Promoting Vehicle to Grid (V2G) in the Nordic region: Expert advice on policy mechanisms for accelerated diffusion

• DOI: 10.1016/j.enpol.2018.02.024
• Publication Date: 2018-03-03T17:35:54Z
• Authors: Johannes Kester; Lance Noel; Gerardo Zarazua d...; Benjamin K. Sovacool
• Keywords: Electricity markets; Incentives; 0202 electrical engineering, electronic engineering, information engineering; Nordics; 02 engineering and technology; Policy support; 7. Clean energy; Vehicle to Grid

Vehicle to Grid (V2G) holds the promise of cheap, flexible, and fast-responding storage through the use of electric vehicle batteries. Unfortunately, infrastructure, battery degradation and consumer awareness are only some of the challenges to a faster development of this technology. This paper offers a qualitative comparative analysis that draws on a subsample of 227 semi-structured interviews on electric vehicles with both transportation and electricity experts from 201 institutions and 17 cities within the Nordic region to discuss the reasoning and arguments behind V2G incentives and policy mechanisms. A frequency analysis of the most coded V2G responses favoured an update of the electricity market regulation – in particular in relation to electricity taxation and aggregator markets – and support for pilot projects. However, the analysis overall implies that V2G, in contrast to EVs, is a technology for the market and by the market. One that will develop on its own over time. More in-depth, our analysis shows the debates around V2G and how its perspective differs per country, pending available frequency capacity and flexible production (hydro power). The paper calls for a further development of flexible electricity markets, support for pilot projects, and attention to information and planning.