Bimbo Canada signs agreements to offset 100 per cent of its electricity consumption for Canadian operations


bimbo canada

Arc Flash Training - CSA Z462 Electrical Safety

Our customized live online or in‑person group training can be delivered to your staff at your location.

  • Live Online
  • 6 hours Instructor-led
  • Group Training Available
Regular Price:
$249
Coupon Price:
$199
Reserve Your Seat Today

Bimbo Canada VPPAs secure renewable electricity from RES wind and solar projects in Alberta, totaling 170MW, via 15-year contracts to offset consumption, advance RE100 goals, and drive decarbonization across bakeries, depots, and distribution centers.

 

Key Points

Virtual power purchase agreements sourcing wind and solar to offset Bimbo Canadas electricity and support RE100.

✅ 15-year RES contracts for Alberta wind and solar capacity

✅ Offsets electricity for bakeries, depots, and distribution centers

✅ Advances Grupo Bimbo RE100 target for 100% renewable power

 

Canada's oldest and largest bakery, Bimbo Canada, has signed two virtual power purchase agreements (VPPAs) with Renewable Energy Systems  (RES) to procure renewable electricity, similar to federal green electricity contracts advancing in Alberta, that will offset 100 per cent of the company's electricity consumption in Canada. The projects are expected to be fully operational by December, 2022.

Canada is the second market, alongside the United States, to enter into VPPAs, where companies like Amazon clean energy projects are expanding rapidly. These agreements, together with additional sustainability initiatives conducted around the world by the parent company Grupo Bimbo, will help the company offset 90 per cent of its global electricity consumption.

"Bimbo Canada is committed to nourishing a better world through productive sustainability practices," said Joe McCarthy, president of Bimbo Canada. "These agreements are the next big step in reducing our environmental footprint, as peers such as Arvato's first solar plant signal industry momentum, and becoming leaders in responsible stewardship of the environment."

The 15-year agreements with RES will support the commercial development of two renewable energy projects in southern Alberta, consisting of wind and solar projects, similar to RBC's solar PPA announced in the region, totaling 170MW of installed capacity. Under these two agreements, Bimbo Canada will procure the benefit of approximately 50MW of renewable electricity to offset electricity consumption for its 16 bakeries, 14 distribution centres and 191 depots. Commercial development for the wind and solar farms will be finalized later this year by RES Canada and the projects are expected to be fully operational by the end of next year.  

"RES is proud that its Alberta wind and solar projects, amid growth such as a $200M Alberta wind farm led by a Buffett-linked firm, are helping Bimbo Canada meet its sustainability initiatives," said Peter Clibbon, RES Senior VP of Development. "It's a win-win situation with our projects delivering competitive wind and solar electricity to Bimbo Canada, and while providing our host communities with long-term tax and landowner income."

In 2018, Grupo Bimbo joined RE100, a global initiative led by The Climate Group and in partnership with Carbon Disclosure Project (CDP) and committed to operating with 100 per cent renewable electricity by 2025. As a leading supplier of fresh-baked goods and snacks for Canadian families, these agreements support the company's targets and builds upon many successful past sustainability initiatives, as market activity by Canadian Solar project sales continues nationwide.

"The renewable electricity initiatives in our operations respond to Grupo Bimbo's deep commitment that we have had for many decades globally with the planet and with present and future generations," said Daniel Servitje, global CEO of Grupo Bimbo. "With this announcement, we have achieved another important milestone for the company on our journey towards becoming 100 per cent renewable electricity by 2025."

Last year, Bimbo Canada reduced product waste and exceeded its product waste reduction target by 18 per cent, which saved four million units of products from landfills. The company also eliminated 174 metric tonnes of plastic per year (equal to 43 adult elephants) through several packaging optimization initiatives.

Earlier this year, Bimbo Canada signed the Canada Plastics Pact (CPP) and, amid a broader push for clean energy exemplified by Edmonton rooftop solar installations, earned its first ENERGY STAR certification for its Hamilton, Ontario bakery. The company will continue to work towards other initiatives that fulfill its commitment to be a sustainable, highly productive and deeply humane company.

 

Related News

Related News

Enabling storage in Ontario's electricity system

OEB Energy Storage Integration advances DERs and battery storage through CDM guidelines, streamlined connection requirements, IESO-aligned billing, grid modernization incentives, and the Innovation Sandbox, providing regulatory clarity and consumer value across Ontario's electricity system.

