Smart Charging & Vehicle-Grid Connectivity A Utility perspective from three several point of views

1. Smart Charging & Vehicle-Grid ConnectivityA Utility perspective fromthree several point of views Thomas Theisen Brussels, 17th of November 2010 “Transatlantic Workshop on Electric Vehicles and Grid Connectivity”

2. Placing standardisation of electric vehicles at the fore • The European electricity industry, in Declaration, called upon the Commission in 2009 to support the drive towards standardisation in EV charging systems EURELECTRIC1) is currently working on a position statement prescribing recommendations which have to be taken in account for EV optimal charging under mass market conditions 1) Eurelectric TF „Electric Vehicles“ currently supported by 27 utility experts from all over EU27

3. Content 1 Charging process between vehicle and charge spot has to be coordinated based on grid capabilities and generation with bidirectional communication „Smart Charging“ 1.1 Today’s grid capabilities could be used with intelligent coordination of charging 1.2 Alternative costs for infrastructure are significantly higherthan for controlled “Smart Charging” 1.3 Smart Charging with bidirectional communication enables vehicle-to-grid concepts 1.4 Efficient using of generation capabilities only possible with smart charging

4. Transformer collapses at 25% market share of EV - under assumption one daily load on arrival at home and charging immediately • Capacity utilization of transformer increase more than 30% • Due to country specific grid characteristics percentage could be even worse • Cable could also be limiting factor due to additional load by electric vehicle • New designed grids have reserve capacity of about 20% to minimize handling costs • In some countries there are situations where single transformer provides energy for only a few households 120% 110% 100% 90% 80% 70% capacity utilization 60% 50% 40% 30% 20% 10% 0% 00:00 00:50 01:40 02:30 03:20 04:10 05:00 05:50 06:40 07:30 08:20 09:10 10:00 10:50 11:40 12:30 13:20 14:10 15:00 15:50 16:40 17:30 18:20 19:10 20:00 20:50 21:40 22:30 23:20 Assumptions: One daily load on arrival at home in the afternoon; Daily mileage of 65km; average consumption of vehicles 20kWh/100km; Charging at 400V/32A/22kW for ~36min; 25% market share of EV‘s; 120 Households per local transformer Source: RWE

5. High investments could mainly be avoided with “Smart Charging” by coordinating the additional loads No significant impact to transformer with Smart Charging 120% 110% 100% 90% 80% 70% Capacity utilization 60% 50% 40% 30% 20% 10% 0% • Assumptions: Daily mileage of 65km; average consumption of 20kWh/100km; Charging at 400V/32A/22kW for ~36min; 25% market share of EV‘s; 120 Households per local transformer; Differentiation of the charging location: 25% At home after arriving in the afternoon 50% At home but scheduled according to grid load 25% Different sides (Office, Supermarket, Hobby Locations [e.g. gyms]) 00:00 00:50 01:40 02:30 03:20 04:10 05:00 05:50 06:40 07:30 08:20 09:10 10:00 10:50 11:40 12:30 13:20 14:10 15:00 15:50 16:40 17:30 18:20 19:10 20:00 20:50 21:40 22:30 23:20 Source: RWE

6. Content 1 Charging process between vehicle and charge spot has to be coordinated based on grid capabilities and generation with bidirectional communication „Smart Charging“ 1.1 Today’s grid capabilities could be used with intelligent coordination of charging 1.2 Alternative costs for infrastructure are significantly higherthan for controlled “Smart Charging” 1.3 Smart Charging with bidirectional communication enables vehicle-to-grid concepts 1.4 Efficient using of generation capabilities only possible with smart charging

7. Without “Smart Charging” high investments in reinforcement of grid infrastructure necessary Investments in transformer1) Other investments in infrastructure • Investments in upstream grid • Reinforcements of cable2) between households and transformer Simplified grid connection in Germany:120 households at 1 transformer ... LV MV ...  30 • One additional transformer for 30 EVs needed (25% market share of EVs) • CAPEX 20.000 – 25.000 € • Additional CAPEX of > 25.000 € 630 kVA transformer Household 1) One daily load on arrival at home; Daily mileage of 65km; Charging at 400V/32A/22kW for ~36min ; EV starts charging after connecting Immediately; simplified grid correction in Germany2) Cable costs 50€/m;  500m additional cable

