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Fleet operator risks for using fleets for V2G regulation

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  • Hill, Davion M.
  • Agarwal, Arun S.
  • Ayello, Francois

Abstract

Future fleets of vehicles may include electric vehicles (EVs) or hybrid electric vehicles (HEVs) because of potential fuel savings. Recent demonstration of diesel parallel hybrids in a delivery fleet led to fuel economy improvements, and hybrid bus demonstrations exhibited twice the fuel economy of the conventional bus. Fleet ownership may include management of a fleet of vehicles as small as 10 units and as large as hundreds or thousands. In addition to fuel savings, the newer extended range electric vehicles (EREVs) and pure EVs permit vehicle to grid (V2G) opportunities. These V2G opportunities may present additional revenue for fleets by providing ancillary services to local grid independent system operators (ISOs), provided that the burden of driving and V2G services do not accelerate the degradation of the battery systems in these vehicles. The subject of this study is to determine the financial risks associated with accelerated battery degradation in a V2G-enabled EREV fleet expected to perform ancillary service duty while charging in addition to the normal loads of drive cycle duty. We determine that battery cycle life during V2G duty is a critical parameter, which can determine whether or not the business model is viable.

Suggested Citation

  • Hill, Davion M. & Agarwal, Arun S. & Ayello, Francois, 2012. "Fleet operator risks for using fleets for V2G regulation," Energy Policy, Elsevier, vol. 41(C), pages 221-231.
    • Handle: RePEc:eee:enepol:v:41:y:2012:i:c:p:221-231
    DOI: 10.1016/j.enpol.2011.10.040
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    2. Zhao, Yang & Noori, Mehdi & Tatari, Omer, 2016. "Vehicle to Grid regulation services of electric delivery trucks: Economic and environmental benefit analysis," Applied Energy, Elsevier, vol. 170(C), pages 161-175.
    3. Bellekom, Sandra & Benders, René & Pelgröm, Steef & Moll, Henk, 2012. "Electric cars and wind energy: Two problems, one solution? A study to combine wind energy and electric cars in 2020 in The Netherlands," Energy, Elsevier, vol. 45(1), pages 859-866.
    4. Nunes, Pedro & Brito, M.C., 2017. "Displacing natural gas with electric vehicles for grid stabilization," Energy, Elsevier, vol. 141(C), pages 87-96.
    5. Sovacool, Benjamin K. & Kester, Johannes & Noel, Lance & Zarazua de Rubens, Gerardo, 2020. "Actors, business models, and innovation activity systems for vehicle-to-grid (V2G) technology: A comprehensive review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 131(C).
    6. Niesten, Eva & Alkemade, Floortje, 2016. "How is value created and captured in smart grids? A review of the literature and an analysis of pilot projects," Renewable and Sustainable Energy Reviews, Elsevier, vol. 53(C), pages 629-638.
    7. Englberger, Stefan & Abo Gamra, Kareem & Tepe, Benedikt & Schreiber, Michael & Jossen, Andreas & Hesse, Holger, 2021. "Electric vehicle multi-use: Optimizing multiple value streams using mobile storage systems in a vehicle-to-grid context," Applied Energy, Elsevier, vol. 304(C).
    8. Noori, Mehdi & Zhao, Yang & Onat, Nuri C. & Gardner, Stephanie & Tatari, Omer, 2016. "Light-duty electric vehicles to improve the integrity of the electricity grid through Vehicle-to-Grid technology: Analysis of regional net revenue and emissions savings," Applied Energy, Elsevier, vol. 168(C), pages 146-158.
    9. Jochem, Patrick & Kaschub, Thomas & Fichtner, Wolf, 2013. "How to integrate electric vehicles in the future energy system?," Working Paper Series in Production and Energy 3, Karlsruhe Institute of Technology (KIT), Institute for Industrial Production (IIP).
    10. Zhao, Yang & Tatari, Omer, 2015. "A hybrid life cycle assessment of the vehicle-to-grid application in light duty commercial fleet," Energy, Elsevier, vol. 93(P2), pages 1277-1286.
    11. Shirazi, Yosef & Carr, Edward & Knapp, Lauren, 2015. "A cost-benefit analysis of alternatively fueled buses with special considerations for V2G technology," Energy Policy, Elsevier, vol. 87(C), pages 591-603.
    12. Madzharov, D. & Delarue, E. & D'haeseleer, W., 2014. "Integrating electric vehicles as flexible load in unit commitment modeling," Energy, Elsevier, vol. 65(C), pages 285-294.
    13. Tolga Ercan & Mehdi Noori & Yang Zhao & Omer Tatari, 2016. "On the Front Lines of a Sustainable Transportation Fleet: Applications of Vehicle-to-Grid Technology for Transit and School Buses," Energies, MDPI, vol. 9(4), pages 1-22, March.

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    Keywords

    V2G; Fleet; Electric vehicle;
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