Owners of certain electric vehicles could save "hundreds of pounds" on their energy bills by using electricity stored in the batteries to power their homes, according to the government.
Using bidirectional charging, or two-way charging, households could fuel their cars when electricity costs are lowest - at off-peak hours during the night- and use it in their home at peak times when prices are higher, the Department for Energy Security and Net Zero said.
There are some 950,000 fully electric cars and 50,000 electric vans on UK roads a study from EV charging station app, ZapMap found.
However, not all electric vehicles support Vehicle-to-Home (V2H) charging.
Some compatible models include the Hyundai Ioniq 5 and 6, Nissan Leaf and Volkswagen ID Buzz.
The government is awarding four projects a share of £4.8m to develop and implement "Vehicle-to-Everything" (V2X) technology, which could also allow households and businesses to sell electricity from their vehicles back to the grid.
The funding follows Renault's announcement of its electric Renault 5, set to launch in the UK in 2025, which will feature a new Vehicle-to-Grid (V2G) charging system - making it one of the first vehicles on sale to incorporate the technology.
Minister for affordability and skills Amanda Solloway said the prospect of families using electric vehicles to power their homes was "incredibly exciting".
Ms Solloway added: "This is exactly the sort of ingenuity and creativity that makes the UK one of the world's most innovative nations.
"By backing this technology, we could save families hundreds of pounds a year, while also supporting jobs, investment and growth."
The average cost of an electric vehicle is £50,000 in the UK, with one of the cheapest supporting V2H charging being the Nissan Leaf 39 kWh at around £29,000.
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Transport Minister for Technology and Decarbonisation Anthony Browne said: "We're continuing to support drivers, and this innovative new development is the next step in levelling-up our charging technology, which will benefit many households across the country.
"This government has already spent over £2bn in the transition to electric vehicles and our charging network is growing at pace, with 44% more public charge points than this time last year, meaning drivers can charge more easily than before."
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Households could use EV batteries to power appliances - but there are caveats - Sky News
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