G4V- Grid for vehicles

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

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. Overview: the G4V project Project duration: Jan 2010 – June 2011 time-horizon: 2030 Key – Question: What needs to be started now in order to enable a mass market of EV? ScenariosWP1 • technical issues • legal framework • business model • customer convenience • environmental aspects RoadmapWP7 WP3 Regulatory framework Business modelsWP 2 Socio-economics ICTWP4 Grid Infra-structureWP5 PowersystemoperationWP6 Recommendations THEISEN – DE – RT 5c/4a – G4V

4. Agenda • 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 THEISEN – DE – RT 5c/4a – G4V

5. The alterable characteristics of the EVs makes them good candidates to impact the system… …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 .... THEISEN – DE – RT 5c/4a – G4V

6. Agenda • 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 THEISEN – DE – RT 5c/4a – G4V

7. Preferences of potential users of EVs related to charging – A survey in 8 countries Survey results(1,900 responses were received from 8 countries) : • 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%) THEISEN – DE – RT 5c/4a – G4V

8. Agenda • 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 THEISEN – DE – RT 5c/4a – G4V

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

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

11. Agenda • 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 THEISEN – DE – RT 5c/4a – G4V

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

13. System operation • Generation scheduling • Minimise total operating costs • Power balance constraint (including EVs’ charge and discharge) • Security: 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 THEISEN – DE – RT 5c/4a – G4V

14. Conclusions of the aggregator model • 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 THEISEN – DE – RT 5c/4a – G4V

15. Agenda • 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 SCURO – IT – RT 5c/4a – G4V

16. Tool to evaluate EV impact on Distribution Grids • 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

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

18. Control strategies: Pragmatic Scenario • 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 Load by EVs is reduced, if secondary substation is at capacity SCURO – IT – RT 5c/4a – G4V

19. Control strategies: Advanced Scenario • 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 Aggregator Model Multiple Agents (Powermatcher ) SCURO – IT – RT 5c/4a – G4V

20. Simulation results • 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

21. Presentation of the Final Results of the G4VProject 30 June 2011 BRUSSELS Further information & registration: www.g4v.eu