{"id":5691,"date":"2018-09-17T15:32:28","date_gmt":"2018-09-17T19:32:28","guid":{"rendered":"http:\/\/ncjolt.org\/?p=5691"},"modified":"2020-06-04T20:52:31","modified_gmt":"2020-06-04T20:52:31","slug":"can-grid-handle-mass-switch-electric-vehicles-californias-policy-plan-integrate-5-million-evs-2030","status":"publish","type":"post","link":"https:\/\/journals.law.unc.edu\/ncjolt\/blogs\/can-grid-handle-mass-switch-electric-vehicles-californias-policy-plan-integrate-5-million-evs-2030\/","title":{"rendered":"Can the grid handle a mass switch to Electric Vehicles? California\u2019s Policy Plan to Integrate 5 million EVs by 2030"},"content":{"rendered":"<p><span lang=\"EN\" style=\"background: white;margin: 0px;color: #292929;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">This past January, Governor Jerry Brown of California signed <\/span><u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #1155cc;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"><a href=\"https:\/\/www.gov.ca.gov\/2018\/01\/26\/governor-brown-takes-action-to-increase-zero-emission-vehicles-fund-new-climate-investments\/\">executive order<\/a><\/span><\/u> <span lang=\"EN\" style=\"background: white;margin: 0px;color: #333333;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">B-48-18 <\/span><span lang=\"EN\" style=\"background: white;margin: 0px;color: #292929;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">announcing a program to put 5 million Electric Vehicles (EVs) on the state\u2019s roads by 2030. This lofty goal will require several key developments in the electricity sector, including installation of distributed charging stations which will be <\/span><u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #1155cc;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"><a href=\"https:\/\/www.utilitydive.com\/news\/cec-california-ev-chargers-will-add-1-gw-of-peak-demand-by-2025\/519517\/\">funded by $2.5 billion <\/a><\/span><\/u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #292929;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">from the state\u2019s carbon cap &amp; trade program, as well as increasing the capacity of grid infrastructure to handle additional EV charging.<\/span><span lang=\"EN\" style=\"background: white;margin: 0px;color: #292929;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">\u00a0<\/span><br \/>\n<span lang=\"EN\" style=\"background: white;margin: 0px;color: #292929;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">On September 6, 2018, the California Energy Commission <\/span><u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #1155cc;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"><a href=\"http:\/\/www.energy.ca.gov\/transportation\/vehicle-grid-integration\/\">announced <\/a><\/span><\/u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #292929;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">that it will update its Vehicle-Grid Integration <\/span><u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #1155cc;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"><a href=\"https:\/\/www.caiso.com\/Documents\/Vehicle-GridIntegrationRoadmap.pdf\">(VGI) Roadmap<\/a><\/span><\/u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #292929;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"> to ensure it is on track to carry out the executive order. <\/span><span lang=\"EN\" style=\"background: white;margin: 0px;color: #212121;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">Passed by the California legislature in August of 2018, <\/span><u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #1155cc;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"><a href=\"https:\/\/leginfo.legislature.ca.gov\/faces\/billNavClient.xhtml?bill_id=201720180AB2127\">Assembly bill No. 2127<\/a><\/span><\/u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #212121;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"> mandates that the Energy <\/span><span lang=\"EN\" style=\"background: white;margin: 0px;color: #333333;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">Commission, along with the State Air Resources Board and the Public Utilities Commission, \u201cprepare a statewide assessment of the electric vehicle charging infrastructure needed\u201d to meet the goals set forth in Governor Brown\u2019s Executive Order, and to amend this assessment every two years.