Smart Energy Management System– Creating Equilibrium Between EV Charging and the Grid
Ensuring a balance between the power requirements for vehicle charging and the grid is a major challenge for EV charging companies – charge point operators (CPO), eMobility service providers (EMSP), electric vehicle service providers (EVSP), utilities, etc.
Studies demonstrate that the most critical hours demanding smart charging management are generally early evening. Energy Systems Catapult of the UK did a three-year study of electric vehicle charging behavior and discovered that consumers typically charge between 16:00-19:00 – exactly during peak energy hours.
Similarly, the study Simulation of Future Electric Vehicle Charging Behavior—Effects of Transition from PHEV to FEV discovered that EVs charge mainly in the evening, causing higher energy demand. Their conclusion: “Supporting this type of behavior requires investment in smart energy management. Electric vehicle charging services need to ensure the safe delivery of power to electric vehicles without compromising on delivering electricity to offices and homes.”
The U.S. National Renewable Energy Laboratory did a study on behalf of the Colorado Public Utilities Commission to explore EV charging implications for utility companies’ rates. From the energy infrastructure perspective, the conclusions were the same: loads needed to be balanced during the nighttime hours to maintain system stability. If too many EVs were to charge during those hours, that, too, would lead to peak loads.
McKinsey Research believes that unmanaged, substation peak-load increases from EV-charging power demand will eventually push local transformers beyond their capacity, requiring expensive infrastructure upgrades. Local grids may have limited capacities when supporting the additional energy required for EV charging on top of the existing load.
Conclusions are easy to draw.
The overall amount of energy generated by utility companies is finite. Increasing the infrastructure to generate additional power is very expensive – and then it’s underutilized during non-peak times, adversely affecting ROI.
Smart charging solutions balance energy requirements throughout the day and night, automatically reducing energy directed to EVs during peak demand to minimize impact on the grid. EV charging companies – CPOs, EMSPs, EVSPs, utilities, etc. – need to intelligently manage the energy to balance energy demand and response. In addition, they can import and direct energy for local storage when energy prices are lowest and can even enable them to reduce a company’s MIC— saving tens of thousands of Dollars/Euros annually.
The best solution is a smart energy management system that consists of advanced energy management algorithms and demand response (DR). It can perform near real-time load balancing for single chargers, sites with multiple chargers, sites with locally supplied energy from renewable sources and local storage, and complete campuses spanning multiple sites. It ensures that the right amount of energy is available from the right resource at the right time, taking into account drivers’ and sites’ requirements.
For more details about the key benefits of electric vehicle energy management system, please download our whitepaper.