8. For utilities investments in „Smart Charging“ at the level of additional transformer – fast amortisation for customer Investments for utilities in Smart Charging Investments for customer in Smart Charging 800 €/ year 200 € ~700 €/ year ... LV MV CAPEX for communication device OPEX variable tariff OPEX fixed tariff2)  30 households with intelligent charge spots requires 30 communication units ( price at mass production 200€1)) Reduction of OPEX with incentives for charging at night and on availability of renewables • Cost of 6.000 € for communication at entire street (<< additional transformer) • Amortization of communication after two years should be possible Household with intelligent charge spot 1) Price oriented at comparable market products (e.g. DSL router) 2) Average mileage per year: 20.000 km; consumption EV: 20 kWh/100 km; Price electricity normal 0,2 €/kWh; night 0,17 €/kWh (3/4 of charge at night)

9. Content 1 Charging process between vehicle and charge spot has to be coordinated based on grid capabilities and generation with bidirectional communication „Smart Charging“ 1.1 Today’s grid capabilities could be used with intelligent coordination of charging 1.2 Alternative costs for infrastructure are significantly higherthan for controlled “Smart Charging” 1.3 Smart Charging with bidirectional communication enables vehicle-to-grid concepts 1.4 Efficient using of generation capabilities only possible with smart charging

10. Renewables Other Oil Hydro Natural Gas Hard Coal Lignite Nuclear Production capacities changing towards renewables Development of production capacities in Germany, 2000 – 2030 160 GW brutto 140 Renewables 120 100 80 60 Gas 40 Coal 20 Nuclear 0 2000 2010 2015 2020 2025 2030 Source: ewi/Prognos May 2005

11. Wind Sun Sun Biomass 0 2 4 6 8 10 12 14 16 18 20 22 24 0 2 4 6 8 10 12 14 16 18 20 22 24 Bidirectional communication between charge spot and vehicle allows charging when renewables are available … Bidirectional communication Vehicle charge at peak production timesof renewables Charge spot Vehicle • Vehicle and charge spot have to communicate: • Vehicle user inserts information of endof charge-time and desired mileage • Flexible charge can be set up over available time and changed during charging

12. … and could be used for balancing power which enables high share of renewables in production capacity Charging P Grid Chargespot Discharging 45 million EV in Germanywith power of 10 kW  450 GW balancing power capacity! Grid Chargespot 00:00 06:00 12:00 18:00 24:00 Intelligent coordination of charging through bidirectional communication leads toreducing peaks in the grid as well as constant capacity utilisation

13. HOW TO START A REVOLUTION? START. AC charging posts are the solution for European utilities www.rwe-mobility.com

14. Transatlantic Workshop onElectric Vehicles and Grid ConnectivityG4V – grid-for-vehicles Project Thomas Theisen, RWE Rheinland Westfalen Netz AGProject coordinator 17 November 2010 Brussels

15. The G4V consortium 12 partners from eight countries Energy utilities Scientific partners North Central South

16. Overview – the G4V-projectProject 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? • technical issues • legal framework • business model • customer convenience • environmental aspects Recommendations

17. Definition of Szenario-worlds • How could the development in the European electricity sector look like? Business as usual Main differences: • regulatory framework • charging control strategies • grid infrastructure • services „EV – optimal“ Reasonable innovations

18. Overview about Control strategies Main objectives: Integration Renewables LV-grid – congestion management Exploitation of EV’s flexibilities 22 05.01.2020

19. „G4V Impact Assessment Approach“ • agent based • geographically referenced • high time resolution (15min) • long duration (2010-2030+) HV/MV/LV grid data socio-economic data regional driving patterns G4V model Impact 23 05.01.2020

20. „G4V Impact Assessment Approach“ $ $$ $$$ 24 05.01.2020

21. „EU-27 Impact Assessment“ $ $ North,South, Central Europe Extrapolation of local results to national level Urban, Rural, Suburban Extrapolation to EU-27 impacts 25 05.01.2020

22. Exemplary results - Probabilistic load flow Specs: suburban grid: 630kVA transformer 250 households Energy consumption 2000-4000kWh/a Radial distribution grid Battery capacity 35 kWh Penetration rate: 12,5% only a few transformer overloads Necessary to include a safety margin (probability of occurrence) into grid assessment 26 05.01.2020

23. V2G for Aggregation using „plug-in“-capable electric vehicles as a massively distributed storage for grid services such as balancing power V2G Aggregation • technical requirements (ICT, Charger, …) • load flow calculations and impact on grid-levels (LV, MV, HV) interdependencies! • business case (reserve power market) Frequency control: V2G vs generators? Comparison needs to be elaborated! 27 05.01.2020

24. Thank you! also please visit: www.g4v.eu Contact: RWE Rheinland Westfalen Netz AG New Technologies Thomas Theisen +49 201 12 29387 thomas.theisen@rwe.com