capacity.
  • Pay per kW is similar to home batteries — roughly $30 to $200 per kW-year — but a single site can offer hundreds of kilowatts, so checks run to thousands or millions of dollars.
  • Aggregators do the work. Companies such as Voltus and CPower enroll sites, bid them into markets, and share revenue; Voltus says it has paid customers more than $500 million (Voltus).
  • It makes sense when a site can shed or shift load (chillers, pumps, process loads, on-site batteries or generators) without hurting operations.
$18–$25per kW-month, Con Edison summer programs
$119per kW-year, PJM capacity 2028/29
8.5 GWVoltus network across 22,000+ sites
50 kWminimum aggregation in Con Edison programs

What a commercial kilowatt earns per year

Published reservation rates converted to a 5-month summer season where needed. Event payments come on top.

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$0$50$100$150$200$250ConnectedSolutions, commercialMA / RI · per kW$30–$200Con Edison DLRP Tier 2$25/kW-month × 5$125PJM capacity, 2028/29$325/MW-day$119Con Edison CSRP / DLRP Tier 1$18/kW-month × 5$90Con Edison CSRP, outer zones$6/kW-month × 5$30
Sources: DOE Liftoff (ConnectedSolutions); Con Edison (CSRP, DLRP; $1/kWh event pay additional); Dow Jones (PJM).

How commercial programs work

Con Edison’s Commercial System Relief Program pays $18 per kW-month in most of New York City and $6 on Staten Island and in Westchester, plus $1 per kWh during events; its Distribution Load Relief Program pays $18 or $25 per kW-month by network (Con Edison). Texas grid operator ERCOT runs Emergency Response Service with 10- and 30-minute products, paid through qualified scheduling entities rather than directly (ERCOT).

Big technology companies are joining in. Voltus reports a 100 MW flexibility agreement with Google in PJM (Voltus), part of a trend toward data centers offering flexibility to connect faster.

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Method and caveats

Monthly rates are converted assuming a May–September season; actual seasons and performance factors vary. Checked October 1, 2026.

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