VEHICLE TO GRID (V2G) INTRODUCTION, OPERATION,

BENEFITS AND CHALLENGES WITH IMPLEMENTATION

IN A SMART GRID ENVIRONMENT

SUMMARY:

The main aim of the thesis is to provide a general overview Vehicle to grid(V2G) and
Vehicle to Home(V2H) operations, opportunities and barriers with implementation in a
Smart Grid Environment.

The application of thesis is wide and it is worth mentioning that V2G/V2H operations
provides opportunities for the Energy as well as the Automotive sector. Furthermore
the Electric vehicle owners who participate in Demand side Management become
active and play a significant role in the Energy Markets

The first chapter provides a brief introduction on the vehicle technologies and the
factors which favor the growth of the electric vehicles, the major factors that contribute
for the growth are environmental concerns, Governmental Regulations, Technological
Improvements and decreasing costs of EV, The Electric vehicle Initiative and also the
CO2 Emission reduction potential of Electric vehicles when compared to a Internal
combustion Engine Vehicle have also been discussed in detail.

The Second chapter deals with the Major Components, Working Principle and the
Major classifications of the Electric vehicle. The Major Emphasis is provided to the
Batteries used in the Electric vehicle. It is worthy enough to mention that the success
of the Vehicle is highly dependent upon the batteries used. The EU Green Car
Initiative and the Sate of the Art Electric Vehicles has also been discussed.

The third chapter begins with the Introduction and Need for Smart Grids. The History
and Motivation towards Vehicle to Grid operation has been discussed. The Impacts,
Benefits in the V2G operation has been discussed in detail and the case studies of
V2G operation with Renewable Energy Sources has also been mentioned.

The fourth chapter deals with the issues and Barriers in V2G implementation .The
issues has been broadly classified into the following categories (i)Technical, (ii)
Governmental, (iii) Information and Communication technologies, and(iv) Customer
Side issues
 CHAPTER 1: VEHICLE TECHNOLOGIES AND FACTORS
INFLUENCING THE GROWTH OF ELECTRIC VEHICLES

1.1: INTRODUCTION TO VEHICLE TECHNOLOGIES:

In the First years of the automotive industry there were three vehicle technologies
competing with each other in the market. Internal Combustion (ICE) vehicles, Steam
cars and Electric vehicles (EV). All of them had their advantages and setbacks and
it was quite obvious that the technology that would become dominant was the one
which would be able to solve the problems faster.

The major drawback of the ICE vehicles were the noise they produced, and engine
starting troubles, the short driving ranges and the low maximum speed

The steam cars consumed immense amount of waters and they required at least
twenty minutes of heating up before travel.

The Batteries in the Electrical vehicles showed poor performance and had shorting
driving ranges.

Due to the environmental demands, and the depleting fossil-fuel for several
economic and environmental reasons the EV industry is emerging as the front runner
and will have a note worthy impact in the automotive sector.

The global warming problem is one of the environmental reasons leveraging the
Large scale adoption of EV. Increasing trend and high volatility of the fossil fuel
prices are inviting policy makers to seek for measures to reduce the energy sources
consumption and consequently to decrease the emissions of Green house gas
(GHG) emissions to the atmosphere. In urban areas the large scale adoption of EV’s
can provide a significant improvement in air quality .[1]

1.2: EU POLICY AND REGULATORY FRAMEWORK

The EU policy and regulatory framework in the sectors of energy, transport and ICT
supports the development of sectoral solutions, i.e. solutions with a limited degree of
integration. The key areas of focus are (i) Nearly zero or low Energy Districts, (ii)
Information and Communication Technologies.(iii) Sustained Urban Mobility

The Scope of the Proposal is to identify, develop and deploy replicable, balanced and
integrated solutions in the energy, transport, and ICT actions through partnerships
between municipalities, citizens and industries. The key objective is to significantly
increase the overall energy efficiency of cities, to exploit better the local resource both
in terms of energy supply as well as through the demand side measures. This will
imply the use of energy efficiency measures optimizing at the level of districts, the use
of renewable energy sources , the sustainability of urban transport and the needed
drastic reduction of greenhouse gas emissions in urban areas within economically
acceptable conditions and ensuring the citizens better life conditions: lower energy
bills, swifter transport, job creation and as a consequence a higher degree of resilience
to climate impacts (e.g. urban heat islands effects) etc.[2]
 1.3 : FACTORS FAVOURING THE GROWTH OF ELECTRIC
VEHICLES

1.3.1: Energy use and CO2 Emissions in the Transport Sector:

In 2009, transportation accounted for approximately one-fifth of the global primary
energy use and twenty five percentage (one quarter) of all energy-related carbon
dioxide(CO2) emissions, with nearly half of those emissions originating from the
passenger vehicles In the baseline scenario of the International Energy Agency’s
(IEA) Energy Technology Perspectives 2012, which assumes no major energy and
climate policies are introduced, it is expected that vehicle stocks and fuel consumption
will rise steadily, more than doubling by 2050 . This scenario would increase CO2
emissions and lead to higher oil demand, driving oil prices upward unless new supplies
are brought to market or alternative fuels become available.