 

Key Points

A suite of OEB initiatives enabling storage and DERs via modern rules, cost recovery, billing reforms, and pilots.

✅ Updated CDM guidelines recognize storage at all grid levels.

✅ Standardized connection rules for DERs effective Oct 1, 2022.

✅ Innovation Sandbox supports pilots and temporary regulatory relief.

 

The energy sector is in the midst of a significant transition, where energy storage is creating new opportunities to provide more cost-effective, reliable electricity service. The OEB recognizes it has a leadership role to play in providing certainty to the sector while delivering public value, and a responsibility to ensure that the wider impacts of any changes to the regulatory framework, including grid rule changes, are well understood. 

Accordingly, the OEB has led a host of initiatives to better enable the integration of storage resources, such as battery storage, where they provide value for consumers.

Energy storage integration – our journey 
We have supported the integration of energy storage by:

Incorporating energy storage in Conservation and Demand Management (CDM) Guidelines for electricity distributors. In December 2021, the OEB released updated CDM guidelines that, among other things, recognize storage – either behind-the-meter, at the distribution level or the transmission level – as a means of addressing specific system needs. They also provide options for distributor cost recovery, aligning with broader industrial electricity pricing discussions, where distributor CDM activities also earn revenues from the markets administered by the Independent Electricity System Operator (IESO).
 
Modernizing, standardizing and streamlining connection requirements, as well as procedures for storage and other DERs, to help address Ontario's emerging supply crunch while improving project timelines. This was done through amendments to the Distribution System Code that take effect October 1, 2022, as part of our ongoing DER Connections Review.
 
Facilitating the adoption of Distributed Energy Resources (DERs), which includes storage, to enhance value for consumers by considering lessons from BESS in New York efforts. In March 2021, we launched the Framework for Energy Innovation consultation to achieve that goal. A working group is reviewing issues related to DER adoption and integration. It is expected to deliver a report to the OEB by June 2022 with recommendations on how electricity distributors can assess the benefits and costs of DERs compared to traditional wires and poles, as well as incentives for distributors to adopt third-party DER solutions to meet system needs.
 
Examining the billing of energy storage facilities. A Generic Hearing on Uniform Transmission Rates is underway. In future phases, this proceeding is expected to examine the basis for billing energy storage facilities and thresholds for gross-load billing. Gross-load billing demand includes not just a customer’s net load, but typically any customer load served by behind-the-meter embedded generation/storage facilities larger than one megawatt (or two megawatts if the energy source is renewable).
 
Enabling electricity distributors to use storage to meet system needs. Through a Bulletin issued in August 2020, we gave assurance that behind-the-meter storage assets may be considered a distribution activity if the main purpose is to remediate comparatively poor reliability of service.
 
Offering regulatory guidance in support of technology integration, including for storage, through our OEB Innovation Sandbox, as utilities see benefits across pilot deployments. Launched in 2019, the Innovation Sandbox can also provide temporary relief from a regulatory requirement to enable pilot projects to proceed. In January 2022, we unveiled Innovation Sandbox 2.0, which improves clarity and transparency while providing opportunities for additional dialogue. 
Addressing the barriers to storage is a collective effort and we extend our thanks to the sector organizations that have participated with us as we advanced these initiatives. In that regard, we provided an update to the IESO on these initiatives for a report it submitted to the Ministry of Energy, which is also exploring a hydrogen economy to support decarbonization.

 

Related News

View more

ABB claims its Terra 360 is the "world's fastest electric car charger"

ABB Terra 360 EV Charger offers 360 kW DC fast charging, ultra-fast top-ups, and multi-vehicle capability for Ionity, Electrify America, and depot installations, adding 100 km in under 3 minutes with compact footprint.

 

Key Points

ABB's Terra 360 is a 360 kW DC fast charger for EVs, powering up to four vehicles simultaneously with a compact footprint.

✅ 360 kW DC output; adds 100 km in under 3 minutes

✅ Charges up to four vehicles at once; small footprint

✅ Rolling out in Europe 2021; US and beyond in 2022

 

Swiss company ABB, which supplies EV chargers to Ionity and Electrify America amid intensifying charging network competition worldwide, has unveiled what it calls the "world's fastest electric car charger." As its name suggests, the Terra 360 has a 360 kW capacity, and as electric-car adoption accelerates, it could fully charge a (theoretical) EV in 15 minutes. More realistically, it can charge four vehicles simultaneously, saving space at charging stations. 

