Vehicle Grid Integration Revenue from Grid Service Markets Is Expected to Reach $1.4 Billion by 2030
Strong growth depends on removal of technical and regulatory hurdles
A new report from Navigant Research analyzes emerging markets and future growth opportunities for vehicle grid integration (VGI) technologies, including global forecasts, market drivers, barriers, and key industry players.
The burgeoning plug-in EV (PEV) industry is interested in the many potential uses of VGI. The technology enables direct control of PEV charging, and in some cases, discharging, which can be used to provide grid services. Click to tweet: According to a new @NavigantRSRCH report, VGI revenue accrued from grid service markets is expected to reach $1.4 billion by 2030.
“Decarbonization drives VGI through the growing need for the adoption of PEVs and integration of renewable energy sources,” says Scott Shepard, senior research analyst with Navigant Research. “VGI enables automakers to improve the economics of PEV ownership and the electric power sector to buffer intermittent resources to better meet grid demands and balance loads.”
Although VGI is well-positioned to help solve several industry issues, there are technical and regulatory hurdles to overcome for the technology to come through on its promise. For the more sophisticated forms of VGI, such as vehicle-to-grid (V2G), more research is needed to determine impacts on battery degradation and local distribution loads. Beyond these technical items, grid operators need to address burdensome or limiting regulations such as minimum capacity and interconnection requirements.
The report, Vehicle Grid Integration, analyzes the market opportunity for VGI technologies to be used as assets in grid services. The study considers policy factors associated with the growth of VGI as well as significant market drivers and barriers. Global market forecasts for PEVs, charging ports, VGI capacity, and bidirectional chargers are segmented by region and location type, and extend through 2030. The report also examines the major VGI technologies and profiles key market participants. An Executive Summary of the report is available for free download on the Navigant Research website.
*The information contained in this press release concerning the report, Vehicle Grid Integration, is a summary and reflects Navigant Research’s current expectations based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report’s conclusions and the methodologies used to create the report. Neither Navigant Research nor Navigant - a Guidehouse company undertakes any obligation to update any of the information contained in this press release or the report.