1.3.2: RISING OIL DEMAND IN THE TRANSPORTSECTOR:

Growth in transport puts the pressure on oil demand . An important driver of the
increased oil demand is the car travel and the increasing car sales in the market. The
passenger vehicle fleet doubles to 1.7 billion in 2035, most cars are sold in China and
India and outside OECD by 2020, Furthermore more than 50% of global oil demand
today is concentrated in the transport sector and most of it in the road transport
sector.[3]
 FIGURE 1.1: GROWTH OF OIL USE IN DIFFERENT SECTORS

MB/D Millions of Barrels per day

SOURCE: http://image.slidesharecdn.com/131112weo2013presentation-131112041959-
phpapp01/95/world-energy-outlook-2013-6-638.jpg?cb=1384276131
 FIGURE 1.2: INCREASE IN OIL DEMAND DUE TO HIGH CAR
OWNERSHIP

SOURCE: http://www.iea.org/media/freepublications/technologyroadmaps/EV_pic1-
600x234.png

1.4: DECREASING COSTS AND TECHNOLOGICAL ADVANCEMENTS

IN EV
In accordance with the present prices of electricity and gasoline in a 10-years period
of future Operating and Maintenance time, the total costs of the diesel IC car(present
cost €35 000) will be higher than the total cost of an EV(present costs €75 000) . The
projected costs after 10 years are estimated to be (€45 800) for the diesel IC car and
for the EV((€29 312).[4]

Significant improvements are attained in the battery technology in which the storage
capacity of the batteries were increased by 35 percentage and the battery lifetime
was increased by 300 percentage ,and their driving range by 230 percentage
respectively.[5]
Currently the cost of li -ion battery is 1000$/Kwh and is expected to decrease by
500$/kwh with the increase in cell production volume and improvement in
manufacturing technology by 2020.[6]

1.5: MARKET FACTORS FAVOURING THE GROWTH OF EV

1.5.1: Automotive Manufacturers Perspective:

1. Increased regulation to reduce CO2 emissions

2. Increased fuel efficiency standards

3. Decreased reliance on foreign oil supplies thereby promoting Energy security

4. Improved Technological Advancements and decreasing costs in Electric vehicle

Components

1.5.2: Consumer perspective:

1. Increasing consumer concern with regards to the Environmental issues

2. Consumer Adoption increased by the Government subsidies

3. Increased Urbanization and last mile transport needs

4. Consumer interest towards alternate fuels and power trains. [7]

1.6: CHALLENGES FOR THE EU TRANSPORT SECTOR

1. Demand for the transport will grow (Freight Transport alone is expected to
increase by 80% in 2050)
2. The trend of urbanization will continue
3. The EU transport sector particularly road transport will continue to depend on
oil as a fuel source, Given the volatile nature of the oil markets and the
escalating oil prices reliable fuel alternatives has to be found to tackle the oil
demand .[8]

1.6.1: POSSIBLE SOLUTIONS TO THE CHALLENGES:

1. Road transport is one of the major solutions where innovative technologies
can help drivers to reduce the increasing oil demand [9]

2. Hybrid Electric Vehicles can improve the nationwide air quality and reduce
petroleum consumption by 3 million to 4 million barrels per day in 2050. [10]
 3. If PHEV replaces almost one half of the vehicles by 2050 only 8% increase in
electricity generation i.e. 4 percentage increase in the existing capacity will be
required. [11]

1.7: CO2 REDUCTION COMMITMENTS OF THE EU

Figure 1.3 : CO2 Emissions Reduction Estimation Scenario

(2010-2050)

SOURCE
http://www.iea.org/media/freepublications/technologyroadmaps/EV_pic1-
600x234.png

The EU has committed to reduce the green house gas emissions at least by 80% by
2050. The transport sector contributes 25 percent of the EU’s green house gas
emissions which will require the rapid introduction of EV’s and PHEV’S in the
market.[12]

1.8: CO2 EMISSION REDUCTION ABILITY OF ELECTRIC VEHICLES

The Electric vehicles can significantly reduce the amount of CO2emissions when
compared to the Internal Combustion vehicles:
 1.8.1: REDUCTION POTENTIAL PER-KILOMETER BASIS

The Electric vehicles represent one of the most promising technology pathways for
cutting oil use and CO2 on a per-kilometer basis. With a moderately clean electric
grid, EV’s can achieve 50 grams of CO2 per kilometer which is very well below
today’s most efficient cars, which emit between 100 and 150 grams of CO2 per
kilometer.[13]

1.8.2: LIFE CYCLE ANALYSIS TEST (EV VS ICE)

Life cycle Analysis test was conducted in Portugal 2009 with the following

Assumptions :

1. Mid size ICV vehicle covers a average distance of 1500km per year

2. Electric vehicle equipped with lithium ion battery and driving range of 160 km

The result of the Life cycle Analysis test are shown in the below table:

TABLE 1.1: LIFE CYCLE ANALYSIS TEST OF ICE AND EV

Specific ICE EV VARIATION

Emissions
(g CO2/Km)
LOCAL 128.7 0 -100
LCA 214.4 164.8 -23.1

 The above table clearly shows that EV reduce the CO2 Emissions by at least
23 percentage when compared to the Internal Combustion Vehicles[14]

 .Moreover the Wide spread adoption of PHEV’s can reduce the GHG
emissions from vehicles by more than 450million metric tons annually in 2050
which is equivalent to removing 82.5 million passenger cars from the road.
[15]
 1.9: ELECTRIC VEHICLE SALES TARGETS:

Figure 1.4 : FUTURE EXPECTED SALES TARGET OF EV

http://image.slidesharecdn.com/etp2012slidedeck-130125040830-
phpapp01/95/energy-technology-perspectives-2012-24-638.jpg?cb=1359993640

