Study on the Application of V2G for Electric Vehicles in Korea Using Total Cost of Ownership Analysis

Abstract - Increasing concerns on climate change and energy sec urity accelerated policies to reduce green-house gas emission, especially from the transportation sector. Electric vehicle (EV) has been on the spotlight to deal with such environmental issue and V2G (Vehicle-to-Grid) te chnology began to draw attentions as an alternative to reduce ownership costs while contributing to an efficient and decentralized power grid. This study conducts a scenario analysis on total cost of ownership of EV under V2G scheme and compare with non-V2G EV and Internal Combustion Engine (ICE) vehicle. As res ult, V2G service is expected to provide an annual average profit of $210 to EV users willing to reverse fl ow its residual power in the battery. The profit from V2G service leaves a margin of $4,530 over operational lif etime, compared with $2,420 cost of charge for non-V2G EV. In summary, total cost of ownership of V2G-capa ble EV was 6.2% less than non-V2G EV and 10.2% higher than ICE vehicle. The results confirm a compar ative economic advantage of operating EV under V2G scheme. Increased number of EVs with V2G service has shown to provide positive effects to power industry for valley filling in load distribution, thus, f avorably increasing the overall economic feasibility.