Increasing renewable energy generation (REG) and electrification of the transportation sector are key environmentalefforts. Volatile REG creates electric power load peaks which result in expansion needs for the distribution grids. Ievaluate the potential to defer these expansion investments with controlled vehicle-to-grid (V2G) and grid-to-vehicle(G2V) charging. I show that G2V charging reduces expansion investments by more than 14% if PEV penetrationsexceed 10% and about 30% if penetrations are 40% and higher. V2G charging adds 10 percentage points to thisbenefit. This investment deferral is highly dependent on PV generation levels and ranges from 4% to 47% for G2Vand 7% to 63% for V2G at PEV penetrations of 10%. Overall, the benefits are highest at medium PV generationlevels, where the utilization of additional lines and transformers would be low.
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