Powering Through

Those who know me know how excited I am about vehicle electrification as a movement and, in particular, what we’re building here at SmarteMobility. The eMobility landscape holds tremendous value. Value not only with regards to the positive impacts it will have on utilities and their customers but even more in terms of the opportunities electric vehicles (EVs) create for all citizens to participate in something massively signifi

EV adoption is increasing exponentially worldwide. While it’s hard to say if we’ve hit that proverbial “tipping point”, we can all agree that the development in eMobility has now moved well past a pie-in-the-sky vision. The current projections for EV adoption suggest that 50% or more of new cars sold by 2030 will be electric. And it’s hard to argue with this number, considering we are witnessing a change in the industry around EVs. The cost of ownership relative to traditional vehicles continues to come down. The driving experience continues to outperform what I think many ever expected. And the prospects for value creation uncovered across this landscape are increasing by the day. With lower costs, better experience, and lots of value synergies, it’s a Win-Win-Win for everyone across the EV ecosystem.

Implications for Energy Providers

A few years ago, when the concept of eMobility first hit the market, the first instinctive reaction from many utilities was ‘Wow! What a great new source of load growth.’ It gained a lot of traction as a means to generate new revenue for the energy providers. Several potential associated features, such as off-peak charging, acquired attention in the industry. These features could allow the utilities to grow their businesses at a lower cost in a more socially conscious and responsible way. Not to mention the positive perception and optics it would produce for customers and regulators.

However, we all know it goes much further than this – both in terms of opportunity and risk. Let’s dig deeper into both these aspects.

Opportunities for Value Creation

The picture around ‘value’ has come into focus on the opportunity side. It provides an opportunity to drive significant decarbonization impacts, with zero-carbon agendas now the bedrock of most utilities’ mid and long-range strategies. There is an opportunity to create new sources of customer value and revenue streams.

We are starting to recognize and accept that EVs are essentially batteries on wheels, which have the potential for both Vehicle-to-Home (V2H) and Vehicle-to-Grid (V2G) integrations. These integrations can unlock additional value across the entire energy value chain – from resource planning to grid optimization and lots more in between.

Risks and Challenges

The risks are coming into focus too. What happens when distribution equipment on a circuit like transformers is loaded with more than a handful of EVs? When are vehicles charging at times that vary from planning assumptions due to differences in customer lifestyles or fleet operating characteristics? Or if public charging infrastructure does not keep up with EV growth due to supply or grid constraints, or just the pace of private investment?

What Utilities Can (and Should) Do NOW?

This brings us back to the utilities – their role in the EV landscape and what they can do for their customers relative to the eMobility discussion. Why are utilities a driving force in enabling EV growth? Due to their unique relationship with the customers. Utilities are in an unprecedented position to influence one of the most significant changes of our lifetime.

We can start by influencing and shaping EV adoption – taking a proactive role in educating and enabling customers to acquire their first EV, but doing so in a highly targeted, intentional way. We can provide infrastructure and charging solutions that help EV owners manage costs and take more control—helping them plan longer journeys that can mitigate barriers to entry like range anxiety or charging concerns.

We can integrate these resources with grid infrastructure and storage assets and orchestrate distributed resources to strengthen reliability and resiliency. We can work toward delivering lower costs for ALL customers, including those in disadvantaged areas. This is where I see the most significant social and digital equity impact in the eMobility arena.

Where to from Here for the Energy Sector?

There’s no doubt the eMobility space will continue to grow and evolve rapidly and create even more significant challenges than the ones listed here. But so will the benefits and the opportunities to leverage this new movement to really make a difference and do it in an intentional, purpose-driven way.

I’m excited about that and look forward to sharing more on what SmarteMobility can do to help utilities and citizens across the communities they serve to play an active role in the industry transition we can see today.

SmarteMobility is on a mission to build a smart ecosystem for energy providers, mobility providers and consumers to accelerate EV adoption, build customer experience (CX) excellence, and achieve sustainability goals. Learn more here: www.smartemobility.ai