The cumulative national targets for EV and PHEV sales announced by EVI (Electric
vehicle initiative)member governments add up to almost six million by 2020, with
assumed growth rates of 20 percent per year.
 1.10: IMPROVE SCENARIO

The IEA has developed an “Improve” scenario to reduce CO2 emissions and oil
dependence by introducing low emission vehicles, such as plug-in hybrid electric
vehicles (PHEVs), battery electric vehicles (BEVs), and fuel cell vehicles (FCVs). In
this scenario, 27 million PHEVs and BEVs are expected to be sold by 2020 and
over one billion by 2050, so as to reduce CO2 emissions by 10 Giga tons by 2050,
along with strong fuel-economy improvements of conventional internal combustion
engine [16]

Chapter 2: EV ARCHITECTURE , BATTERIES AND ELECTRIC

VEHICLES IN THE MARKET

2.1: WORKING PRINCIPLE OF THE ELECTRIC

VEHICLE:

The Electric Vehicle has three major components

The Electric vehicle has three major components

1. Energy storage unit
2. Control unit
3. Propulsion unit

Energy Storage unit is the one that stores power e.g.: Ultra capacitors, Batteries,
Hydrogen fuel cell electric vehicles which convert hydrogen into electricity and water.

The battery is the main energy storage unit. In PHEV the battery charger is to
convert the electricity from the mains to the charge the battery. The battery voltage is
dc and it is converted into switch mode signal through an inverter to drive the electric
motor.

The stored power from the energy storage unit goes to the controller. The controller
acts as a pipeline or a gateway to the electric motor which propels the electric car.

The Major Functions of the Control Unit are as Follows:

1. It modulates the power
2. It decides how much power must be used
3. It acts as a converter, converts power from DC to AC.

The AC power drives the electric motor which converts the electrical power input to a
mechanical power output or other forms of physical work.

This is the major working schematic or principle unit of Electric Vehicle (EV),
however the configurations of the devices might change eg: Configuration and the
number of motors which are used.
A typical electric vehicle has 2 motors. One motor for the Power and the other for
Energy .

Power is the ability of the electric motor to accelerate or propel the vehicle and also
to attain a top speed.

Energy is the ability of the electric motor to make the vehicle to travel to long
distances for eg: 200, 300 miles

FIGURE 2.1: MAJOR COMPONENTS OF AN EV

http://www.garfieldcleanenergy.org/images-content/transportation/electric-
car-diagram400.jpg
 2.1: MAJOR CLASSIFICATIONS OF THE ELECTRIC
VEHICLE

HYBRID ELECTRIC VEHICLES:

It has been used extensively in the last decade. In hybrid vehicles the electric power
is obtained from the engine. The HEV is categorized into two parts: Series Hybrid
and Parallel Hybrid

SERIES HYBRID:

The Engine power of the series hybrid is connected totally to the battery. All the
motor power is derived from the battery.

PARALLEL HYBRID:

For Parallel hybrid both the engine and motor contribute to power. The motor can
also be used as a generator to absorb the power from the engine through
Transmission. In parallel hybrid both the motor and the engine contribute to the
propulsion power. However the Hybrid Electric Vehicle still has emissions.

PLUG-IN HYBRID ELECTRIC VEHICLE:

The problem of emissions is overcome by the introduction of Plug-in Hybrid

Vehicles (PHEV). It accepts electric power to the battery through plug in from the
mains. Therefore when convenient the users may charge the battery using AC
voltage delivered from the mains. [17]

FUEL CELL ELECTRIC VEHICLE:

In fuel cells chemical energy content of the fuel is directly converted into electricity.
As long as the fuel is supplied to one electrode of the fuel cell voltage is produced
between the electrodes.

When the fuel cells are used as the primary power source in a hybrid vehicle,
batteries provide secondary power. Fuel cells do not provide immediate power
output during a start of the electric vehicle, a battery pack supplies the power for
initial start up and vehicle movement for a time period of up to five minutes[18]
 2.2: BATTERIES AND ENERGY STORAGE

Batteries are the main component in an Electric vehicle. In fact the success of the
Electric Vehicle highly depends on the type of the battery used. Through Proper
Charging and Discharging the batteries in the electric vehicles can be used as active
and dynamic storage systems, possibly to be used as a “ Control Tool” in balancing
the grid.[19]

Other applications include increased integration of Renewable Energy Sources in the

grid. [20]

By proper charging and discharging the PHEV can act as a dispatch able energy
storage system balancing the demand and supply of the energy. [21]

2.3: STATE OF THE ART EV BATTERIES

Lithium Batteries:

Lithium batteries offer high energy densities when compared to all other non toxic
rechargeable batteries. The realistic road test ofLiFePO4 (Lithium Ion Phosphate)
showed that the battery voltage stayed within limits and the battery is capable of
providing the current needed at all times.

