Automakers such as General Motors (GM) and Volvo Cars are betting on bidirectional, or vehicle-to-grid (V2G) charging that lets EV owners charge at overnight off-peak rates then sell power back to grids at a profit during peak hours, Reuters news report said.
Nick Woolley, CEO of UK software firm ev.energy, highlights the immense potential of V2G, suggesting that for short durations, a million EVs could collectively generate as much power as a large nuclear plant. This optimistic outlook has catalyzed collaborative efforts between various stakeholders, including Siemens, Nissan, Volkswagen, and others, in developing V2G infrastructure and solutions.
Major automakers, such as Tesla, BMW, Volkswagen, Renault, and Toyota, are poised to introduce V2G-capable models in the coming years, signaling a broader industry shift towards bidirectional charging capabilities. Notably, Chinese manufacturers like BYD have also embraced V2G technology, bolstered by governmental support for its integration into the energy grid by 2030.
The potential financial gains from grid-balancing services have attracted widespread interest, with Doron Frenkel, CEO of Driivz, emphasizing the profitability of this burgeoning market. However, regulatory hurdles and higher production costs for bidirectional chargers currently limit widespread adoption, particularly in regions like Germany.
Despite these challenges, companies like Octopus Energy in the UK have already launched V2G tariffs, offering incentives for EV owners to participate in grid-balancing initiatives. Similar initiatives are planned for other markets, including France, Japan, New Zealand, and the United States.
In anticipation of the transformative impact of V2G technology, automakers have established dedicated energy units to explore revenue opportunities in the burgeoning market. General Motors, for instance, plans to equip all its EVs with bidirectional capabilities by 2026, with initiatives to sell energy to utilities and collaborate with aggregators for large-scale power distribution.
Meanwhile, Ford’s F-150 Lightning electric pickup truck and other forthcoming models also boast V2G capabilities, underlining the industry-wide commitment to embracing bidirectional charging solutions.
As consumers increasingly embrace V2G-enabled EVs, the role of intermediaries like Kaluza and The Mobility House becomes crucial in aggregating EVs across different brands and facilitating seamless integration into existing energy grids. Collaborations between automakers, energy firms, and technology providers are expected to drive innovation and accelerate the transition towards a more dynamic and sustainable energy ecosystem.
GreentechLead.com News Desk