1. G4V- Grid for vehicles Thomas Theisen RWE Analysis of the impact and possibilities of a mass introduction of electric and plug-in hybrid vehicles on the electricity networks in Europe Frankfurt (Germany), 6-9 June 2011 Paolo Scuro Enel Round Table RT5c/4a Integration of plug-in-vehicles in distribution networks. Contribution from 2 major EU FP7 projects: MERGE and G4V

2. Agenda  Overview: the G4V project  EVs: Background  Business/Economic, Environmental and Societal Implications for Electro-Mobility Customer perspective: Results of the European G4V survey Economic and Environmental impacts of Electro-Mobility Implications for business models of the key stakeholders  Impact of electromobility on electricity networks THEISEN – DE – RT 5c/4a – G4V

3.  technical issues  legal framework  business model  customer convenience  environmental aspects Recommendations Key – Question: What needs to be started now in order to enable a mass market of EV? time-horizon: 2030 Project duration: Jan 2010 – June 2011 Overview: the G4V project Scenarios WP1 Roadmap WP7 Regulatory framework Socio-economics Business models WP 2 ICT WP4 Grid Infra- structure WP5 Power system operation WP6 WP3 THEISEN – DE – RT 5c/4a – G4V

4.  Overview: the G4V project  EVs: Value for the entire system  Business/Economic, Environmental and Societal Implications for Electro-Mobility Customer perspective: Results of the European G4V survey Economic and Environmental impacts of Electro-Mobility Implications for business models of the key stakeholders  Impact of electromobility on electricity networks Agenda THEISEN – DE – RT 5c/4a – G4V

5. …technically and economically :  Provide flexibility to the system:  Buffer the variability of intermittent generation coming from renewable energy sources  Tool for managing congestion in the power networks  Demand response services  Load-shaping services  Trading flexibility:  Due to their small scale, the EVs need to be operated as an ensemble  Niche for a new function: Aggregation (that can be taken by an existing or a new actor)  Trade the services that they can provide in the most appropriate markets … and also ecologically.... The alterable characteristics of the EVs makes them good candidates to impact the system… THEISEN – DE – RT 5c/4a – G4V

6.  Overview: the G4V project  EVs: Value for the entire system  Business/Economic, Environmental and Societal Implications for Electro-Mobility Customer perspective: Results of the European G4V survey Economic and Environmental impacts of Electro-Mobility Implications for business models of the key stakeholders  Impact of electromobility on electricity networks Agenda THEISEN – DE – RT 5c/4a – G4V

7.  Preference of home recharging (70 % )  Interest in delayed charging (with price incentives)  average of 5,8 on a scale from 1-7  Most interested UK: 6,1  Less enthusiastic Spain: 5,6  Main reason not to be interested: being afraid not having the possibility to use their car  V2G: Less interest compared to delayed charging  average of 4,4 on a scale from 1-7  Most interested UK and Portugal  Main reason not to be interested : benefit too low (50%) Survey results (1,900 responses were received from 8 countries) : Preferences of potential users of EVs related to charging – A survey in 8 countries THEISEN – DE – RT 5c/4a – G4V

8.  Overview: the G4V project  EVs: Value for the entire system  Business/Economic, Environmental and Societal Implications for Electro-Mobility Customer perspective: Results of the European G4V survey Economic and Environmental impacts of Electro-Mobility Implications for business models of the key stakeholders  Impact of electromobility on electricity networks Agenda THEISEN – DE – RT 5c/4a – G4V

9. ... even at low levels of EV penetration Example: UK, 30% wind penetration in the system Significant avoidance of wind energy curtailment by optimized EV charging THEISEN – DE – RT 5c/4a – G4V

10. Drop in CO2 emissions in optimized EV charging cases is due to greater absorption of wind energy substituting fossil fuel based production CO2 emission Increase/Decrease THEISEN – DE – RT 5c/4a – G4V Example: UK, 30% wind penetration in the system The increase of CO2 emissions is due to the higher demand of energy. The reduction of pollution because of the replacement of ICE cars by EVs is not considered.

