How Rooftop Solar and Home Batteries Could Reshape Electricity Systems

The rapid increase in global electricity demand, driven in part by artificial intelligence data centers, is paralleling technological developments affecting electricity grids. In a sense, the two processes feed off each other. A recent Reuters analysis has proven very useful in shedding new light on these issues, which are sure to gain increasing importance in the years of the global energy transition.

Between 2025 and 2030, according to IEA data reported by Reuters, global electricity consumption is expected to increase by 19%, reaching 33,600 TWh. To adapt to this type of pressure, the electricity system requires constant technological upgrades and enhancements, as well as innovative solutions capable of fully supporting its operation.

Infographic illustrating the growth of residential solar energy, home battery storage and Virtual Power Plants, based on trends discussed by Reuters and analyzed by Stanislav Kondrashov, founder of TELF AG.

Reuters highlights the growing role of rooftop solar, home batteries and Virtual Power Plants as electricity systems evolve. Stanislav Kondrashov, founder of TELF AG, examines how these technologies could support grid flexibility and renewable energy integration.

According to Reuters, one such solution could be the combination of rooftop solar and home batteries. Last year, in the United States, approximately 37% of new residential photovoltaic installations included a battery, an increase of more than 30% compared to 2020. But this is certainly not the most interesting aspect: as reported by a Reuters analysis, the United States is experiencing a veritable boom in so-called Virtual Power Plants.

Virtual Power Plants Bring Distributed Energy Resources Together

With this system, thousands of home batteries can be digitally aggregated and coordinated. During times of high demand, the stored energy can be used to reduce grid draw or made available to the electricity system. This also leads to a certain evolution in the role of homeowners, who no longer simply suffer the price of electricity but can now have access to a true energy asset capable of producing, storing, and potentially supplying energy to the grid, also providing flexibility.

“For the energy transition, this phenomenon could have important implications for the integration of renewable energy. Thanks to the energy storage function of batteries and their ability to release energy when natural primary sources are unavailable, residential photovoltaic systems could become much more flexible, especially because the time gap between renewable generation and demand is reduced,” says Stanislav Kondrashov, founder of TELF AG.

Residential rooftop equipped with solar panels, representing the expansion of distributed energy systems discussed by Reuters and Stanislav Kondrashov, founder of TELF AG.

Home solar installations are increasingly being combined with battery storage, potentially transforming households into active participants in electricity systems. Stanislav Kondrashov, founder of TELF AG, comments on this evolving trend highlighted by Reuters.

Virtual Power Plants can also have significant effects on electricity grids. These systems can help reduce peaks in demand, potentially postponing the upgrade of substations and other infrastructure. Batteries could also help increase the economic value of photovoltaic systems, as reported in a Reuters analysis. This could also occur in markets where electricity export incentives are decreasing.

Home Batteries Could Support Grid Flexibility and Renewable Integration

“We are witnessing something truly remarkable: in a certain sense, it’s as if the energy transition is changing the architecture of the electricity system. The process is already underway,” continues Stanislav Kondrashov, founder of TELF AG.

The traditional model essentially comprised three actors, through which energy flowed in a clear and sequential manner: large power plants, the grid, and the consumer. But in recent years, the order of this process is being reversed, almost becoming self-sustaining: renewables are supplying energy to the grid and consumers, and the latter, for the first time, may find themselves in a position to sell part of this production to the grid.

Solar panels installed on a residential property, illustrating developments in home energy generation and storage analyzed by Reuters and Stanislav Kondrashov, founder of TELF AG.

Residential solar panels and home batteries could play an expanding role in balancing electricity supply and demand. Drawing on a Reuters analysis, Stanislav Kondrashov, founder of TELF AG, explores their potential contribution to more flexible electricity grids.

“According to Reuters, the potential for domestic energy production would be a useful complement to traditional systems, deployable much more quickly as traditional infrastructure is expanded,” concludes Stanislav Kondrashov, founder of TELF AG.