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Home Cars

How EVs can create virtual power plants

February 6, 2023
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For managed or bidirectional charging to create a virtual power plant, EV owners must participate.

Paul Waatti, manager of industry analysis at AutoPacific, said a lack of awareness among EV owners is the only obstacle. EV owners have a first-adopter mentality, so if they can benefit from managed or bidirectional charging, they will likely try it, he said.

Plus, said Waatti, consumers need to feel confident that the grid is ready. “Virtual power plants offer a solution to ease grid demand when it peaks,” he said.

Alexei Andreev, managing director at Autotech Ventures, worries about the degradation of consumers’ batteries through bidirectional charging, but he expects them to participate in managed charging if there is a financial incentive.

There is more promise for bidirectional charging on the commercial side — where cost savings can be more significant and fleet schedules are predictable, said Nathan Niese, global lead for EV and energy storage topics at Boston Consulting Group.

With managed charging, once customers have a smart charger in their garage and understand how to optimize charging, many will opt in, he said.

“As soon as you have the smart charger that allows you to manage the charging, you’re going to take advantage of that because that just makes the promise of EVs so much stronger,” Niese said. “It’s for your personal gain.”

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