How does V2G Unit generate new revenues?
V2G Units---These units allow 2 ways movement of power hence the Vehicle to Grid term.The benefit of V2G allows you to use the vehicle battery as a power reservoir, charging at a low rate and consuming that energy when rates are expensive.
Vehicle to grid bidirectional EV charging takes V2H charging to the next level, allowing charge within the electric vehicle's batteries to be fed back to the grid.
As with V2H charging, the energy stored in the electric car's batteries is converted back to AC current by the chargepoint, but here the energy becomes available to the electricity grid, for use wherever it is needed.
By having large numbers of EVs connected simultaneously to EV chargers, fleet operators are ideally positioned to leverage bi-directional charging, or vehicle-to-grid (V2G), for new sources of revenue. As the term implies, V2G-enabled EVs paired with V2G-enabled EV chargers can both receive energy from and send energy to the grid.
V2G offers benefits all around. For utilities, it’s an effective way to balance the grid without making significant investments in infrastructure. Consumers and businesses not only benefit from a backup system to handle power outages, but also from potential revenue and/or savings created by offering up energy from their EVs to the utilities. This is especially true of fleets as they move forward in their electrification journey. In a recent study, it shows that an EV school bus can generate up to $16,000 annually from using V2G to supplement the grid. While there are many parameters at play that determine the economic feasibility of V2G, it shows that the monetary incentive is there, and that V2G is yet another driver towards fleet electrification.
This emerging technology uses EV batteries for distributed energy storage as well as power for transportation, allowing charging operators to participate in utility programs that reduce energy costs and generate net new revenue. These programs range from backup capacity to rate optimization to grid services that stabilize the grid by providing additional power for use by the utility during unexpected peak times.
Over the next few years, we will see industry standards for V2G extend from the EV charging industry to encompass utilities and charger manufacturers as well. At the same time, more EV charger manufacturers will bring V2G-capable equipment to market, helping to lower costs. And although utility rate structures and V2G compensation levels are uncertain, utilities are interested and are providing incentives to help EV fleet operators build out charging infrastructure.
V2G can generate new revenues for fleets by returning energy to the grid.
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