IDEAS home Printed from https://ideas.repec.org/a/eee/juipol/v64y2020ics0957178720300370.html
   My bibliography  Save this article

A framework for electric vehicle power supply chain development

Author

Listed:
  • Lefeng, Shi
  • Shengnan, Lv
  • Chunxiu, Liu
  • Yue, Zhou
  • Cipcigan, Liana
  • Acker, Thomas L.

Abstract

One anticipated pathway in society's decarbonization is the electrification of the transportation sector. From a power system perspective, transitioning to electric vehicles (EVs) presages many impacts, both positive and negative. This study utilizes the theoretical framework of business model theory and a review of the existing literature to portray a rational development path for the electric vehicle power supply chain (EVPSC). Three phases of development were identified in which EVs transition from the present day's low utilization, to rapid development, to a mature technology dominating the transportation sector. Within these phases, the business content, business structure, and corresponding coordination modes were analyzed and discussed. The three phases of development are shown to dynamically interact, between development phases and the business models, providing insight into the content of the EVPSC. Such insight is necessary for developing coherent policies and institutional supports to foster efficient development of the EVPSC. This study provides a new perspective about EVPSC development, answers the core question on how to realize the coordinated development between EVs and the electric power system chain (EPSC) based on the model of EVPSC, and provides recommendations on the establishment of business models for the future EVPSC.

