California's Grid-Saving Program: 200,000 Homes at Risk of Losing Benefits - What's Next? (2026)

California's Demand-Side Grid Management program, which pays 200,000 households to help the grid during peak demand, is under threat due to budget cuts. This program, which utilizes smart thermostats, EV chargers, and solar-powered batteries, has been a success, creating over a gigawatt of power when needed. However, Governor Gavin Newsom's proposal to stop funding it after 2026 and transfer its customers to a less effective program at the California Public Utilities Commission (CPUC) has sparked concern. The CPUC program, run by investor-owned utilities, has been criticized for its high administrative costs and low energy capacity. Advocates are pushing to keep the program running, arguing that it is a more sustainable and cost-effective solution. The fate of the program remains uncertain as negotiations continue over the state's budget.

California's Grid-Saving Program: 200,000 Homes at Risk of Losing Benefits - What's Next? (2026)
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