11.  Avoidance of wind energy curtailed  Reduced usage of expensive generators  Reduced provision of response by conventional generators  Reduced emission costs Key reasons for cost savings in Optimized EV charging: Impact on production costs: Optimized charging leads to reduced overall operational costs THEISEN – DE – RT 5c/4a – G4V

12.  Overview: the G4V project  EVs: Value for the entire system  Business/Economic, Environmental and Societal Implications for Electro-Mobility Customer perspective: Results of the European G4V survey Economic and Environmental impacts of Electro-Mobility Implications for business models of the key stakeholders  Impact of electromobility on electricity networks Agenda THEISEN – DE – RT 5c/4a – G4V

13. A player that manages the EVs as flexible demands is required THEISEN – DE – RT 5c/4a – G4V  Gather the time-varying EVs’ flexibilities  build flexibility services  Price the flexibility services:  Assets usage and wear, e.g. battery lifetime  Infrastructure usage costs  Search to maximise the value of the bundled EVs’ flexibility services  Awareness of system/market status as well as EVs availabilities  Make the traded quantities in the market mechanisms available and deployable to the system at the agreed times and volumes

14. THEISEN – DE – RT 5c/4a – G4V Market/ system conditions

15. Generation scheduling  Minimise total operating costs  Power balance constraint (including EVs’ charge and discharge)  S ecurity: system reserve requirements  Units technical operating constraints: - Minimum up- and down-times - Up and down ramp rate limits EVs scheduling  “Maximise revenues”  EVs’ energy requirements  EVs operating constraints: - State of charge - Charging and discharging rates - EV’s status System operation THEISEN – DE – RT 5c/4a – G4V

16.  The coordination of the aggregator and markets is a large and complex optimisation problem  Aggregators will sell their services only if their price is competitive (the total system welfare increases)  The V2G services are acquired for: Energy arbitrage Generation schedule changes  Systems with “flat” supply curves would hardly acquire V2G services for energy arbitrage  When the EVs penetration is large enough to flatten the total system demand, there are no opportunities to provide V2G services Conclusions of the aggregator model THEISEN – DE – RT 5c/4a – G4V

17.  Overview: the G4V project  EVs: Value for the entire system  Business/Economic, Environmental and Societal Implications for Electro-Mobility Customer perspective: Results of the European G4V survey Economic and Environmental impacts of Electro-Mobility Implications for business models of the key stakeholders  Impact of electromobility on electricity networks Agenda SCURO – IT – RT 5c/4a – G4V

18.  Stochastic approach  Inputs: Collection of almost 200 real grid data (MV & LV) Driving patterns from mobility study 8 different EVs control strategies  Outputs: Overloads in lines and sub-stations Required reinforcement investment Technical parameters (security margins, energy and power in violation) SCURO – IT – RT 5c/4a – G4V Tool to evaluate EV impact on Distribution Grids

19. Uncontrolled Tariff Control SCURO – IT – RT 5c/4a – G4V Control strategies: Conservative Scenario Examples

20. Load by EVs is reduced, if secondary substation is at capacity  Pragmatic solutions envisage an active role of the DSO  Charging process integrate into smart grid solutions.  Those solutions are achievable within today technology and regulatory conditions  Possible to host higher percentage of EVs SCURO – IT – RT 5c/4a – G4V Control strategies: Pragmatic Scenario

21.  More advanced solutions, for example using the Aggregator or multiple agents, can provide additional benefits for the electrical system such as higher integration of renewables  To introduce them additional researches are needed; for example to integrate them in grid congestion management SCURO – IT – RT 5c/4a – G4V Control strategies: Advanced Scenario Aggregator Model Multiple Agents (Powermatcher )

22.  Using control strategies is possible to reduce and postpone grid reinforcement  To apply some of the control strategies it is required to implement smart grid functionalities  Moreover, there is the opportunity to use EVs to offer services to the electric system (e.g. integration of renewable sources) SCURO – IT – RT 5c/4a – G4V Simulation results

23. Presentation of the Final Results of the G4V Project 30 June 2011 BRUSSELS Further information & registration: www.g4v.eu