Suggested Citation

  • Lefeng, Shi & Shengnan, Lv & Chunxiu, Liu & Yue, Zhou & Cipcigan, Liana & Acker, Thomas L., 2020. "A framework for electric vehicle power supply chain development," Utilities Policy, Elsevier, vol. 64(C).
    • Handle: RePEc:eee:juipol:v:64:y:2020:i:c:s0957178720300370
    DOI: 10.1016/j.jup.2020.101042
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0957178720300370
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.jup.2020.101042?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. McPhail, Donald, 2014. "Evaluation of ground energy storage assisted electric vehicle DC fast charger for demand charge reduction and providing demand response," Renewable Energy, Elsevier, vol. 67(C), pages 103-108.
    2. Tan, Kang Miao & Ramachandaramurthy, Vigna K. & Yong, Jia Ying, 2016. "Integration of electric vehicles in smart grid: A review on vehicle to grid technologies and optimization techniques," Renewable and Sustainable Energy Reviews, Elsevier, vol. 53(C), pages 720-732.
    3. Jalali, Mehdi & Zare, Kazem & Seyedi, Heresh, 2017. "Strategic decision-making of distribution network operator with multi-microgrids considering demand response program," Energy, Elsevier, vol. 141(C), pages 1059-1071.
    4. Zhong, Jin & He, Lina & Li, Canbing & Cao, Yijia & Wang, Jianhui & Fang, Baling & Zeng, Long & Xiao, Guoxuan, 2014. "Coordinated control for large-scale EV charging facilities and energy storage devices participating in frequency regulation," Applied Energy, Elsevier, vol. 123(C), pages 253-262.
    5. Zhang, Bingying & Li, Qiqiang & Wang, Luhao & Feng, Wei, 2018. "Robust optimization for energy transactions in multi-microgrids under uncertainty," Applied Energy, Elsevier, vol. 217(C), pages 346-360.
    6. Javid, Roxana J. & Nejat, Ali, 2017. "A comprehensive model of regional electric vehicle adoption and penetration," Transport Policy, Elsevier, vol. 54(C), pages 30-42.
    7. Kavousi-Fard, Abdollah & Khodaei, Amin, 2016. "Efficient integration of plug-in electric vehicles via reconfigurable microgrids," Energy, Elsevier, vol. 111(C), pages 653-663.
    8. Lee Thomas & Yue Zhou & Chao Long & Jianzhong Wu & Nick Jenkins, 2019. "A general form of smart contract for decentralized energy systems management," Nature Energy, Nature, vol. 4(2), pages 140-149, February.
    9. Xu, Zhirong & Yang, Ping & Zheng, Chengli & Zhang, Yujia & Peng, Jiajun & Zeng, Zhiji, 2018. "Analysis on the organization and Development of multi-microgrids," Renewable and Sustainable Energy Reviews, Elsevier, vol. 81(P2), pages 2204-2216.
    10. Lucas, Alexandre & Alexandra Silva, Carla & Costa Neto, Rui, 2012. "Life cycle analysis of energy supply infrastructure for conventional and electric vehicles," Energy Policy, Elsevier, vol. 41(C), pages 537-547.
    11. Matteo Muratori, 2018. "Impact of uncoordinated plug-in electric vehicle charging on residential power demand," Nature Energy, Nature, vol. 3(3), pages 193-201, March.
    12. Zhou, Yue & Wu, Jianzhong & Long, Chao, 2018. "Evaluation of peer-to-peer energy sharing mechanisms based on a multiagent simulation framework," Applied Energy, Elsevier, vol. 222(C), pages 993-1022.
    13. Ahmad, Fiaz & Rasool, Akhtar & Ozsoy, Emre & Sekar, Raja & Sabanovic, Asif & Elitaş, Meltem, 2018. "Distribution system state estimation-A step towards smart grid," Renewable and Sustainable Energy Reviews, Elsevier, vol. 81(P2), pages 2659-2671.
    14. Raphael Amit & Christoph Zott, 2001. "Value creation in E‐business," Strategic Management Journal, Wiley Blackwell, vol. 22(6‐7), pages 493-520, June.
    15. B. Demil & X. Lecocq, 2010. "Business model evolution : in search of dynamic consistency," Post-Print hal-00572915, HAL.
    16. Frank M. Bass, 2004. "A New Product Growth for Model Consumer Durables," Management Science, INFORMS, vol. 50(12_supple), pages 1825-1832, December.
    17. Parsons, George R. & Hidrue, Michael K. & Kempton, Willett & Gardner, Meryl P., 2014. "Willingness to pay for vehicle-to-grid (V2G) electric vehicles and their contract terms," Energy Economics, Elsevier, vol. 42(C), pages 313-324.
    18. Kapustin, Nikita O. & Grushevenko, Dmitry A., 2020. "Long-term electric vehicles outlook and their potential impact on electric grid," Energy Policy, Elsevier, vol. 137(C).
    19. Henry Chesbrough & Richard S. Rosenbloom, 2002. "The role of the business model in capturing value from innovation: evidence from Xerox Corporation's technology spin-off companies," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 11(3), pages 529-555, June.
    20. Björn Nykvist & Måns Nilsson, 2015. "Rapidly falling costs of battery packs for electric vehicles," Nature Climate Change, Nature, vol. 5(4), pages 329-332, April.
    21. Bell, Keith & Gill, Simon, 2018. "Delivering a highly distributed electricity system: Technical, regulatory and policy challenges," Energy Policy, Elsevier, vol. 113(C), pages 765-777.