The Terra 360 isn't the most powerful charger by much, as companies like Electrify America, Ionity and EVGo have been using 350 kW chargers manufactured by ABB and others since at least 2018. However, it's the "only charger designed explicitly to charge up to four vehicles at once," the company said. "This gives owners the flexibility to charge up to four vehicles overnight or to give a quick refill to their EVs in the day." They also have a relatively small footprint, allowing installation in small depots or parking lots, helping as US automakers plan 30,000 new chargers nationwide. 

There aren't a lot of EVs that can handle that kind of charge. The only two approaching it are Porsche's Taycan, with 270 kW of charging capacity and the new Lucid Air, which allows for up to 300 kW fast-charging. Tesla's Model 3 and Model Y EVs can charge at up to 250 kW, while Hyundai's Ioniq 5 is rated for 232 kW DC fast charging in optimal conditions. 

Such high charging levels aren't necessarily great for an EV's battery, and the broader grid capacity question looms as the American EV boom gathers pace. Porsche, for instance, has a battery preservation setting on its Plug & Charge Taycan feature that lowers power to 200 kW from the maximum 270 kW allowed — so it's essentially acknowledging that faster charging degrades the battery. On top of that, extreme charging levels don't necessarily save you much time, as Car and Driver found. Tesla recently promised to upgrade its own Supercharger V3 network from 250kW to 300kW, with energy storage solutions emerging to buffer high-power sites. 

ABB's new chargers will be able to add 100 km (62 miles) of range in less than three minutes. They'll arrive in Europe by the end of the year and start rolling out in the US and elsewhere in 2022.

 

Related News

View more

Wind is main source of UK electricity for first time

UK Renewable Energy Milestones: wind outpacing gas, record solar output, offshore wind growth, National Grid data, and a net-zero grid by 2035, despite planning reforms, connection queues, and grid capacity constraints.

 

Key Points

Key UK advances where wind beat gas, solar set records, and policies target a 2035 net-zero electricity grid.

✅ Wind generated one-third of electricity, outpacing gas

✅ Record solar output reported by National Grid in April

✅ Onshore wind easing via planning reforms; grid delays persist

 

In the first three months of this year a third of the country's electricity came from wind farms, with the UK leading the G20 for wind power according to research from Imperial College London has shown.

National Grid has also confirmed that April saw a record period of solar energy generation, and wind generation set new records earlier in the year.

By 2035 the UK aims for all of its electricity to have net zero emissions, though progress stalled in 2019 in some areas.

"There are still many hurdles to reaching a completely fossil fuel-free grid, but wind out-supplying gas for the first time, a sign of wind leading the power mix, is a genuine milestone event," said Iain Staffell, energy researcher at Imperial College and lead author of the report.

The research was commissioned by Drax Electrical Insights, which is funded by Drax energy company.

The majority of the UK's wind power has come from offshore wind farms, and wind generated more electricity than coal in 2016 marking an early shift. Installing new onshore wind turbines has effectively been banned since 2015 in England.

Under current planning rules, companies can only apply to build onshore wind turbines on land specifically identified for development in the land-use plans drawn up by local councils. Prime Minister Rishi Sunak agreed in December to relax these planning restrictions to speed up development.

Scientists say switching to renewable power is crucial to curb the impacts of climate change, with milestones like wind and solar topping nuclear underscoring the shift, which are already being felt, including in the UK, which last year recorded its hottest year since records began.

Solar and wind have seen significant growth in the UK. In the first quarter of 2023, 42% of the UK's electricity came from renewable energy, with 33% coming from fossil fuels like gas and record-low coal shares.

Some new solar and wind sites are waiting up to 10 to 15 years to be connected because of a lack of capacity in the electricity system.

And electricity only accounts for 18% of the UK's total power needs. There are many demands for energy which electricity is not meeting, such as heating our homes, manufacturing and transport.

Currently the majority of UK homes use gas for their heating - the government is seeking to move households away from gas boilers and on to heat pumps which use electricity.