<\/span><br \/>\n<span lang=\"EN\" style=\"background: white;margin: 0px;color: #292929;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">Although the Governor\u2019s goals are optimistic, they are not necessarily unrealistic. In 2017 there were almost <\/span><u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #1155cc;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"><a href=\"https:\/\/arstechnica.com\/cars\/2018\/01\/2017-was-the-best-year-ever-for-electric-vehicle-sales-in-the-us\/\">200,000 EVs sold <\/a><\/span><\/u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #292929;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">in the US, with Tesla in the lead at<\/span><span lang=\"EN\" style=\"margin: 0px;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"> <u><a href=\"https:\/\/arstechnica.com\/cars\/2018\/01\/2017-was-the-best-year-ever-for-electric-vehicle-sales-in-the-us\/\">27,060 Model S\u2019s<\/a><\/u><span style=\"color: #000000\"> and over 21,000 Model X SUV\u2019s sold. This was a <\/span><u><a href=\"https:\/\/www.forbes.com\/sites\/energyinnovation\/2017\/09\/14\/the-future-of-electric-vehicles-in-the-u-s-part-1-65-75-new-light-duty-vehicle-sales-by-2050\/#1f72d82ae289\">45% increase in EV sales<\/a><\/u><span style=\"color: #000000\"> from the previous year, and a recent survey by AAA indicates that <\/span><u><a href=\"https:\/\/newsroom.aaa.com\/2018\/05\/1-in-5-us-drivers-want-electric-vehicle\/\">20% of Americans<\/a><\/u><span style=\"color: #000000\"> want their next car to be fully electric<\/span>. The meteoric rise of EV sales is expected to continue, with some experts suggesting they will account for over 30% of US light-duty vehicle sales <u><a href=\"https:\/\/www.forbes.com\/sites\/energyinnovation\/2017\/09\/14\/the-future-of-electric-vehicles-in-the-u-s-part-1-65-75-new-light-duty-vehicle-sales-by-2050\/#c16e4f8e2892\">by 2030<\/a><\/u>. While these projections bode well for greenhouse gas reductions, they also indicate increasing electricity needs: only <u><a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2018-08-02\/u-s-electric-vehicle-charging-market-to-grow-to-18-6-billion\">3.29 Mega-watt hours<\/a><\/u> were needed to charge EVs in 2017, whereas <u><a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2018-08-02\/u-s-electric-vehicle-charging-market-to-grow-to-18-6-billion\">78.74 <\/a><\/u>will likely be necessary by 2030.<\/span><span lang=\"EN\" style=\"background: white;margin: 0px;color: #212121;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"> \u00a0<\/span><\/p>\n<blockquote><p><span lang=\"EN\" style=\"background: white;margin: 0px;color: #212121;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"><b>\u201c<\/b><\/span><span lang=\"EN\" style=\"background: white;margin: 0px;color: #292929;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">While these projections bode well for greenhouse gas reductions, they also indicate increasing electricity needs: only <\/span><u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #1155cc;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"><a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2018-08-02\/u-s-electric-vehicle-charging-market-to-grow-to-18-6-billion\">3.29 Mega-watt hours<\/a><\/span><\/u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #292929;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"> were needed to charge EVs in 2017, whereas <\/span><u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #1155cc;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"><a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2018-08-02\/u-s-electric-vehicle-charging-market-to-grow-to-18-6-billion\">78.74 <\/a><\/span><\/u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #292929;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">will likely be necessary by 2030.\u201d<\/span><\/p><\/blockquote>\n<p><span lang=\"EN\" style=\"background: white;margin: 0px;color: #212121;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">Utilities must add capacity and make improvements to current power infrastructure, since adding one light-duty EV to a neighborhood block will be <\/span><u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #1155cc;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"><a href=\"https:\/\/www.fleetcarma.com\/impact-growing-electric-vehicle-adoption-electric-utility-grids\/\">roughly equivalent to adding<\/a><\/span><\/u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #212121;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"> a small house. This will include installing new transformers that can handle higher voltage, adding new generators, and potentially bringing new power plants online. However, some utilities are encouraging the use of EVs, so much so that agencies such as the Los Angeles Department of Water and Power are handing out <\/span><u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #1155cc;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"><a href=\"https:\/\/www.wired.com\/story\/electric-cars-impact-electric-grid\/\">hundreds of dollars in rebates <\/a><\/span><\/u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #212121;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">to EV owners that charge their vehicles late at night. This is because EV chargers have <\/span><u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #1155cc;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"><a href=\"https:\/\/www.utilitydive.com\/news\/how-california-utility-regulators-are-turning-electric-vehicles-into-grid-r\/430314\/\">timers that can be set to run overnight<\/a><\/span><\/u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #212121;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"> when power demands are very low, so power plants are still producing energy and making money while not adding demand to their peak load time. The ability to keep plants open at these lower rates saves utilities money in the long run. It will be important to ensure that EVs are equipped with timers and to update grid infrastructure, especially at the local level, so that the addition of EV charging does not overload the system or add to peak demand.<\/span><br \/>\n<span lang=\"EN\" style=\"background: white;margin: 0px;color: #212121;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">Some utilities are also exploring the use of EV batteries as a source of <\/span><u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #1155cc;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"><a href=\"https:\/\/www.utilitydive.com\/news\/how-california-utility-regulators-are-turning-electric-vehicles-into-grid-r\/430314\/\">distributed generation<\/a><\/span><\/u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #212121;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"> to make the grid more resilient overall. The large batteries that power EVs in place of internal combustion engines could act as <\/span><u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #1155cc;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"><a href=\"http:\/\/cpuc.ca.gov\/uploadedFiles\/CPUC_Public_Website\/Content\/Utilities_and_Industries\/Energy\/Energy_Programs\/Demand_Side_Management\/EE_and_Energy_Savings_Assist\/CPUCEnergyDivisionVehicleGridIntegrationZEVSummit.pdf\">backup storage<\/a><\/span><\/u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #212121;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"> for excess electricity during low demand times and feed that energy back into the grid at high demand times. This especially makes sense in conjunction with the electricity <\/span><u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #1155cc;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"><a href=\"https:\/\/www.utilitydive.com\/news\/how-california-utility-regulators-are-turning-electric-vehicles-into-grid-r\/430314\/\">\u201cduck curve<\/a><\/span><\/u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #212121;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">\u201d that is a product of solar energy. More energy is produced around noon to 3 PM when the sun is shining brightly, but peak demand occurs in the early evening around 5 or 6. Since EVs are often <\/span><u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #1155cc;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"><a href=\"https:\/\/www.utilitydive.com\/news\/how-california-utility-regulators-are-turning-electric-vehicles-into-grid-r\/430314\/\">plugged in during the middle of the day<\/a><\/span><\/u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #212121;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"> while people are at work, their batteries could absorb excess solar energy and feed it back into the grid during peak demand.<\/span><span lang=\"EN\" style=\"background: white;margin: 0px;color: #212121;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">\u00a0<\/span><br \/>\n<span lang=\"EN\" style=\"background: white;margin: 0px;color: #212121;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">The federal government has assessed the benefits of EV to the electricity sector and now <\/span><u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #1155cc;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"><a href=\"https:\/\/www.energy.gov\/eere\/electricvehicles\/electric-vehicles-tax-credits-and-other-incentives\">subsidizes the industry<\/a><\/span><\/u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #212121;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"> at <\/span><span lang=\"EN\" style=\"background: white;margin: 0px;color: #292929;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">$2,500 to $7,500 per vehicle purchased. The tax credit amount varies with the size and battery capacity of the EV. For <\/span><u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #1155cc;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"><a