    22. Misaghian, M.S. & Saffari, M. & Kia, M. & Heidari, A. & Shafie-khah, M. & Catalão, J.P.S., 2018. "Tri-level optimization of industrial microgrids considering renewable energy sources, combined heat and power units, thermal and electrical storage systems," Energy, Elsevier, vol. 161(C), pages 396-411.
    23. van der Kam, Mart & van Sark, Wilfried, 2015. "Smart charging of electric vehicles with photovoltaic power and vehicle-to-grid technology in a microgrid; a case study," Applied Energy, Elsevier, vol. 152(C), pages 20-30.
    24. Pavić, Ivan & Capuder, Tomislav & Kuzle, Igor, 2016. "Low carbon technologies as providers of operational flexibility in future power systems," Applied Energy, Elsevier, vol. 168(C), pages 724-738.
    25. Gough, Rebecca & Dickerson, Charles & Rowley, Paul & Walsh, Chris, 2017. "Vehicle-to-grid feasibility: A techno-economic analysis of EV-based energy storage," Applied Energy, Elsevier, vol. 192(C), pages 12-23.
    26. Frank M. Bass, 2004. "Comments on "A New Product Growth for Model Consumer Durables The Bass Model"," Management Science, INFORMS, vol. 50(12_supple), pages 1833-1840, December.
    27. Tuballa, Maria Lorena & Abundo, Michael Lochinvar, 2016. "A review of the development of Smart Grid technologies," Renewable and Sustainable Energy Reviews, Elsevier, vol. 59(C), pages 710-725.
    28. Lefeng, Shi & Chunxiu, Liu & Jingrong, Dong & Cipcigan, Liana, 2020. "External benefits calculation of sharing electric vehicles in case of Chongqing China," Utilities Policy, Elsevier, vol. 64(C).
    29. Prebeg, Pero & Gasparovic, Goran & Krajacic, Goran & Duic, Neven, 2016. "Long-term energy planning of Croatian power system using multi-objective optimization with focus on renewable energy and integration of electric vehicles," Applied Energy, Elsevier, vol. 184(C), pages 1493-1507.
    30. Troy R. Hawkins & Bhawna Singh & Guillaume Majeau‐Bettez & Anders Hammer Strømman, 2013. "Comparative Environmental Life Cycle Assessment of Conventional and Electric Vehicles," Journal of Industrial Ecology, Yale University, vol. 17(1), pages 53-64, February.
    31. Helveston, John P. & Wang, Yanmin & Karplus, Valerie J. & Fuchs, Erica R.H., 2019. "Institutional complementarities: The origins of experimentation in China’s plug-in electric vehicle industry," Research Policy, Elsevier, vol. 48(1), pages 206-222.
    32. Geske, Joachim & Schumann, Diana, 2018. "Willing to participate in vehicle-to-grid (V2G)? Why not!," Energy Policy, Elsevier, vol. 120(C), pages 392-401.
    33. Lefeng, Shi & Qian, Zhang & Yongjian, Pu, 2013. "The reserve trading model considering V2G Reverse," Energy, Elsevier, vol. 59(C), pages 50-55.
    34. Namdeo, A. & Tiwary, A. & Dziurla, R., 2014. "Spatial planning of public charging points using multi-dimensional analysis of early adopters of electric vehicles for a city region," Technological Forecasting and Social Change, Elsevier, vol. 89(C), pages 188-200.
    35. Fan, Zhi-Ping & Che, Yu-Jie & Chen, Zhen-Yu, 2017. "Product sales forecasting using online reviews and historical sales data: A method combining the Bass model and sentiment analysis," Journal of Business Research, Elsevier, vol. 74(C), pages 90-100.
    36. Elena Vidal & Will Mitchell, 2018. "Virtuous or vicious cycles? The role of divestitures as a complementary Penrose effect within resource‐based theory," Strategic Management Journal, Wiley Blackwell, vol. 39(1), pages 131-154, January.
    37. Després, Jacques & Mima, Silvana & Kitous, Alban & Criqui, Patrick & Hadjsaid, Nouredine & Noirot, Isabelle, 2017. "Storage as a flexibility option in power systems with high shares of variable renewable energy sources: a POLES-based analysis," Energy Economics, Elsevier, vol. 64(C), pages 638-650.
    38. Morrissey, Patrick & Weldon, Peter & O’Mahony, Margaret, 2016. "Future standard and fast charging infrastructure planning: An analysis of electric vehicle charging behaviour," Energy Policy, Elsevier, vol. 89(C), pages 257-270.
    39. Christoph Zott & Raphael Amit, 2007. "Business Model Design and the Performance of Entrepreneurial Firms," Organization Science, INFORMS, vol. 18(2), pages 181-199, April.
    40. Kahn Matthew E & Vaughn Ryan K., 2009. "Green Market Geography: The Spatial Clustering of Hybrid Vehicles and LEED Registered Buildings," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 9(2), pages 1-24, March.
    41. Zhang, Chenghua & Wu, Jianzhong & Zhou, Yue & Cheng, Meng & Long, Chao, 2018. "Peer-to-Peer energy trading in a Microgrid," Applied Energy, Elsevier, vol. 220(C), pages 1-12.
    42. Liu, Jian, 2012. "Electric vehicle charging infrastructure assignment and power grid impacts assessment in Beijing," Energy Policy, Elsevier, vol. 51(C), pages 544-557.
