NRG Energy, Inc. has signed a new multi-year deal with Sunrun, a home solar and battery storage company. Reliant, NRG’s brand, will offer Sunrun’s solar-plus-storage systems to Texas homeowners, creating a virtual power plant to supply clean power to the grid when demand is high.

This partnership benefits NRG by tapping into existing home battery storage systems instead of building new power plants. It allows for dispatchable, flexible energy sources to meet rising electricity demand and enhance grid resilience in Texas, contributing to NRG’s goal of a 1GW virtual power plant by 2035.

Demand for clean electricity is increasing due to growth in AI data centers, electric vehicles, and weather variations. NRG and Sunrun aim to harness individual homes’ power to strengthen the grid and meet Texas’s growing electricity demand. NRG’s shares have seen a 70.9% increase in the past year.

NRG holds a Zacks Rank #3, with better-ranked stocks in the industry like Ameren Corporation and IDACORP, Inc. carrying a Zacks Rank #2. These stocks offer estimated long-term earnings growth rates of 8.52% and 8.01%, respectively, contributing to the sector’s overall growth.

Read more at Nasdaq: NRG Energy and Sunrun Partner to Expand Distributed Energy in Texas