href=\"https:\/\/www.fueleconomy.gov\/feg\/taxevb.shtml\">any Tesla model<\/a><\/span><\/u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #292929;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">, the purchaser will receive a full credit of $7,500. Many state governments have chosen to provide additional subsidies for EV purchases, such as <\/span><u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #1155cc;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"><a href=\"https:\/\/www.energy.gov\/eere\/electricvehicles\/electric-vehicles-tax-credits-and-other-incentives\">Colorado<\/a><\/span><\/u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #292929;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"> offering $5,000 for the purchase of any EV or <\/span><u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #1155cc;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"><a href=\"https:\/\/www.energy.gov\/eere\/electricvehicles\/electric-vehicles-tax-credits-and-other-incentives\">Maryland <\/a><\/span><\/u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #292929;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">offering an amount up to $3,000 based off of $100 per kWh of battery capacity. Many economists predict that as the technology improves and EVs become more affordable and mainstream, subsidization will no longer be necessary and by 2030, <\/span><u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #1155cc;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"><a href=\"https:\/\/www.reuters.com\/article\/us-autos-electric-bcg\/study-predicts-slow-steady-rise-of-electric-vehicles-to-2030-idUSKBN1D22KQ\">\u201cEV demand will be driven by market forces, not regulation.\u201d<\/a><\/span><\/u><br \/>\n<span lang=\"EN\" style=\"background: white;margin: 0px;color: #292929;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">\u00a0<\/span><span lang=\"EN\" style=\"background: white;margin: 0px;color: #292929;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\">Vehicle emissions currently account for <\/span><u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #1155cc;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"><a href=\"https:\/\/www.epa.gov\/greenvehicles\/fast-facts-transportation-greenhouse-gas-emissions\">about 23%<\/a><\/span><\/u><span lang=\"EN\" style=\"background: white;margin: 0px;color: #292929;line-height: 115%;font-family: 'Times New Roman',serif;font-size: 12pt\"> of total greenhouse gas emissions in the US, so a mass switch to EV would contribute significantly to climate change abatement. California is currently forging the policy path for EV integration, and other states should take note as sales continue to increase in the coming years.<\/span><br \/>\n<span lang=\"EN\"><span style=\"color: #000000;font-family: Arial\">\u00a0<\/span><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>This past January, Governor Jerry Brown of California signed executive order B-48-18 announcing a program to put 5 million Electric Vehicles (EVs) on the state\u2019s roads by 2030. This lofty goal will require several key developments in the electricity sector, including installation of distributed charging stations which will be funded by $2.5 billion from the <a href=\"https:\/\/journals.law.unc.edu\/ncjolt\/blogs\/can-grid-handle-mass-switch-electric-vehicles-californias-policy-plan-integrate-5-million-evs-2030\/\" class=\"more-link\">&#8230;<\/a><\/p>\n","protected":false},"author":1,"featured_media":5692,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[51],"tags":[],"_links":{"self":[{"href":"https:\/\/journals.law.unc.edu\/ncjolt\/wp-json\/wp\/v2\/posts\/5691"}],"collection":[{"href":"https:\/\/journals.law.unc.edu\/ncjolt\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/journals.law.unc.edu\/ncjolt\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/journals.law.unc.edu\/ncjolt\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/journals.law.unc.edu\/ncjolt\/wp-json\/wp\/v2\/comments?post=5691"}],"version-history":[{"count":1,"href":"https:\/\/journals.law.unc.edu\/ncjolt\/wp-json\/wp\/v2\/posts\/5691\/revisions"}],"predecessor-version":[{"id":6927,"href":"https:\/\/journals.law.unc.edu\/ncjolt\/wp-json\/wp\/v2\/posts\/5691\/revisions\/6927"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/journals.law.unc.edu\/ncjolt\/wp-json\/wp\/v2\/media\/5692"}],"wp:attachment":[{"href":"https:\/\/journals.law.unc.edu\/ncjolt\/wp-json\/wp\/v2\/media?parent=5691"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/journals.law.unc.edu\/ncjolt\/wp-json\/wp\/v2\/categories?post=5691"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/journals.law.unc.edu\/ncjolt\/wp-json\/wp\/v2\/tags?post=5691"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}