 

Related News

View more

EV owners can access more rebates for home, workplace charging

CleanBC Go Electric EV Charger Rebate empowers British Columbia condos, apartments, and workplaces with Level 2 charging infrastructure, ZEV adoption support, and stackable rebates aligned with the CleanBC Roadmap 2030 and municipal top-up incentives.

 

Key Points

A provincial program funding up to 50% of EV charger costs for condos, apartments, and workplaces across B.C.

✅ Up to 50% back, max $2,000 per eligible Level 2 charger

✅ EV Ready plans fund building upgrades for future charging

✅ Free advisor support: up to 5 hours for condos and workplaces

 

British Columbians wanting to charge their electric vehicles (EVs) at their condominium building or their place of work can access further funding through EV charger rebates to help buy and install EV chargers through CleanBC’s Go Electric EV Charger Rebate program.

“To better support British Columbians living in condominiums and apartments, we’re offering rebates to make more buildings EV ready,” said Bruce Ralston, Minister of Energy, Mines and Low Carbon Innovation. “With the highest uptake rates of EV adoption in North America, we want to make sure that more people supporting our transition to a low-carbon economy have easy access to charging infrastructure.”

The Province’s CleanBC Go Electric EV Charger Rebate program is receiving $10 million as part of Budget 2021 to help with the upfront costs that come with EVs. Condominiums, apartments and workplaces that purchase and install eligible EV chargers can receive a rebate up to 50% of costs to a maximum of $2,000 per charger. Customers who take advantage of the EV Charger Rebate may have access to top up rebates through participating municipalities and local governments.

“People in British Columbia are switching to electric vehicles in record numbers as part of the transition to a cleaner, better transportation system,” said George Heyman, Minister of Environment and Climate Change Strategy. “We are building on that progress and accelerating positive change through the CleanBC Roadmap. We’re making it more affordable to own an electric vehicle and charging station, with incentives for zero-emission vehicles, so people can improve their driving experience with no air and climate pollution, and lower fuel and maintenance costs overall.”

The strata council for a condo building in Vancouver’s Olympic Village neighbourhood made use of the EV Ready program, as well as new legislation easing strata EV installs and federal support to upgrade their building’s electrical infrastructure. The strata council worked together to first determine, through a load review, if there was enough incoming power to support a level 2 charger for every owner. Once this was determined, the strata’s chosen electrical contractor went to work with the base installation, as well as individual chargers for owners who ordered them. The strata council also ensured a charger was installed in the guest parking.

“The majority of owners in our building came together and gave our strata council approval to make the necessary updates to the building’s infrastructure to support electric vehicle charging where we live,” said Jim Bayles, vice-president of strata council. “While upgrading the electrical and installing the EV chargers was something we were going ahead with anyway, we were pleased to receive quick support from the Province through their CleanBC program as well as from the federal government.”

CleanBC’s EV Ready option supports the adoption of EV infrastructure at apartment and condominium buildings. EV Ready provides rebates for the development of EV Ready plans, a strategy for buildings supported by professionals to retrofit a condo with chargers and make at least one parking space per unit EV ready, and the installation of electrical modifications and upgrades needed to support widespread future access to EV charging for residents.

Up to five hours of free support services from an EV charging station adviser are available through the EV Charger Rebate program for condominiums, apartments and workplaces that need help moving from idea to installation.

Single-family homes, including duplexes and townhouses, can get a rebate of up to 50% of purchase and installation costs of an eligible EV charger to a maximum of $350 through the EV Charger Rebate program.

The Province is providing a range of rebates through its CleanBC Go Electric programs and building out the fast-charging network to ensure the increasing demand for EVs is supported. B.C. has one of the largest public-charging networks in Canada, including the BC's Electric Highway initiative, with more than 2,500 public charging stations throughout the province.

The CleanBC Go Electric EV Charger Rebate program aligns with the recently released CleanBC Roadmap to 2030. Announced on Oct. 25, 2021, the CleanBC Roadmap to 2030 details a range of expanded actions to expand EV charging and accelerate the transition to a net-zero future and achieve B.C.’s legislated greenhouse gas emissions targets.

CleanBC is a pathway to a more prosperous, balanced and sustainable future. It supports government’s commitment to climate action to meet B.C.’s emission targets and build a cleaner, stronger economy for everyone.

