Sunrun and NRG Energy Announce Partnership to Harness the Power of Distributed Energy in Texas

Key Terms

distributed energy technical

Distributed energy means electricity generation and storage that happen close to where power is used — such as rooftop solar, small wind turbines, battery systems, or local microgrids — instead of at large, central power plants. It matters to investors because it changes how electricity is produced, sold and valued: it can lower costs, create new revenue streams, alter utility business models, and affect regulatory and infrastructure spending, much like shops in a neighborhood replacing a single distant factory.

virtual power plant technical

A virtual power plant is a software-driven system that links many small energy sources — such as rooftop solar panels, home batteries and flexible electricity use — and operates them together as if they were one larger power station. For investors, it matters because it can turn scattered assets into a reliable revenue stream and reduce costs for energy providers, much like organizing many individual taxis into a single fleet that can be dispatched efficiently to meet demand and earn steady fees.

dispatchable capacity technical

Dispatchable capacity is the portion of an electricity provider’s generation that can be turned on, off, or adjusted on demand to meet grid needs, like a backup faucet you can open or close to control water flow. It matters to investors because dispatchable assets provide reliable revenue during peak demand, reduce risk from intermittent resources, and often qualify for capacity payments or higher market prices when the grid needs flexibility.

ercot market technical

The ERCOT market is the wholesale electricity marketplace run by the Electric Reliability Council of Texas, where power producers, utilities and large consumers buy and sell electricity and grid services for the Texas grid. Think of it like a regional auction or farmers’ market for electricity: it sets the short-term prices, incentives and payments that drive power company revenues, investment decisions and the financial risk of outages or price spikes, so investors watch it to gauge future profits and stability.

— New partnership maximizes the value of storage and solar for Reliant customers while supplying power to the grid —

SAN FRANCISCO & HOUSTON--(BUSINESS WIRE)-- Sunrun (Nasdaq: RUN), America’s largest provider of home battery storage, solar and home-to-grid power plants, today announced a new multi-year partnership with NRG Energy, Inc. (NYSE: NRG), a Fortune 500 company that delivers innovative natural gas, electricity and smart home solutions to homes and businesses across North America. The collaboration will accelerate the adoption of distributed energy, including home battery storage in Texas, delivering dispatchable capacity to meet the state’s surging energy demand.

“This partnership is a major step in achieving our goal of creating a 1 GW virtual power plant by 2035,” said Brad Bentley, Executive Vice President, President of NRG Consumer. “Texas is growing fast, and our electricity supply must keep pace. By teaming up with Sunrun, we’re unlocking a new source of dispatchable, flexible energy while giving customers the opportunity to unlock value from their homes and contribute to a more resilient grid.”

Texas residents will be offered a complete home energy solution pairing Sunrun’s solar-plus-storage systems with optimized rate plans and smart battery programming through NRG Energy retail electricity provider, Reliant. As new and existing Sunrun customers enroll with Reliant, the cumulative capacity will be available to help meet increased demand in the ERCOT market.

“This partnership demonstrates the scale and strength of Sunrun’s storage and solar distributed power plant assets,” said Sunrun CEO Mary Powell. “We are delivering critical energy infrastructure that gives Texas families affordable, resilient power and builds a reliable, flexible power plant for the grid.”

Together, the companies will be developing offers to aggregate and dispatch these distributed power assets to provide electricity to Texas’s grid during periods of peak demand. Sunrun will be paid for aggregating the capacity and participating Reliant customers will be compensated by Sunrun for sharing their stored solar energy.

About NRG

NRG Energy, Inc. is leading the future of energy—now. Our solutions power a smarter, brighter future by helping customers achieve today's goals while solving for the challenges of tomorrow. Every day, we deliver innovative natural gas, electricity, and smart home solutions to customers large and small across North America. Visit nrg.com for more information, and connect with us on Facebook, Instagram, LinkedIn, and X.

About Sunrun

Sunrun Inc. (Nasdaq: RUN) is America’s largest provider of home battery storage, solar, and home-to-grid power plants. As the pioneer of home energy systems offered through a no-upfront-cost subscription model, Sunrun empowers customers nationwide with greater energy control, security, and independence. Sunrun supports the grid by providing on-demand dispatchable power that helps grid resiliency and lower energy costs. Learn more at www.sunrun.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20251216610468/en/

Sunrun Media Contact

Wyatt Semanek

Director, Corporate Communications

press@sunrun.com



NRG Media Contact

Pat Hammond

Senior Director, Communications

Patricia.hammond@nrg.com



Sunrun Investor & Analyst Contact

Patrick Jobin

SVP, Deputy CFO & Investor Relations Officer

investors@sunrun.com



NRG Investor Contact

Brendan Mulhern

Head of Investor Relations

Brendan.mulhern@nrg.com

Source: NRG Energy, Inc.