The Electrification of Transportation: A Game Changer for Utilities
The demand and sale of electricity in the U.S. is at a low, unheard of since the 2009 recession, according to the U.S. Energy Information Administration (EIA), with sales declining 80 billion kilowatt hours (kWh) in the past year. However, based on a number of recent announcements offering positive signs for the Electrification of Transportation (EoT) — and the recent success of Tesla’s Model 3 — electric utilities have an opportunity to change this current situation.
The electric power industry estimates that the EoT may be the largest increase in load to the grid in decades, particularly due to the ways in which utilities are supporting the Electric Vehicle (EV) marketplace. Electric utilities are looking to offer new products and services to their customers, including providing a portfolio of Electric Vehicle Supply Equipment (EVSE), incorporating EV Charging Time-of-Use (TOU) rates, and managing their own EV charging network. In addition to these services, utilities could also offer charging discounts in exchange for the ability to control charge stations, allowing them to provide specific solutions to benefit both residential and commercial customers.
For example, residential customers with range anxiety would feel comforted to know their trusted utility has the network in place to get them home. By offering these customers the opportunity to reduce rates in exchange for load shifting, utilities can benefit from shaving peak load when customers are returning home from work. Utilities can also control and reduce demand charges for commercial customers in response to load shifting, as well as offer them a complete turnkey solution that provides innovative charging solutions.
With over 20 years of experience in the utility space — and an emphasis on the visibility, control, and utilization of assets at the edge of the grid — OATI provides EVolution™, a smart charging solution that allows utilities to unlock the full potential of EV charging. In the future, technologies will enable vehicle-to-grid (V2G) services, offering utilities and their customers a new paradigm to the possibilities of grid support. To learn more about EVolution™ and how it solves energy challenges, connect with us at Sales@oati.net.
About the Author:
Utilizing over 21 years of experience in utility sales and account management, OATI Account Executive Mr. Robert Moody works with electric utilities to connect generation, transmission, and demand-side resources to the wholesale energy markets. He also aids in providing solutions that allow utilities to optimize their power supply management efforts, manage the reliability needs of the grid, and fully harness the economic and social value of their assets.