Quick Facts:

  • The CleanBC Go Electric EV Charger Rebate program provides a convenient single point of service for provincial and any local government rebates.
  • EV adviser services for multi-unit residential buildings and workplaces are available through Plug In BC.
  • British Columbia is leading the country in transitioning to EVs, even as a B.C. Hydro 'bottleneck' forecast highlights infrastructure needs, with more than 60,000 light-duty EVs on the road.
  • British Columbia was the first place in the world to have a 100% ZEV law and is leading North America in uptake rates of EVs at nearly 10% of new sales in 2020 – five years ahead of the original target.
  • The CleanBC Roadmap to 2030 commits B.C. to adjusting its ZEV Act to require automakers to meet an escalating annual percentage of new light-duty ZEV sales and leases, reaching 26% of light-duty vehicle sales by 2026, 90% by 2030 and 100% by 2035.

 

Learn More:

To learn more about home and workplace EV charging station rebates, eligibility and application processes, including the EV Ready program, visit: https://goelectricbc.gov.bc.ca/

To learn more about EV advisor services, visit: https://pluginbc.ca/ev-advisor-service/

To learn more about the suite of CleanBC Go Electric programming, visit: www.gov.bc.ca/zeroemissionvehicles

To learn more about the CleanBC Roadmap to 2030, visit: https://cleanbc.gov.bc.ca/

 

Related News

View more

UK Electric Vehicle Sales Surge to Record High

UK electric vehicle sales reached a record high in September, with battery and hybrid cars making up over half of new registrations. SMMT credits carmaker discounts, new models, and a £3,750 EV grant for driving strong demand across the UK market.

 

Why are UK Electric Vehicle Sales Surging to a Record High?

UK electric vehicle sales are surging to a record high because automakers are offering major discounts, more models are available than ever, and the government’s new £3,750 EV grant is making electric cars more affordable and appealing to both fleets and private buyers.

✅ BEV sales up nearly one-third in September

✅ Over half of all new cars are now electrified

✅ £3,750 EV grants boost consumer confidence

 

Electric vehicle (EV) sales in the United Kingdom reached a record high last month, marking a significant milestone in the country’s transition to cleaner transportation. According to the latest figures from the Society of Motor Manufacturers and Traders (SMMT), sales of pure battery electric vehicles (BEVs) surged by nearly one-third to 72,779 units in September, while plug-in hybrid registrations grew even faster.

The combined total of fully electric and hybrid vehicles accounted for more than half of all new car registrations, underscoring the growing appeal of electrified transport among both businesses and private consumers. In total, 312,887 new vehicles were registered across the country — the strongest September performance since 2020, according to SMMT data.

SMMT chief executive Mike Hawes said the surge in electrified vehicle sales showed that “electrified vehicles are powering market growth after a sluggish summer.” He credited carmaker incentives, a wider choice of models, and government support for helping accelerate adoption. “Industry investment in electric vehicles is paying off,” Hawes added, even as he acknowledged that “consumer demand still trails ambition.”

The UK government’s new electric car grant scheme has played a significant role in the rebound. The program offers buyers discounts of up to £3,750 on eligible EVs priced under £37,000. So far, more than 20,000 motorists have benefited, with 36 models approved for reductions of at least £1,500. Participating manufacturers include Ford, Toyota, Vauxhall, and Citroën.

Ian Plummer, chief commercial officer at Autotrader, said the grant had given a “real lift to the market.” He noted that “since July, enquiries for new electric vehicles on Autotrader are up by almost 50%. For models eligible for the grant, interest has more than doubled.”

While the majority of BEVs — about 71.4% — were purchased by companies and fleets, the number of private buyers has also been increasing. Zero-emission vehicles now account for more than one in five (22.1%) new car registrations so far in 2025, highlighting the growing mainstream appeal of electric mobility.

The surge comes amid a challenging backdrop for the automotive sector. The UK car industry is still reeling from the effects of US trade tariffs and recent disruptions, such as Jaguar Land Rover’s production shutdown following a cyberattack. Despite these hurdles, the strong September figures have boosted confidence in the industry’s recovery trajectory.

Among individual models, the Kia Sportage, Ford Puma, and Nissan Qashqai led overall sales, while two Chinese vehicles — the Jaecoo 7 and BYD Seal U — entered the top ten, reflecting China’s growing footprint in the UK market. Analysts say the arrival of competitively priced Chinese EVs could further intensify competition and drive prices lower for consumers.

