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Principles for Utility EV Programs

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Presentation on theme: "Principles for Utility EV Programs"— Presentation transcript:

1 Principles for Utility EV Programs
August 30, 2016 Philip Goo Sierra Club Luke Tonachel Natural Resources Defense Council

2 The Enormous Potential Benefits of New York’s EV Expansion
2011 NYSERDA EV report a 40% EV market share would produce positive economic benefits ranging from $4.45 to $10.73 billion/year and 19,800 to 59,800 jobs for Gross State Product and employment impacts 2015 NYSERDA-commissioned EV study: controlled charging of EVs could save NY ratepayers up to $46 million annually in reduced generating costs/monthly generating capacity costs an additional $103 million in reduced infrastructure upgrade costs over next 15 years. Would reduce billions of $ leaving NY for importing oil Achieve higher levels of renewable generation, lowering emissions of greenhouse gases and other air pollutants

3 Ongoing Utility & EV-infrastructure Actions Around the Country
Washington 2015 – legislation passed approving utility investments in EV charging infrastructure as part of their regulated asset base Puget Sound Energy providing $500 rebate for purchase of up to 5,000 chargers Alaska Washington Montana North Dakota Maine Oregon Idaho Minnesota Vermont New Oregon 2013 – PUC ruled to allow for participation by utilities in EVSE market as both unregulated or regulated entities (i.e., with rate recovery) Illinois 2015 – Legislation proposed for $100M ComEd investment in 5,000 EV chargers Hampshire South Dakota Wisconsin Massachusetts New York Wyoming Michigan Rhode Island Connecticut Nebraska Iowa Pennsylvania Connecticut DEEP now soliciting comments on role of utilities in deploying EVs and EV charging New Jersey Nevada Ohio Utah Illinois Indiana Delaware West Maryland Colorado California Kansas Virginia Virginia California 2014 – PUC ruled to allow utility EV infrastructure programs Settlements before PUC for SDG&E program (5,500 chargers at $103M) & SCE phase 1 program (1,000 chargers at $20M) PG&E phase 1 program (2,500 chargers at $87M) currently before PUC Missouri Kansas/Missouri 2015 – MO PSC opened new docket to consider utility EV charging investments KCP&L installing 1,000 chargers at $20M across both KS and MO service territory Kentucky Kentucky 2015 – LG&E and KU requesting recovery for small EV charging deployments in each service territory North Carolina Arizona Tennessee Oklahoma Arkansas South Carolina New Mexico Mississippi Alabama Georgia Texas Georgia Georgia Power investing $12M to deploy 50 chargers and fund rebates for home and apartment EVSE installations Hawaii Louisiana 500 Miles 500 KM Florida

4 The Need for Principles: EV Expansion Without Proper Planning
Without proper planning, increasing New York’s EV market has the potential to strain the electricity grid, aggravating peak demand and increasing costs for New York utilities and ratepayers. DPS April 2014 REV Staff Report - “[t]he potential for wide scale adoption of rechargeable electric vehicles could challenge the capacity of some distribution circuits.” If EVs are only charged during peak demand, utilities will be forced to rely on expensive peaking plants and make transmission and distribution investments in order to accommodate the increased load, and to pass those costs to New York’s ratepayers. Will fail to reach all New Yorkers

5 The Role of Utilities in Accelerating EV Adoption
Infrastructure Incentives for grid services Information Can reduce high up-front costs for installing charging stations/EV infrastructure Are uniquely able to plan for distribution impacts and system upgrades Can benefit from a direct, long-standing connection to ratepayers Able to educate prospective EV customers about off-peak charging benefits Can create rate programs and incentives to reduce costs to consumers Can coordinate charging to align with low load periods and renewables, decreasing grid capacity/infrastructure costs.

6 Role for Utilities: Conduct Outreach and Education
Furthers REV objective of Customer Engagement Most New York ratepayers do not know the benefits of EV ownership Utilities can coordinate and partner with other organizations experienced in community education and electric vehicle promotion. Educating utilities: Utilities should be notified of electric vehicle purchases. Registration of electric vehicles should be routinely referred to electric utilities to allow for proper grid planning and outreach to EV owners for rates and programs specific to electric vehicles.

7 to the Grid and to Ratepayers
Principle #1 - Effectively Use Price Signals and Load Management Practices to Maximize Benefits to the Grid and to Ratepayers Off-peak charging is critical to driving overall electricity rates down and customer savings up because it can lead to the increased utilization of otherwise idle generation assets and minimize strain on the grid Furthering Clean Energy Standard Goals- Aligning EV load with solar and wind resources would help achieve the CES goals while also avoiding the need for traditional fossil-fuel generation investment Criteria for evaluating utility investments should include monetized benefits from reduced oil consumption, healthier air, and lower greenhouse gas emissions.

8 Principle #2 - Provide Equitable and Widespread Access
Utility-facilitated EV charging access is essential at locations with long dwell times, such as multi-unit dwellings and workplaces, and at public high-power “fast charging” locations US DOE study- employees 20 times more likely to drive an EV when the company offers workplace charging Fast charging can also decrease range anxiety and increase electric miles driven Utility EV investments should also include rebate programs, EV education, and zero-emission public transit bus options and potentially EV-ridesharing for low-income communities, as these communities are disproportionately impacted by air pollution and often lack sufficient transportation options

9 Principle #3 - Encourage and Expand Stakeholder Engagement, Including with the Third-Party Charging Industry to Ensure a Competitive EVSE Market The Commission should establish a new Matter Number in REV to centralize utility EV demonstration projects/proposals As part of establishing the new Matter Number, the Commission should describe guiding principles for evaluating those projects/proposals Establish timelines for plan submittals by all utilities Ensure a proper role for the third-party charging industry. New York’s Utility EVSE deployment should be consistent with fostering a competitive market and continued growth of the EV charging industry.


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