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Storing Sunshine: PG&E’s New Battery Projects Help Balance the Grid

Date: July 22, 2025

PG&E is using new technology to help make sure electricity gets to where it’s needed — especially during busy times when lots of people are using power or when there’s an oversupply of energy (such as solar) in a certain region. This technology is called a Distributed Energy Resource Management System, or DERMS for short. 

 

Let’s break down what that means and how it helps. 

 

What are distributed energy resources?

DERs are small energy sources like solar panels or batteries that are spread out in different places, instead of being in one big power plant. These energy sources can help power homes and businesses, especially when the main power grid is under stress. 

 

What is DERMS?

DERMS is a software system that runs in a data center to help PG&E manage all these small energy sources. It can: 

 

  • Predict when and where more electricity will be needed and where there are constraints.
  • Tell batteries when to charge or to send power back to the grid.
  • Keep track of how well the system is working.

Think of DERMS like a traffic controller, but for electricity. This system is also a team effort: PG&E worked with Microsoft and Schneider Electric  to develop and deploy its DERMS.  

 

Two new projects

Working with California-based White Pine Renewables, PG&E recently launched two new battery projects that were built to defer traditional distribution investments. These batteries will store energy and send it out when needed. 

 

🔋 Lakeview Project

  • Location: Lakeview area of Bakersfield
  • What it does: Stores 1 megawatt (MW) of energy for 3 hours 
  • When it helps: During hot summer months (June to September) 
  • Why it matters: Helps expand local capacity and prevent power outages during peak demand when everyone is using air conditioning 

🔋 Blackwell Project

  • Location: Blackwells Corner, an unincorporated community in Kern County 
  • What it does: Stores 0.83 MW of solar energy for 8 hours 
  • When it helps: In spring (April to June), when there’s too much solar energy during the day. 
  • Why it matters: Stores extra solar power during the day and sends it back to the grid during the evening when people need it most. 

 

How DERMS helps

PG&E’s DERMS system looks ahead a few days to see if there might be a problem, like too much power being used in one area. If it sees a problem coming, it tells the batteries in Lakeview or Blackwell to get ready. The batteries charge when there’s an abundance/over-supply of solar power and send power back to the grid when it’s needed most. This helps avoid outages and equipment failure while increasing the utilization of local solar resources. 

 

Why this is important

By using DERMS and battery projects like Lakeview and Blackwell, PG&E can: 

 

  • Keep the lights on during busy times 
  • Use more clean energy like solar power 
  • Defer or avoid expensive electric system upgrades (like new transformers at a substation).  

These two battery deployments follow the successful integration of several new EV charging sites recently deployed through PG&E’s DERMS.  

 

It’s a smart way to balance the energy supply on the grid to make sure everyone has the electricity they need — now and in the future.