With electrified vehicles now dominating new registrations and fresh government incentives in place, industry observers believe the UK is gaining momentum toward its long-term net-zero goals. The challenge, however, remains converting business fleet enthusiasm into sustained private-buyer confidence through affordable models, reliable charging infrastructure, and continued policy support.

 

Related Articles

 

View more

Reversing the charge - Battery power from evs to the grid could open a fast lane

Vehicle-to-Grid V2G unlocks EV charging flexibility and grid services, integrating renewable energy, demand response, and peak shaving to displace stationary storage and firm generation while lowering system costs and enhancing reliability.

 

Key Points

Vehicle-to-Grid V2G lets EV batteries discharge to grid, balancing renewables and cutting storage and firm generation.

✅ Displaces costly stationary storage and firm generation

✅ Enables demand response and peak shaving at scale

✅ Supports renewable integration and grid reliability

 

Owners of electric vehicles (EVs) are accustomed to plugging into charging stations at home and at work and filling up their batteries with electricity from the power grid. But someday soon, when these drivers plug in, their cars will also have the capacity to reverse the flow and send electrons back to the grid. As the number of EVs climbs, the fleet’s batteries could serve as a cost-effective, large-scale energy source, with potentially dramatic impacts on the energy transition, according to a new paper published by an MIT team in the journal Energy Advances.

“At scale, vehicle-to-grid (V2G) can boost renewable energy growth, displacing the need for stationary energy storage and decreasing reliance on firm [always-on] generators, such as natural gas, that are traditionally used to balance wind and solar intermittency,” says Jim Owens, lead author and a doctoral student in the MIT Department of Chemical Engineering. Additional authors include Emre Gençer, a principal research scientist at the MIT Energy Initiative (MITEI), and Ian Miller, a research specialist for MITEI at the time of the study.

The group’s work is the first comprehensive, systems-based analysis of future power systems, drawing on a novel mix of computational models integrating such factors as carbon emission goals, variable renewable energy (VRE) generation, and costs of building energy storage, production, and transmission infrastructure.

“We explored not just how EVs could provide service back to the grid — thinking of these vehicles almost like energy storage on wheels providing flexibility — but also the value of V2G applications to the entire energy system and if EVs could reduce the cost of decarbonizing the power system,” says Gençer. “The results were surprising; I personally didn’t believe we’d have so much potential here.”

Displacing new infrastructure

As the United States and other nations pursue stringent goals to limit carbon emissions, electrification of transportation has taken off, with the rate of EV adoption rapidly accelerating. (Some projections show EVs supplanting internal combustion vehicles over the next 30 years.) With the rise of emission-free driving, though, there will be increased demand for energy on already stressed state power grids nationwide. “The challenge is ensuring both that there’s enough electricity to charge the vehicles and that this electricity is coming from renewable sources,” says Gençer.

But solar and wind energy is intermittent. Without adequate backup for these sources, such as stationary energy storage facilities using lithium-ion batteries, for instance, or large-scale, natural gas- or hydrogen-fueled power plants, achieving clean energy goals will prove elusive. More vexing, costs for building the necessary new energy infrastructure runs to the hundreds of billions.

This is precisely where V2G can play a critical, and welcome, role, the researchers reported. In their case study of a theoretical New England power system meeting strict carbon constraints, for instance, the team found that participation from just 13.9 percent of the region’s 8 million light-duty (passenger) EVs displaced 14.7 gigawatts of stationary energy storage. This added up to $700 million in savings — the anticipated costs of building new storage capacity.

Their paper also described the role EV batteries could play at times of peak demand, such as hot summer days. “With proper grid coordination practices in place, V2G technology has the ability to inject electricity back into the system to cover these episodes, so we don’t need to install or invest in additional natural gas turbines,” says Owens. “The way that EVs and V2G can influence the future of our power systems is one of the most exciting and novel aspects of our study.”

Modeling power

To investigate the impacts of V2G on their hypothetical New England power system, the researchers integrated their EV travel and V2G service models with two of MITEI’s existing modeling tools: the Sustainable Energy System Analysis Modeling Environment (SESAME) to project vehicle fleet and electricity demand growth, and GenX, which models the investment and operation costs of electricity generation, storage, and transmission systems. They incorporated such inputs as different EV participation rates, costs of generation for conventional and renewable power suppliers, charging infrastructure upgrades, travel demand for vehicles, changes in electricity demand, and EV battery costs.