    43. Salah, Florian & Ilg, Jens P. & Flath, Christoph M. & Basse, Hauke & Dinther, Clemens van, 2015. "Impact of electric vehicles on distribution substations: A Swiss case study," Applied Energy, Elsevier, vol. 137(C), pages 88-96.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Cinzia Battistella & Gianluca Murgia & Fabio Nonino, 2021. "Free-driven web-based business models," Electronic Commerce Research, Springer, vol. 21(2), pages 445-486, June.
    2. Iheanachor, Nkemdilim & David-West, Yinka & Umukoro, Immanuel Ovemeso, 2021. "Business model innovation at the bottom of the pyramid – A case of mobile money agents," Journal of Business Research, Elsevier, vol. 127(C), pages 96-107.
    3. Marlena Ciechan-Kujawa & Michal Buszko, 2020. "The Susceptibility of the Business Model to Changes - Empirical Analysis of Internal Determinants of Variability," European Research Studies Journal, European Research Studies Journal, vol. 0(4), pages 739-757.
    4. Daniela Andreini & Cristina Bettinelli & Nicolai J. Foss & Marco Mismetti, 2022. "Business model innovation: a review of the process-based literature," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 26(4), pages 1089-1121, December.
    5. Tan, Kang Miao & Ramachandaramurthy, Vigna K. & Yong, Jia Ying, 2016. "Optimal vehicle to grid planning and scheduling using double layer multi-objective algorithm," Energy, Elsevier, vol. 112(C), pages 1060-1073.
    6. Dileep, G., 2020. "A survey on smart grid technologies and applications," Renewable Energy, Elsevier, vol. 146(C), pages 2589-2625.
    7. Arash Rezazadeh & Ana Carvalho, 2018. "A value-based approach to business model innovation: Defining the elements of the concept," NIPE Working Papers 12/2018, NIPE - Universidade do Minho.
    8. M. Moore, 2021. "Collaboration in Coworking Spaces: Impact on Firm Innovativeness and Business Models," Papers 2111.09866, arXiv.org.
    9. Daliborka Witschel & Aaron Döhla & Maximilian Kaiser & Kai-Ingo Voigt & Thilo Pfletschinger, 2019. "Riding on the wave of digitization: insights how and under what settings dynamic capabilities facilitate digital-driven business model change," Journal of Business Economics, Springer, vol. 89(8), pages 1023-1095, December.
    10. Belussi, Fiorenza & Orsi, Luigi & Savarese, Maria, 2019. "Mapping Business Model Research: A Document Bibliometric Analysis," Scandinavian Journal of Management, Elsevier, vol. 35(3).
    11. Sarel Gronum & John Steen & Martie-Louise Verreynne, 2016. "Business model design and innovation: Unlocking the performance benefits of innovation," Australian Journal of Management, Australian School of Business, vol. 41(3), pages 585-605, August.
    12. Marko Peric & Jelena Durkin & Vanja Vitezic, 2017. "The Constructs of a Business Model Redefined: A Half-Century Journey," SAGE Open, , vol. 7(3), pages 21582440177, September.
    13. Yuan Jing, 2022. "The Relationship Between Business Model Innovation and Operational Performance of Incubator Enterprise," International Journal of Science and Business, IJSAB International, vol. 16(1), pages 153-191.
    14. Sarah Cheah & Yuen-Ping Ho, 2019. "Coworking and Sustainable Business Model Innovation in Young Firms," Sustainability, MDPI, vol. 11(10), pages 1-18, May.
    15. Wu, Wei & Lin, Boqiang, 2021. "Benefits of electric vehicles integrating into power grid," Energy, Elsevier, vol. 224(C).
    16. Brock, Kati & den Ouden, Elke & van der Klauw, Kees & Podoynitsyna, Ksenia & Langerak, Fred, 2019. "Light the way for smart cities: Lessons from Philips Lighting," Technological Forecasting and Social Change, Elsevier, vol. 142(C), pages 194-209.
    17. Mahmud, Khizir & Town, Graham E. & Morsalin, Sayidul & Hossain, M.J., 2018. "Integration of electric vehicles and management in the internet of energy," Renewable and Sustainable Energy Reviews, Elsevier, vol. 82(P3), pages 4179-4203.
    18. Fredrich, Viktor & Bouncken, Ricarda B. & Tiberius, Victor, 2022. "Dyadic business model convergence or divergence in alliances? – A configurational approach," Journal of Business Research, Elsevier, vol. 153(C), pages 300-308.
    19. Gschwendtner, Christine & Sinsel, Simon R. & Stephan, Annegret, 2021. "Vehicle-to-X (V2X) implementation: An overview of predominate trial configurations and technical, social and regulatory challenges," Renewable and Sustainable Energy Reviews, Elsevier, vol. 145(C).
    20. Run Wang & Abdella Kosa Chebo, 2021. "The Dynamics of Business Model Innovation for Technology Entrepreneurship: A Systematic Review and Future Avenue," SAGE Open, , vol. 11(3), pages 21582440211, July.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:juipol:v:64:y:2020:i:c:s0957178720300370. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: https://www.sciencedirect.com/journal/utilities-policy .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.