The major drawback associated with the lithium batteries is their slow charging rate.
However research is looking for fast charging of batteries. Research work is going on
towards the development of a crystal structure which could charge 100 times faster
when compared to a conventional lithium battery.
Ultra capacitor:
In a capacitor there are no chemical components. Its charging and discharging
speeds are extremely fast. However, the energy storage capacity is limited. Its
energy storage capacity is 20% less when compared to a lead-acid battery.
Therefore Ultra capacitor is mainly used for fast speed or transient energy
storage. [22]

ZEBRA CELLS:

Zebra cells and flow batteries are being use both for conventional large-scale utility
power utility applications such as backup system, and for renewable such as large
photovoltaic fields and wind farms. Zebra cells appears to be more advantageous
when compared to li-ion batteries because of the lower price (costs roughly four
times lesser than li-ion batteries with similar characteristics).Zebra cells have
demonstrated 6hours to reach full charge in normal mode. In fast charge mode they
need only one hour to be completely charged.[23]

MOLTEN AIR BATTERIES

Molten salt storage is already commercially available for Concentrated Solar Power
(CSP) allowing solar power to be produced on demand and to backup variable
energy sources such as the wind and photovoltaic’s. The molten salt being non
volatile and non-flammable with high ion and energy densities is an excellent
electrolyte suitable for battery operations. The only major disadvantage of this
battery it requires high temperature operation. [24]

2.4: EU GREEN CAR INITIATIVE

EU-Funded researchers working in the WIDE-MOB project have developed a small
and highly efficient electric car for use in towns and cities. The car was developed in
association with a sister project P-MOB, which focused on electrical efficiency as a
part of the EU‟s Green Car Initiative.

Less than 3 meters long by 1.5 meters wide, the stylish three-seat prototype weighs
at less than 600 Kilograms without the batteries. Its four-wheel drive is uniquely
powered by two electric motors, each with its own lithium-ion battery. Fully charged,
the car has a range of up to 150 kilometers and on average the car can travel about
20 Kilometers and at a top speed of 120km/h.[25]
 2.5: ELECTRIC VEHICLES IN THE MARKET
Nissan leaf the 24Kwh lithium ion battery stores its energy to power the 80KW AC
Synchronous motor in 48 lithium-ion modules. Each module consists of four lithium
ion battery cells and provides enough power to generate 107Horse Power HP.
Nissan leaf vehicle has zero emissions. The 2013 Nissan leaf vehicle has a driving
range of 200 Km (120 miles) in the Drive mode and 175Km in the Eco mode.

Blue Car is a totally electric vehicle that comes equipped with solar panels on the
roof. The vehicle has comes equipped with solar panels on the roof. The vehicle has
a 50 kW electric motor that provides an acceleration of 0-100 km/h in about six
seconds and a top speed of 128 km/h. Solar panels on the roof of the vehicle provide
power to the vehicle systems. It is equipped with regenerative braking and lithium
metal polymer batteries, having a range of 250 km on a full charge.

Wind Jet is a hybrid vehicle with a large wind turbine of low power though, fitted on
the back side. When the vehicle moves the air flows through turbine blades, rotating
them. This rotation energy is then transformed into electricity and stored in the
internal rechargeable battery. Therefore, if the vehicle runs out of fuel, the energy
stored in a battery makes the vehicle continue to function. [26]

2.6: LITHIUM POLYMER BATTERIES IN A ELECTRIC VEHICLE

SHARING PROGRAM

In France, the Auto-lib electric car-sharing program began in December 2011. The
public-private partnership program currently includes 1 740 Bolloré Bluecars, which
use a 30-kWh lithium polymer battery and have a 250 km (160 mile) range. Each car
runs on a lithium metal polymer battery that weighs 300 kilograms can power the car
for 250 kilometers. The 220-volt ,16- ampere battery needs 10 hours for full charging
on average. The average Auto-lib trip lasts for 42 minutes. In the first year of its
operation, more than42000 people signed up for Auto-lib membership and completed
over 646 000 trips. The same trips when compared to a fossil-fuelled car would have
emitted more than 730 metric tons of CO2. [27]
 CHAPTER 3: SMART GRIDS AND ELECTRIC VEHICLES:
3.1: INTRODUCTION TO SMART GRIDS

Smart Grid is nothing but the concept of modernizing the Electric grid. The Smart
grid is “integrating the electrical and information technologies (Smart meters and
Sensors) in between any point of generation and consumption of electric power in
order to minimize environmental impacts, enhance markets, improve reliability and
service, reduce costs and also to improve energy efficiency”[28]

3.2: NEED FOR SMART GRIDS:

1. Aging and outdated power system infrastructure: Much of the existing

power system infrastructure dates back to the 1950s or even earlier and it is
reaching the end of the useful life.

2. High electricity demand causing high power system loading resulting in

overstressed equipment.

3. Reducing CO2 Emissions.

4. The changing mix of power generation from central power plants to large
number of small, decentralized (distributed) generation.

5. Usage of RES sources in the Conventional Power Grid

6. Additional and new consumption models (eg: Smart Plug-in Vehicles, Smart
homes)

7. There is a need for transparency in consumption and pricing of electricity to

the consumer.

8. Achieving the ever increasing energy demand to achieve fewer blackouts

and also to provide efficient, reliable and secure electricity to the
consumers. [29]
 3.3: SMART GRIDS AND ELECTRIC VEHICLE INTEGRATION

(V2G):

Definition:
G2V/V2G is the acronym for grid to vehicle/ vehicle to grid. A G2V/V2G vehicle is a
plugin capable battery electric vehicle equipped with a two-way charging system,
which can be controlled to allow power to flow in both directions to and from the
grid. [30]

3.3.1: MOTIVATION TOWARDS V2G

The concept of Vehicle to grid integration (V2G) was first introduced by Willet
Compton of the Delaware University. The initial goal of The V2G was to provide peak
power that is the electric vehicle owners charging their cars in low load with low
electric price and discharging the vehicles in peak load with higher prices so that the
vehicle owners can make significant amount of profit from the V2G project.