Their analysis found benefits from V2G applications in power systems (in terms of displacing energy storage and firm generation) at all levels of carbon emission restrictions, including one with no emissions caps at all. However, their models suggest that V2G delivers the greatest value to the power system when carbon constraints are most aggressive — at 10 grams of carbon dioxide per kilowatt hour load. Total system savings from V2G ranged from $183 million to $1,326 million, reflecting EV participation rates between 5 percent and 80 percent.

“Our study has begun to uncover the inherent value V2G has for a future power system, demonstrating that there is a lot of money we can save that would otherwise be spent on storage and firm generation,” says Owens.


Harnessing V2G

For scientists seeking ways to decarbonize the economy, the vision of millions of EVs parked in garages or in office spaces and plugged into the grid via vehicle-to-building charging for 90 percent of their operating lives proves an irresistible provocation. “There is all this storage sitting right there, a huge available capacity that will only grow, and it is wasted unless we take full advantage of it,” says Gençer.

This is not a distant prospect. Startup companies are currently testing software that would allow two-way communication between EVs and grid operators or other entities. With the right algorithms, EVs would charge from and dispatch energy to the grid according to profiles tailored to each car owner’s needs, never depleting the battery and endangering a commute.

“We don’t assume all vehicles will be available to send energy back to the grid at the same time, at 6 p.m. for instance, when most commuters return home in the early evening,” says Gençer. He believes that the vastly varied schedules of EV drivers will make enough battery power available to cover spikes in electricity use over an average 24-hour period. And there are other potential sources of battery power down the road, such as electric school buses that are employed only for short stints during the day and then sit idle, with the potential to power buildings during peak hours.

The MIT team acknowledges the challenges of V2G consumer buy-in. While EV owners relish a clean, green drive, they may not be as enthusiastic handing over access to their car’s battery to a utility or an aggregator working with power system operators. Policies and incentives would help.

“Since you’re providing a service to the grid, much as solar panel users do, you could get paid to sell electricity back for your participation, and paid at a premium when electricity prices are very high,” says Gençer.

“People may not be willing to participate ’round the clock, but as states like California explore EVs for grid stability programs and incentives, if we have blackout scenarios like in Texas last year, or hot-day congestion on transmission lines, maybe we can turn on these vehicles for 24 to 48 hours, sending energy back to the system,” adds Owens. “If there’s a power outage and people wave a bunch of money at you, you might be willing to talk.”

“Basically, I think this comes back to all of us being in this together, right?” says Gençer. “As you contribute to society by giving this service to the grid, you will get the full benefit of reducing system costs, and also help to decarbonize the system faster and to a greater extent.”


Actionable insights

Owens, who is building his dissertation on V2G research, is now investigating the potential impact of heavy-duty electric vehicles in decarbonizing the power system. “The last-mile delivery trucks of companies like Amazon and FedEx are likely to be the earliest adopters of EVs,” Owen says. “They are appealing because they have regularly scheduled routes during the day and go back to the depot at night, which makes them very useful for providing electricity and balancing services in the power system.”

Owens is committed to “providing insights that are actionable by system planners, operators, and to a certain extent, investors,” he says. His work might come into play in determining what kind of charging infrastructure should be built, and where.

“Our analysis is really timely because the EV market has not yet been developed,” says Gençer. “This means we can share our insights with vehicle manufacturers and system operators — potentially influencing them to invest in V2G technologies, avoiding the costs of building utility-scale storage, and enabling the transition to a cleaner future. It’s a huge win, within our grasp.”

 

Related News

View more

Sign Up for Electricity Forum’s Newsletter

Stay informed with our FREE Newsletter — get the latest news, breakthrough technologies, and expert insights, delivered straight to your inbox.

Electricity Today T&D Magazine Subscribe for FREE

Stay informed with the latest T&D policies and technologies.
  • Timely insights from industry experts
  • Practical solutions T&D engineers
  • Free access to every issue

Download the 2025 Electrical Training Catalog

Explore 50+ live, expert-led electrical training courses –

  • Interactive
  • Flexible
  • CEU-cerified