plug-in ready michigan an electric vehicle preparedness plan: Utilities

1. plug-in ready michiganan electric vehicle preparedness plan: Utilities made possible through the generous support of the U.S. Department of Energy

2. Objectives • Perspective from utilities on impact of PEVs • Assess utilities state of readiness • Identify primary issues and concerns • Offer recommendations

3. Process • Active engagement with utilities • MPSC PEV Readiness Taskforce • MPSC Smart Grid Collaborative • Other related programs • Primary research • Secondary research

4. Report Structure • Background Information • PEV Readiness – Current State • PEV Readiness – Future Perspective • Summary, Conclusions, Recommendations

5. Background Information • The role of utilities • Michigan utilities • Types in the State of Michigan • Service areas • Scale • Generation sources • Energy loads

6. PEV Readiness – Current State • Initial data on charging behavior • Charging locations • Charging levels • Utilities process for addressing new loads • Evaluation • Planning • Issue identification and resolution

7. PEV Readiness - Future State • Engagement in market evolution • MPSC Readiness Taskforce • MPSC Smart Grid Collaborative • EPRI Programs • NARUC Activities

8. PEV Readiness – Future State • Reality of timing and scale • Demonstration programs • Vehicles • Infrastructure • Historical ability to respond

9. Utilities Concerns • Utilities concerns • Time of use • Lack of notification • Clustering • Higher charging levels

10. Time of Use • PEVs charging at same time • Exacerbate peak loads • Create new peak load periods • Can be influenced by rate programs

11. Lack of Notification • Direct impact on localized load • Notification provides the opportunity to apply evaluation process in a timely manner • Small number of PEVs can result in localized issues (clustering)

12. Clustering • Multiple vehicles in close proximity • Residential • Commercial • Localized load on infrastructure • More critical in older neighborhoods • Difficult to plan

13. Higher Charging Levels • Current market emphasis is on AC Level 2 • Early data suggesting AC Level 1 sufficient for many customers • Market being influenced by “range anxiety” and nature of current gas based system • Higher levels, e.g. fast charging, more applicable to BEV • Anything beyond basic AC Level 2 increases potential for issues with the grid

14. Resulting Issues • Transformer overloads • Subsystem upgrades • Local control panel • Power drop to location • Wiring • Economics – increased demand charges

15. Summary, Conclusions • Michigan utilities actively engaged • Michigan utilities creating and implementing strategies to address major issues • Michigan utilities have policies, procedures and plans in place to respond to the growth of PEVs

16. Recommendations • Promote open and timely communications with the utilities • Expand education tools and publications to include all phases of PEV ownership • Continue to allow utilities to experiment with and offer PEV/TOU rate programs • Develop and institute a consistent means of notification on the location of PEV owners

17. Recommendations • Support education and implementation programs that promote workplace charging • The Michigan legislature should consider an increase in the RPS to reduce Michigan’s carbon footprint associated with PEV charging