Statistics show that the passenger vehicles are parked idle for about 20 to 22 hours in
a day. The normal driving time of a passenger vehicle is about 2 to 4 hours per day.
During this time the battery in the passenger vehicles can acts a distributed mobile
storage unit of power system and the battery power can be fed back into the grid
when there is a deficit of power in the grid. With the development of electric vehicles,
V2G and its functions in smart grid attracts more attention.

PHEV could be used as a mobile generator delivering power from “ Vehicle to

Grid”(V2G). If a bidirectional discharging circuit is available feeding power from the
grid is also possible. Moreover, when the V2G power is retrieved from the batteries, a
PHEV could be also viewed as a grid storage application. [31]

One properly designed electric-drive vehicle can produce about 10 kW which is

equivalent to the average electricity consumption of 10households. The key to
realizing economic value from V2G are grid-integrated vehicle controls to dispatch
according to the power system needs. [32]
 3.4: VEHICLE TO POWER SUPPLY SYSTEM( V2H) FOR ELECTRIC
VEHCILES WITH HOME ENERGY MANAGEMENT SYSTEM(HEMS)

FIGURE 3.1: BASIC SCHEME OF V2H

http://denso-europe.com/wp-content/uploads/2012/07/newsrelease-photo-
24072012.jpg

The V2H system can quickly charge an EV with direct current from the Home Energy
Management System storage battery and can supply the electricity in the EV back to
the home and power grid through the co-ordination of Home Energy Management
Systems. In addition the system can efficiently distribute electricity including power
generated by residential Photo voltaic and Wind Energy Systems to the home and
grid through the co-ordination of the HEMS.

With 15 minutes of charging the EV can travel about 20 Kilometers (12.5 miles).
The Energy data Management System (EDMS) collect and analyze data on energy
use to support the achievement of effective energy usage for homes which
significantly reduces the Energy bills of the utilities. Moreover, during situations
such as natural disasters and calamities electricity stored in the EV can be used to
power homes thus protecting homes from severe outages

It is mandatory for electric power companies in Japan to buy renewable energy

such as solar and wind power generated by the households [33]
 3.5: REQUIREMENTS FOR IMPLEMENTATION OF
V2G/V2H
1. Power Connection for electrical energy flow from vehicle to the grid

2. Control or logical connection, needed for the grid operator to determine the
available capacity, request ancillary services or power from the vehicle and to
meter the result

3. Precision certified metering onboard the vehicle. [34]

3.6: INCENTIVES BY GOVERNMENT TO MOTIVATE END

USERS TOWARDS V2G
The European Commission (EC) announced a package of measures to create
alternative fuel stations throughout Europe measures to create alternative fuel
stations throughout Europe and proposed that each state should be required by
2020 to create a minimum of 10,000 charging stations for electric cars [35]

INCENTIVES:

1. United Kingdom: subsidies and tax incentives of up to $8000 USD

2. Italy: tax incentives of approximately. $5,000 USD
3. Ireland: tax incentives of approximately. $8,000 USD
4. Denmark: no registration tax and no road tax for PEVs
5. China: maximum subsidy of up to $10,000 USD

6. California: 250- 300 dollar discount and preferential loans to customers.

7. Barcelona: 1. Direct subsidies for purchase.

8. 2 .Changes in registration tax.
9. 3. Free parking in controlled parking lots.
5. Lower electricity tax.
6. Tax benefits up to 75 percent of vehicle registration tax

10. Finland: Lower Electricity Taxes for Low carbon Emission vehicles

11. New York: tax credit of up to $7,500 for PEV purchases

ENVIRONMENTAL OBJECTIVES:

1. Germany: Zero emission driving

2. California: Clean up Air pollution and Reduce Green house Gas emissions

3. China: Reduce Air pollution

4. Amsterdam: Renewable Energy city

5. Barcelona: Reduce Co2 Emissions, Noise Pollution, Reduce Oil dependency,

Improve Energy Security

6. New York : 30 percent reduction in CO2 fleet emissions by 2017

7. Sweden: fossil free independent country by 2030 [36]

3.7 EXPECTED IMPACT OF V2G:

Deployment of wide scale, innovative replicable and integrated solutions in the

energy, transport and ICT sector

Increase the energy efficiency of districts and of cities and foster the use of
renewable and their integration energy system and enable active participation of
customers

Increase mobility efficiency with lower emission of pollutants and CO2

Reduce the energy costs for e.g. Peak shaving reduces the price of electricity
during peak hours

Decarbonizes the energy system while making it more secure and stable.

Trigger large scale economic investments with the repayment of implementation

costs in acceptable time limits

Social Impacts:

Reduction of energy bills for all actors and especially for citizens and public
authorities

Increase quality of life by creating local jobs

Increase air quality. [37]

 3.8 : APPLICATIONS OF V2G/V2H

Short term Applications:

In short term, EV’s should be tapped for high value, time critical services such as
1. Regulation
2. Spinning Reserves
3. Providing Backup power during the Peak periods of Electricity

Peak power

Peak power is typically generated by power plants that can be switched on for short
periods.. V2G can provide peak power may be appropriate for this purpose , the
required duration for peaking units can be 3-5 hours per day..

