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GM wants your parked EV to power the grid, but there’s a $20,000 catch

GM EVs could become part of the US energy system, but there’s a catch

Most electric vehicles spend nights doing nothing. They sit in driveways, plugged into chargers, waiting for the morning. General Motors thinks this is a missed opportunity and wants parked Chevrolet, Cadillac, and GMC EVs to become part of America’s energy infrastructure through a simple software update and expensive hardware.

Open letter to energy companies

In an open letter to utilities and energy policymakers, GM Energy Vice President Wade Sheffer outlined the company’s vision for vehicle-to-grid technology. Instead of just consuming electricity from the grid, compatible EVs would also be able to send energy back when demand rises or supply drops.

Related: Ford has already canceled one electric pickup, now GM is canceling four

GM claims there are already over 250,000 EVs with bidirectional charging on American roads. According to the company, these vehicles collectively store enough energy to power approximately 120,000 homes for a week. As Sheffer said:

The technology is already parked outside. Let’s turn it on together.

How it works and what obstacles exist

The concept itself is not entirely new. Bidirectional charging systems have already been promoted as a way to power homes during blackouts. Now GM wants to expand this capability so EVs can help support local grids, potentially creating a new income stream for owners and reducing the burden on utilities.

Of course, there is one catch. To actually participate, simply owning a compatible EV is not enough. Drivers need specialized bidirectional charging equipment, and current systems don’t come cheap. Wired reports that the necessary hardware package can cost around $20,000 excluding installation costs, so it could take five years just to break even.

A bureaucratic nightmare

There are other obstacles too. Utilities operate under different rules and regulations depending on location, meaning widespread adoption would require collaboration with thousands of organizations. GM is already working with Pacific Gas and Electric in California and DTE Energy in Michigan, but scaling the technology nationally will be a much more difficult task.

Beyond this and the inevitable shock of the $20,000 equipment cost, there is a question that many cautious EV owners are likely to ask: if you regularly use the EV battery to support the grid, what impact will this have on the long-term health of the battery? GM did not address this issue in detail in its letter, although it will almost certainly become part of the discussion as vehicle-to-grid programs expand.

The future of the technology

For now, GM’s proposal remains more of a vision than a reality. But with growing strain on electrical grids due to extreme weather, increasing energy demand, and expanding AI infrastructure, future EVs may one day take on a second job while you sleep.

GM

The idea of using EV batteries as distributed energy storage seems like a logical step in energy development. However, beyond the high cost of equipment, the key issue remains battery wear. If owners constantly cycle batteries back and forth, it could accelerate their degradation, reducing the vehicle’s range. Also, one should not forget the variety of local norms and regulations, which can significantly complicate the implementation of such a system on a national scale. Therefore, while the potential is huge, the path to mass use of EVs as ‘batteries for the grid’ will be long and thorny.

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