How Utilities Are Using Evs As Grid Assets | Q&a With…

The future of resiliency may already be parked in your garage.

Vehicle-to-home (V2H) and vehicle-to-grid (V2G) technologies enable bidirectional charging between an electric vehicle (EV) and a home or the power grid. Using special cables, models including the Ford F-150 Lightning, Kia EV9, and Tesla Cybertruck can tap into their robust batteries as backup power sources to keep the lights on during an outage or even help flatten peak demand.

Utilities across the United States are beginning to explore the possibilities. ChargeScape, a joint venture among global automakers BMW, Ford, Honda, and Nissan, has positioned itself as an arbiter between manufacturers, EV owners, and power companies, helping drivers pad their wallets by charging at optimal times and making grid operators’ gigs a little easier to navigate. The automaker-backed V2G integration platform is running programs across the country that are starting to return promising results.

Joseph Vellone, the chief executive officer of Chargescape, recently unplugged from those pilots for a moment to talk about what he’s working on with Factor This. The ing is our discussion, lightly edited for clarity and conciseness.

---

Paul: Let’s start by explaining the automaker collaboration that led to the formation of ChargeScape. In your own words, what are you working on, and what do you hope to learn?

Joseph: ChargeScape was formed around the vision of transforming EVs into grid assets.

We do this by working directly with the automakers to directly integrate their electric vehicles into grid programs at scale. This is something that no one else is doing, and it allows us to standardize data and communications protocols, access EV drivers directly through automaker channels, and unlock grid value that hasn’t been accessible before.

There’s a lot that you can learn when automakers and power utilities come to the same table together to work on vehicle-grid integration, including the kinds of incentives and program designs that drive the greatest grid impact, and the different ways that EV batteries can be harnessed, from powering data centers to serving as backup power for the home.

Paul: Walk me through some of the EV charging programs ChargeScape administers. How are they similar, and how do they differ?

Joseph: Let’s start with TXU Energy, where customers across most of Texas get free at-home EV charging when they plug in between 7 pm and 1 pm (the next day). This partnership is the first in the country to offer EV drivers free charging, starting with Ford customers. We’re thrilled to that real customers are saving up to $1,100 per year on their electricity bills.

In our program with Puget Sound Energy, we’re focused on reducing grid strain and promoting grid resilience. Customers opt in to demand response, where their automaker reduces or even temporarily pauses charging when the grid is overloaded — while always ensuring their car is still charged by the time they need it. Customers who drive the Ford F-150 Lightning and the Kia EV9 can even use their car batteries to power their homes and further reduce their grid demand, thereby earning even more money through financial incentives. We’re proud to partner with PSE to deliver the first vehicle-to-home (V2H) power demonstration in Washington state.

And finally, with Silicon Valley Power, we’re focused on pure vehicle-to-grid charging: exporting power from EV batteries directly back to the grid, just a power plant would. We launched this pilot with Nissan and SVP last year to provide additional supply and capacity to their power grid, which is experiencing unprecedented demand growth from data centers. SVP wants to support an additional 380 megawatts (MW) of demand by 2030, and we’re proud to be contributing to that.

All three programs differ in application, but they’re all unified by the common goal of turning EVs into flexible assets for the grid while providing financial savings to drivers.

Paul: Have you taken away any lessons from those programs so far?

Joseph: Yes: In order to make vehicle-grid integration work at scale, automakers have to be involved! Automakers not only control the vehicle, which is essential for managed charging, but they also have unparalleled access to the EV driver (their customer), whose consent and participation are needed for any program.

Not to mention the proprietary data that automakers have on EV driver behaviors, battery health, etc. I’ve previously worked for platforms that try to bypass the automaker, and unfortunately, that’s just not scalable.

---

Learn More About V2G

---

The future is now: Electric pickup trucks are sending power to the grid

Sunrun and BGE launched the U.S.’s first vehicle-to-grid power plant in Maryland, enabling Ford F-150s to dispatch energy, enhancing grid resilience.

8 min read

DTECHElectric VehiclesNewsVehicle to GridDTECH Data Centers and AIDTECH MidwestReliability and Resilience

California utility launches ‘replicable model’ for electrifying school bus fleets

PG&E and the Mobility House have equipped Fremont Unified School District to power and manage a growing fleet of electric school buses.

4 min read

Electric VehiclesEV ChargingNewsVehicle to GridReliability and ResilienceRenewables

Enhancing grid resilience: EV charging as a key strategy amid natural disasters

A key to addressing grid fragility is hiding in residential garages across the continent: electric vehicle chargers, writes contributor Alex Urist.

7 min read

DistributionElectric VehiclesEV ChargingNewsVehicle to GridReliability and Resilience

---

Paul: How do EV charging programs benefit utilities and, thereby, ratepayers?

Joseph: Utilities are facing rapid load growth from EVs, data centers, and broader electrification. The legacy approach to solving this issue is to build more generation, more transmission, and more distribution. And that’s not a quick or cost-effective solution. It’s much cheaper to simply reduce electricity demand at the peaks, and to tap into sources of power – batteries – that are already built and available to be deployed.

Managed EV charging helps solve for this. If you can shift when EVs consume electricity, or even export power back to the grid when it’s needed, you reduce the need for new infrastructure. That translates directly into lower system costs, saving the utility money and reducing everyone’s electricity bill, not just EV drivers.

Paul: How much of an impact could smart EV charging programs have at scale? What about bidirectional charging?

Joseph: The impact at scale is enormous.

Managed charging alone can flatten demand peaks. There are over 6 million EVs on the road in America today, and with even 1 kilowatt (kW) of flexible capacity per vehicle, that equates to 6 gigawatts (GW) of capacity, which is the entire peak demand of Denmark.

Bidirectional charging takes it a step further by enabling EVs to become mini power plants that can respond in real time. Internal data that we’ve obtained from auto manufacturers tells us that there are already over 1 million bidirectional-capable EVs on the road today. This represents about 10 GW of capacity, equivalent to 10 large nuclear reactors distributed across the country. That presents an immense opportunity for utility companies just as they’re considering building more nuclear and gas power plants to meet data center demand.

One of the main factors at play is speed. EV capacity can be deployed faster and at far less cost than building new power plants or transmission lines. That’s extremely important in the current landscape.

Paul: From your perspective, what’s the temperature of the room in the US on EVs right now? Anything coming down the pike that could push consumers toward further adoption?

Joseph: I think we’re seeing a recalibration of the American EV market right now, with automakers swapping out expensive first-gen models for more affordable options, and investing heavily in new platforms that will enable them to deliver lower-cost EVs at scale.

I’m encouraged by Ford’s commitment to a $30,000 electric pickup truck, as well as budget-friendly sedans the Chevy Bolt and Nissan Leaf that have really made a comeback. Ultimately, Americans are going to vote with their wallets, and with gas prices stuck at over $4 per gallon, EVs are going to continue to be the sensible financial option for many consumers.

Paul: What are the hurdles standing in the way of broader EV adoption and, therefore, the proliferation of smart charging?

Joseph: There are hurdles that remain, but the good news is that they’re all solvable.

The first hurdle is a lack of awareness. Many consumers aren’t aware of the ways they can money on charging through utility-provided programs. ChargeScape and its automotive partners are doing a lot to ensure that EV drivers are aware of the savings available to them at the moment they purchase or lease an EV in the dealership

Another hurdle is affordability, but I think this is more of a misconception. EVs are actually some of the best deals in the market today: The Honda Prologue is available to lease for $249/month, and the Nissan Leaf’s starting MSRP is around $30K. By contrast, Kelly Blue Book reports that the average MSRP of a new car in America topped $50,000 last year.