Electric vehicles can afford to provide power in peak period while consume
power during the off peak period. This reduces the gap between the energy
demand and balance in the power systems. Secondary advantages of peak
shaving include reducing transmission congestion, line losses, delay
transmission investments and reduce stressed operation of a power system.

Spinning Reserves:

Spinning reserves refer to the additional generating capacity that can provide
power quickly to the grid operator generally within 10minutes upon the operators
request . If the spinning reserve is called, the generator is paid an additional
amount of money to energy that is actually delivered. The Electric vehicles
normally incur only short periods of generating power typically 2 to 3 hours per day

Frequency Regulation services

Regulation is used to regulate the frequency of the grid by matching generation to

load demand. Regulation must be under direct real-time control of the grid
operator, with the generating unit capable of receiving signals from the grid
operator’s computer and responding within a minute or less by increasing or
decreasing the output of the generator. The Electric vehicle is required to continue
running for shorter durations (typically few minutes). [38]
3.9:ECONOMIC AND SOCIAL VALUES OF V2G TO THE VEHICLE OWNER:

Bilateral contracts and Time varying Tariff Schemes between Retailers and
Utilities:

Vehicle owners charge their vehicles whenever parked at charging station.

Vehicle owner could have a contract with the retailer to operate PHEV batteries
when they are plugged in the charging station. Therefore, the retailer sends
signals to control charging and discharging of PHEVs to minimize its energy cost.

With the implementation of smart meter, retailers could offer different time- variant
tariff schemes to consumers and the customers can choose one of these tariffs

A. Time-variant tariff model

TOU pricing: In TOU pricing a day is divided to fixed number of periods. The
electricity price for each period is determined based on the production cost in
the same period.

B: REAL TIME PRICING(RTP): In RTP program, market settlements for energy

consumption are calculated based on hourly real time market prices. The
customers change their consumption based on real time or day-ahead market
prices. Consumers are provided with real time market prices and therefore they
are able to respond to the prices, effectively. [39]

Energy is stored in electric vehicles during the night- when the price is low- and
is withdrawn during peak-time – when the price is high, electric vehicles act like
pumped-storage units. So vehicle owners can gain revenue from the difference
of prices and compensate part of the initial investment [40]

Selling Small MW Blocks of energy to Third Parties:

The system operator or local utility may not wish to do business with hundreds or
thousands of vehicle owners. In this case, a third party could aggregate electric
vehicles into MW blocks to sell in bulk power and ancillary services markets.
Potential businesses to serve as aggregators include energy service companies,
cell-phone operators, telemetric service providers marketers, or possibly even
service-oriented local distribution companies .[41]
 3.10 : V2G PROJECT IMPLEMENTATION WITH RES

3.10.1: WIND ENERGY INTEGRATION WITH ELECTRIC

VEHICLE

In Denmark about 20 percent of the electricity consumption is by wind power . If

coordinated efficiently wind power production and electric vehicle charging could
contribute substantially to the vision of creating Renewable Energy Society . At
present the owners of the 5 million Electric vehicles pay approximately 700 million
euro for dirty gas and diesel emissions annually, and furthermore they emit a total
of
1million ton of CO2. If the vehicles were electric the expenses for charging with
Vindenergi Danmark’s wind power would be less than 150 million euro and they
have zero carbon emissions and each vehicle owner would save 1,100 euros
per year.

Moreover charged with the wind power the 5million vehicles could cover the
Danish grid stabilization market by three times. Trading of Electricity to other
Scandinavian and EU countries is possible from the Energy Companies view point.

Electricity consumers pay 200million euros a year for ancillary services. If the
Charging of Electric vehicles using Wind power initiative is accomplished the
electric vehicle owners could potentially save 100Euros per year on their
Electricity bill. Furthermore potential savings from “ Peak Shaving” and “ Valley
filling” could add more revenues to the owners.[42]

3.10.2: HOME ENERGY MANAGEMENT SYSTEMS AND SMART

HOUSES
Electric smart house with the introduction of fixed battery and EV in addition of
Photovoltaic, Heat pump and Solar collectors were used. Heat Pumps, EV ,
fixed battery are used as controllable loads . On calculating the cost, time-of-
day electricity rate system Tokyo electric power company(TEPCO) is used
fixed batteries are introduced in the houses under the electricity price system,
the cost in the houses would be more decreased because of using cheap
electricity price in the middle of the night.

Electric vehicles (EVs) which are coming up recently, can implement vehicle to
home (V2H) system which can make up or power consumption of the houses with
batteries of EVs and vehicle to grid (V2G) which can accommodate between power
system. The battery capacity of each EVs has about 16 to 26 KWh. Inverter of
approximately
3kW is required for charging the EVs for 7 to 8 hours during the night.
It was estimated that power flow from the smart house to the power system was on
par with the contract power for the whole period of 24 hours. PV output power is
utilized as selling it for general electric utility than it is utilized as supplying for own
power consumption Moreover, the energy consumption in smart house is very little
because EV discharge with its remaining capacity and supply its power the smart
house after 18:00 hours in the evening

Purchased power was increased during night-time, because electricity charge is

cheaper than day-time and sold power became large during day-time, because
fixed battery installed in the smart house was discharging in order to sell electricity
power to general utility. This selling price of Electricity during night by Smart houses
is 34 yen/kWh in Japan. The purchasing power of electricity during the day was 20
yen/KWh.[43]

CHAPTER 4: BARRIERS WITH V2G IMPLEMENTATION

4.1: TECHNICAL AND SOCIAL BARRIERS

1.Massive Introduction of PHEV can significantly reduce the CO2 emissions. On the
other side the integration of Renewable Energy Sources in the existing conventional
grid causes some technical constraints in the grid, especially issues Concerning
Power Quality.[54] At present there is no such system for Integrating EV and PHEV in
the conventional electric grids [44]

2. The most important barrier to the spread of electric propulsion from the point of
view of electric variables are voltage and current, frequency and connections to the
vehicle.

