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Flexibility at a Cost? Assessing the Willingness to Pay in Dynamic Pricing Schemes for E-Vehicle Charging in Germany

Author

Listed:
  • Fabianek, Paul

    (E.ON Energy Research Center, Future Energy Consumer Needs and Behavior (FCN))

  • Atasoy, Ayse Tugba

    (E.ON Energy Research Center, Future Energy Consumer Needs and Behavior (FCN))

  • Madlener, Reinhard

    (E.ON Energy Research Center, Future Energy Consumer Needs and Behavior (FCN))

Abstract

Congestion at charging stations during peak hours limits their optimal utilization hindering the adoption of e vehicles by restricting user mobility. This study examines how dynamic pricing schemes can incentivize users to modify their charging behavior and alleviate charging station congestion. Through a survey-based experiment, we quantified users’ willingness to pay across different pricing schemes with variations in time, location, and duration. Results demonstrate that average price reductions required for demand shifting were: 23.9% to change charging time (day to night), 24.1% to change location (by 1 km), and 29.7% to accept a prolongation of charging duration (by 100%). Responsiveness to dynamic pricing varied based on e-vehicle driving experience, mobility patterns, and socio-demographic characteristics. Our findings indicate that sufficient financial incentives can effectively reduce charging station congestion. We recommend policymakers to establish regulatory frameworks for dynamic pricing for electric vehicle charging and further investigate the effectiveness of various pricing schemes.

Suggested Citation

  • Fabianek, Paul & Atasoy, Ayse Tugba & Madlener, Reinhard, 2025. "Flexibility at a Cost? Assessing the Willingness to Pay in Dynamic Pricing Schemes for E-Vehicle Charging in Germany," FCN Working Papers 1/2025, E.ON Energy Research Center, Future Energy Consumer Needs and Behavior (FCN).
    • Handle: RePEc:ris:fcnwpa:2025_001
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    More about this item

    Keywords

    Dynamic Electricity Pricing; Demand Response; Charging Infrastructure; Flexible Charging; Consumer Preferences; Sustainable Mobility; Germany;
    All these keywords.

    JEL classification:

    • C99 - Mathematical and Quantitative Methods - - Design of Experiments - - - Other
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis

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