Navigant Research Blog

Integration of EVs Becoming a Priority for Utilities

John Gartner — September 26, 2017

Utilities are rapidly coming off the sidelines and tackling the opportunity to integrate EVs head on. Sales of plug-in EVs (PEVs) in the United States have reached nearly 120,000 units so far in 2017, up 28% from the same period last year, according to HybridCars.com. Utilities are more actively planning to accommodate the growing numbers of cars plugging in at residences, workplaces, and in public spaces. Utilities also are working toward using the largely controllable load to balance renewable generation assets.

PacifiCorp Making Moves

In Oregon, PacifiCorp reached an agreement with the Oregon Public Utility Commission (Oregon PUC) and other stakeholders to invest $2 million in EV charging infrastructure that will include the “incorporation of emerging technologies, such as renewable generation, energy storage or direct load control.” PacifiCorp joins fellow Oregon utilities Portland General Electric and Avista in piloting EV charging investment in order to better serve EV drivers and provide more flexibility in managing the grid.

Developments in Ohio and California Enable Integration

In Ohio, AEP and a group of stakeholders reached an agreement to provide rebates of up to 100% for installing charging stations. The $9.5 million deal will include both Level 2 and DC fast charging stations, including a provision to spend 10% in low income communities. Pending approval, the spending plan would be implemented as part of the Smart Columbus electrification program that will coordinate with power provider AEP Ohio’s efforts to increase the amount of renewable generation.

In the PEV leading state of California, utilities and automakers are working to standardize and expand vehicle-to-grid integration. The Vehicle-Grid Integration Communications Protocol Working Group is developing recommendations for the California PUC in response to an earlier executive order that mandates that EV charging be integrated into grid operations. The working group is expected to complete its recommendations in October 2017.

Revenue Rises in Next 3 Years

By 2020, annual EV charging services revenue in the United States will reach $900 million, according to Navigant Research’s report Electric Vehicle Charging Impacts. By necessity, utilities will play a pivotal role in delivering and managing the power delivered to PEVs. Due to the flexibility in timing when vehicles are charged, and their benefits as mobile energy storage units, utilities increasingly view EV charging as integral to management of distributed energy resources (DER).

EV charging services company eMotorWerks is building products to integrate charging into grid operations The company, which according to ChargedEVs is working with Pacific Gas and Electric and Sonoma Clean Power to intelligently manage its EV charging units, has reduced the price of its smart charging stations by $50.

Learn about PEV Integration

A great place to learn about how PEVs are being integrated into grid operations is the EVs & The Grid Summit, which will be held October 17-19 in San Francisco. The event will feature panels focused on the impacts of fast charging and utility EV rate programs, and I will be moderating a panel on regulatory programs from across the United States.

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