3.Two-way communication (“ Smart charging”) system between utility and PEV’s are
needed to be implemented to shift the charging of PEV”s completely to off-peak
periods .Without smart charging or controlling system the national electricity grids can
be an important show stopper for the introduction of EV”s

4.The major problem limiting the wider penetration of Distributed Energy sources
(DER) in the power systems is the lack of compatibility of different fault protection
systems and metering with different DER”s. [45]

5. Customer side distributed storage and plug-in vehicles are connected

at electrically- Remote locations within the Power Delivery network so
Proper Planning of the Power Delivery network is extremely essential[46]
6. PEV loads will not grow uniformly in the whole utility service area. Initial
penetrations will most likely to be clustered in certain areas so it ultimately causes a
Significant overload on the distribution feeders in the Service area[t]

7. Coupling of Load Control with the new usages (Plug-in Electric and Hybrid
Vehicles) or intermittent generation(RES, PHEV and Power grids) or intermittent
generation(Convergence of buildings, Renewable Energies, plug in EHV and Power
grids)

8.Traditional methods of load forecasting will not be possible due to uncertainty in

PEV penetration and temporal uncertainty in charging patterns and habits

9. Impact of Plug in electric hybrid and hybrid vehicles on the network, its various
forms of load and its interaction with the system(injection, consumption and storage)

10. Data processing and management of large amounts of information with respect to
the dynamic bi-directional communication “grid-smart meter”

11. Development and implementation of “ Simple” and cost- effective technologies in

the presence of distributed generation.

12. Observability of the network with few general and less accurate sensors or on the
basis of the smart meter while taking into account real-time constraints.

13. Tremendous investments will be needed to reinforce the grid and to introduce
charging facilities. [47]

14. .Public Charging posts if created to minimize the distance between consumer
side distributed storage and power delivery network will require appropriate sitting,
Sufficient area, Installation and maintenance. [48]

15. Understanding the interdependency between virtual (embedded intelligence) and

the physical(electrical) infrastructures

16. Appropriate sizing of the grid charging system and infrastructure needs to be
achieved. [49]

17. Technical feasibility of DSM needs to be evaluated. [50]

18. The size of the parking lot must be large enough to accommodate the number of
vehicles performing grid transactions.

19. Due to the frequent turnover of vehicles in a parking lot, scheduling issues arise
that make it difficult to determine the appropriate time for a given vehicle to buy or sell
power.

20. Intelligent scheduling of EV’s is essential to effectively use the available energy
stored in PHEV and EV and also to maximize the power and money transactions in
the electricity grids.

21. Grid compatibility is a major issue for charging infrastructures of EV’s in low
voltage networks. [51]
22. EV concepts featuring a complete revision of the electric and electronic
architecture to reduce complexity and the number of components and
interconnections, and thereby improving energy efficiency, functionality and
modularity.

4.1.1: BATTERY MANAGEMENT SYSTEMS

The limited driving range of electric vehicles is one of the biggest deployment
challenges for electro-mobility

A particularly important element that needs to be addressed is the battery

management system (BMS), which is fundamental for many aspects of electrified
vehicle performance, from energy efficiency (and therefore range) to safety, battery
life and reliability

BMS Research work focus on should focus on the flowing areas:

1. Novel BMS designs with improved thermal management, power density and
life time, safety and reliability needs to be developed
2. Improved modeling and simulation tools for BMS improvement needs to be
developed
3. Standardization of BMS components and interfaces needs to be achieved
4. Test methodologies and procedures to evaluate the functional safety, reliability
and lifetime of battery systems has to be developed. [52]

4.1.2: IMPACTS OF DISTRIBUTED GENERATION IN THE SMART

GRID:
1 . Impacts on Traditional direction of Energy Flow

2. Impacts on the Voltage Profile because of the Power Injections

3.Impacts on Energy Quality(Voltage Imbalances)

4. Impacts on Network Planning

5. Economic Impacts on the Energy Markets [58]

4.1.3: IMPACTS OF DISTRIBUTED GENERATION ON THE

TRANSMISSION SYSTEM
1. Congestion risk in Specific Areas

2. Intermittency of Renewable Energy Sources causes uncertainty in the system in

terms of the amount of power generated and the location of the injection

3. Appearance of unexpected flows of Reactive Energy in the Transmission System

4. Change of Operating margins(Consequence of the need for the system to follow-

up not only the load but also the intermittency of resources)[58]
 4.1.4: IMPACT OF VOLTAGE AND HARMONICS OF GRID
CONNECTED PV AND WIND SYSTEMS

1. Voltage unbalances between the phases

2. Disturbances of the Tariff Signals
3. The most Significant impact remains on the voltage profile
4. Injection of Harmonics in the grid if inverters do not have efficient filters[53]

4.2: POLITICAL BARRIERS

1. Investments in the smart grid charging system are extremely expensive .There is a
lack of interest in the government doubling the electrical transmission capacity or
capacity of generating units

2. The connection of PHEV’s to the electricity gird are subjected to different

connection rules depending on the electric distributor policy

3. The different national legislations regarding

Connection of storage systems

Demand side management needs to be sorted

4. Standardization of national legislations needs to be achieved

5. Conflicts of interests between DSO, TSO and customers needs to be sorted out

6. A standardized infrastructure solution is needed to facilitate the mass roll out of EV

and favor customer acceptance

7. Promoting the awareness of Energy usage to the consumers by the government

8.Customer willingness to participate in DSM needs to be evaluated. [54]

9.The Government must ensure that the market value of the regulation of power is
properly shared between customers and Power Plant owners.[55]
10. Load Control:

With Increasing connection of non-dispatch able sources and potentially controllable

loads such as PHEV , the balancing of the energy supply and operation of distribution
system has to be supervised.

