Earlier this month, the Delaware town of Newark became the first U.S. city to use Vehicle to Grid (V2G) technology. V2G relies on electricity-powered vehicles to store energy and improve grid reliability.

Developers from the University of Delaware are testing the technology at two outlets in Newark. By the end of 2009, two V2G vehicles will operate out of the university and four will be operated by the state of Delaware. The six-car fleet will demonstrate how V2G cars work together and supply energy.

V2G technology works based on the theory that the growing use of unreliable renewable energy sources requires energy storage to smooth power output fluctuations. An electric vehicle can use wind power, for example, to charge at night. The grid operator can then use energy stored in the batteries while the vehicle is plugged in to stabilize the grid.

As a result of Newark's approval, V2G electric vehicles will become a viable option nationwide.

Other cities considering V2G technology include Austin, Texas, and San Francisco, California.

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