Austin could soon tap into electricity stored in residents' homes to help stabilize the grid.

A new partnership between Austin Energy and local startup Base Power aims to turn home backup batteries into a citywide reliability tool — one that could keep lights on during outages and reduce strain when demand spikes.

According to AOL, Austin Energy signed an agreement Monday with Austin-based Base Power under which the company could place backup batteries in customers' homes while the utility could tap that stored electricity during times of heavy demand.

The arrangement is designed to serve two purposes at once.

For homeowners, the batteries can automatically switch on if the grid goes down, providing backup power without requiring any manual action.

"If the power does go out, the battery backs them up. So it immediately turns on. Oftentimes, folks don't even know it," Base Power COO and co-founder Justin Lopas said, according to AOL.

For the utility, those same batteries could function as a flexible energy resource distributed across the city.

Base Power installs the systems on homes around Texas and links them to the grid, while the batteries themselves are made in Austin at the former Statesman site near the Congress Avenue bridge.

For residents, home batteries could provide an added layer of protection during blackouts, which can be especially important during extreme weather or other disruptions.

The partnership could also help Austin manage electricity costs more efficiently.

Austin Energy leaders said stored power can be charged when market prices are low and discharged when prices rise, which may help reduce pressure on the system during expensive peak-demand periods.

That could support the city's broader energy goals as well.

"We have a goal of 125MW [of storage] by 2027," said Lisa Martin, Austin Energy's deputy general manager and chief operating officer, according to AOL.

By shifting when electricity is used, battery systems can better match supply with demand while making it easier to take advantage of renewable energy when it is available.

In practical terms, that means solar power generated during the day can be stored and used later at night, cutting reliance on fossil fuels during high-demand hours.

Austin Energy leaders said the partnership aligns with the utility's Resource Generation and Climate Protection Plan.

For customers who enroll, the appeal is straightforward: added resilience at home and the chance to support a system that uses electricity more strategically. When batteries charge during cheaper periods and release power when it is needed most, they can help smooth demand spikes that often drive up costs.

The batteries are manufactured in Austin and installed by a Texas company.

"We can store power, especially when prices in the market are low, and then release that power or discharge the battery when prices are high," Martin said.

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