The Government must ensure that Local energy or Balancing Markets coupled to the
higher level markets should emerge ; the price signals will play an important role in
the load control

The government must also ensure that it introduces a centralized marketplace. [56]

4.2.1: TARRIFF CHANGES FOR MANAGING CHARGE

•Initiate and complete rulemaking on qualifying EV standby and TOU tariffs

•Adopt state specific TOU rates for EV off peak charging through FERC(Federal
Energy Regulatory Commission) guidelines

•Establish guidelines for a reduced electric charging tariff and standard

regulatory oversight. [57]

4.3: IMPACTS ON ENERGY MARKETS

Expected Market developments i.e.(recharging strategies, pricing mechanisms) new

technologies in the industries needs to be developed in the Market to attract
consumers in V2G

U dispatch able nature of RES required new dedicated market regulations and
policies different from the methodologies currently employed in the electricity market,
Assuring- Non discriminatory treatment for all small and auto producers that want to
compete in the electricity market. The simulating market equilibrium solution for the
energy supply and demand by the EU. [58]

If the Battery is owned by the DSO they can influence the way they can control
charging of batteries

Identify market concepts for owning and operating batteries in electric and pug-in
vehicles

Influence on price models needs to be evaluated eg: The influence on peak loads,
base loads, total energy consumption etc..

Customer behavior on different price models needs to be evaluated. [59]

 4.4: ICT, CONTROL AND COMMUNICATION ISSUES

Vehicle-to-grid (V2G) is emerging as an attractive paradigm in smart grid, and

provides power and information services by periodically collecting power status of
battery vehicles (BVs). I

Information and communication technologies (ICT) significantly contribute to

enhancing the energy efficiency and thus the range of the vehicle by providing
accurate prediction of the range and offering personalized options and services to the
driver

Communication between Battery vehicle and smart grid may suffer from severe
vulnerability, security and privacy issues become noteworthy for V2G power
networks.[60]

Information transfer on energy of battery , Power level The need for more or less
charging power.

And at what level of information transfer is needed(Battery- charger- vehicle- - house

or charging place – LV grid or MV grid- Transmission grid- generation system)

Physical interaction and feedback concepts needs to be developed

Interactions between many different types of customers, providers, agents and bots.

Promoting the awareness of energy usage to the customers

Information technology for end consumers has not been developed to a great extent
in promoting interfaces for understanding and controlling energy usage. [61]

Combining the Internet with these crucial goals of Energy management and saving

Infrastructure for identification of the vehicle and identifying the measurements of

amount of energy and billing exchange and billing exchange with the electricity
provide/owner driver of the car . Authentication is necessary.

NO ICT solution available for recharging, billing and controlling bi-directional flows of
energy and ensuring the grid stability. [62]

ICT supports recharging that is coordinated with the local electric grid capabilities.
Such coordination must accommodate not only passenger EVs, but also meet the
requirements of electric buses, vans or trucks, which are expected to require high-
powered fast recharging. [63]

Cyber security problems in the deployment of smart meter

Integration of mobile loads in the residential areas will require intelligent network
interfaces that can communicate with each other and higher level control units

High volume of sensitive transaction data requires data security. [64]

4.5: CUSTOMER ISSUES

Lack of awareness in the public about the advantages of electric vehicles especially
in the field of efficient energy usage and the environmental benefits that it could offer.

One critical point is carrying less energy in the car and relying on recharging facilities
along the trips is the risk of running out of energy while driving

Recharging needs to be location independent to allow drivers to the charge the car
irrespective of the location

Smooth and secure identification of vehicle, vehicle owner and the actual charging of
socket

Automatic identification of vehicles must be possible. [65]

Insufficient Charging Spots will lead to range anxiety

Theft and vandalism of Public charge spots

Consumer anxiety on seamless payment availability & security of payments and

money transactions

Multiple Charge Service Operators leads to interoperability issues

Travel to different utility service territory leads to charge roaming challenge. [66]

The customers should be aware of the charge status of the EV batteries

Insufficient size of the parking lot lead to congestion and wastage of time for the
vehicles performing grid transactions

.Improper scheduling issues arise that make it difficult to determine the appropriate
time for a given vehicle to buy or sell power. Intelligent scheduling of EV’s is essential
to enable customers to participate in Demand Side Management. [67]

Electric car users need information about the availability of electrical energy and the
costs for the different alternatives that they can choose from at any given time. [68]
 4.5.1: Cash- Back principle

The market value of regulation of power that vehicle provides for the electricity
system is properly shared between the vehicle owner and Power Plant owners.

There are Split Incentive problems between EV owners and Electric Power
Companies. [69]

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By Bharath Sundararajan

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