Electric vehicles’ potential to provide flexibility services
(2022) INTM01 20221Innovation Engineering
- Abstract
- The automotive industry is undergoing an unprecedented transformation, and all actors along the value chain are affected. A company in the midst of this is Axess Logistics, which offers car logistics solutions to general agents and dealers in the Scandinavian market. In times of change, new business opportunities arise, which Axess Logistics wants to identify. An evident trend is the electrification of the vehicle fleet, where the share of electric vehicles among new registered cars is increasing every year, and the growth is forecasted to continue.
When an electric vehicle is parked, its battery can be viewed as an unused resource – particularly since it could contribute to mitigating some of the problems that exist in the electrical... (More) - The automotive industry is undergoing an unprecedented transformation, and all actors along the value chain are affected. A company in the midst of this is Axess Logistics, which offers car logistics solutions to general agents and dealers in the Scandinavian market. In times of change, new business opportunities arise, which Axess Logistics wants to identify. An evident trend is the electrification of the vehicle fleet, where the share of electric vehicles among new registered cars is increasing every year, and the growth is forecasted to continue.
When an electric vehicle is parked, its battery can be viewed as an unused resource – particularly since it could contribute to mitigating some of the problems that exist in the electrical grid. Via vehicle-to-grid (V2G) technology, the stored energy in the car battery can be fed back into the electrical grid when needed and, hence, constitute a flexibility resource. In the future electricity systems with more intermittent energy sources and increased electricity demand, flexibility resources are regarded as one of the solutions to problems such as power shortage. Today, flexibility is traded in two different markets, namely, Svenska kraftnät’s ancillary services market and local flexibility markets.
This study investigates whether Axess Logistics is able to participate in the flexibility markets with the cars they have in storage with respect to the requirements of the markets. Furthermore, external factors that affect Axess Logistics’ potential are mapped. Based on the study’s data collection, barriers to the implementation of the provision of flexibility services at the company’s Malmö facility are identified.
The conclusion is that the cars at Axess Logistics can be used as flexibility resources in flexibility markets. However, there are barriers – e.g. low knowledge of V2G and uncertainties regarding battery health – that need to be overcome before a successful implementation can take place. (Less) - Abstract (Swedish)
- Bilindustrin genomgår en transformation som inte tidigare har skådats och samtliga aktörer längs med värdekedjan påverkas. Ett företag som befinner sig mitt i detta är Axess Logistics som erbjuder billogistiklösningar till generalagenter och återförsäljare på den skandinaviska marknaden. I tider av förändring uppkommer nya affärsmöjligheter, vilka Axess Logistics vill identifiera. En tydlig trend är elektrifieringen av fordonsflottan, där andelen elbilar bland nyregistrerade bilar ökar varje år och tillväxten prognostiseras att fortsätta.
När en elbil står parkerad kan dess batteriet ses som en outnyttjad resurs – särskilt eftersom det skulle kunna bidra till att lindra problem som finns i elnätet. Genom tekniken vehicle-to-grid (V2G)... (More) - Bilindustrin genomgår en transformation som inte tidigare har skådats och samtliga aktörer längs med värdekedjan påverkas. Ett företag som befinner sig mitt i detta är Axess Logistics som erbjuder billogistiklösningar till generalagenter och återförsäljare på den skandinaviska marknaden. I tider av förändring uppkommer nya affärsmöjligheter, vilka Axess Logistics vill identifiera. En tydlig trend är elektrifieringen av fordonsflottan, där andelen elbilar bland nyregistrerade bilar ökar varje år och tillväxten prognostiseras att fortsätta.
När en elbil står parkerad kan dess batteriet ses som en outnyttjad resurs – särskilt eftersom det skulle kunna bidra till att lindra problem som finns i elnätet. Genom tekniken vehicle-to-grid (V2G) kan bilbatteriets lagrade energi matas tillbaka ut på elnätet vid behov och därmed utgöra en flexibilitetsresurs. I framtidens elsystem med en större andel intermittenta energikällor och ett ökat elbehov ses flexibilitetsresurser som en av lösningarna på problem som t.ex. effektbrist. Idag handlas flexibilitet på två olika sorters marknader, Svenska kraftnäts stödtjänstmarknad och lokala flexibilitetmarknader.
Denna studie undersöker huruvida Axess Logistics kan delta på flexibilitetmarknader med de bilar som de lagerhåller med hänsyn till marknadernas olika kravbilder. Dessutom kartläggs externa faktorer som påverkar Axess Logistics potential. Baserat på studiens datainsamling identifieras barriärer till implementeringen av tillhandahållandet av flexibilitetstjänster på företagets anläggning i Malmö.
Slutsatsen är att bilarna hos Axess Logistics kan användas som flexibilitetsresurser på flexibilitetsmarknader. Däremot finns det barriärer – t.ex. låg kunskap om V2G och osäkerheter kring batterihälsa – som behöver övervinnas innan en framgångsrik implementering kan ske. (Less) - Popular Abstract
- It is an ice-cold morning in January and the electrical grid suffers from power shortage. Your heat radiator does not work, electricity prices are skyrocketing and – worst of all – you cannot get your morning coffee. However, a solution to this problem might be parked in your driveway, as your electric vehicle (EV) can be used as a flexibility resource.
With the vehicle-to-grid (V2G) technology, electric vehicles have the ability to store electricity in their batteries and later feed it back into the electrical grid. This technology enables the EV to provide flexibility services, i.e. regulate its production and consumption based on the grid’s demand. It is believed that flexibility services will be critical in the future electricity... (More) - It is an ice-cold morning in January and the electrical grid suffers from power shortage. Your heat radiator does not work, electricity prices are skyrocketing and – worst of all – you cannot get your morning coffee. However, a solution to this problem might be parked in your driveway, as your electric vehicle (EV) can be used as a flexibility resource.
With the vehicle-to-grid (V2G) technology, electric vehicles have the ability to store electricity in their batteries and later feed it back into the electrical grid. This technology enables the EV to provide flexibility services, i.e. regulate its production and consumption based on the grid’s demand. It is believed that flexibility services will be critical in the future electricity systems with higher integration of renewable intermittent energy sources and more electrified industry and transport sectors.
Axess Logistics is a car logistics company handling hundreds of thousands of cars annually, and the share of EVs is increasing every year. Having what is most likely the largest mobile battery in Sweden, Axess Logistics wants to investigate the potential of a concept where electricity is stored in their cars and later traded in flexibility markets. When using V2G to provide flexibility services, the auto industry and energy industry are united.
After mapping the company’s storage capacity and putting it in relation to market requirements, it was concluded that Axess Logistics has the potential to participate in several of the existing flexibility markets.
Besides having sufficient available storage capacity, Axess Logistics acknowledges that the introduction of this new concept is not done without challenges. In order to identify barriers and address them proactively, stakeholder interviews were conducted in combination with a thorough document study. Six barriers to the implementation of flexibility services at Axess Logistics were identified:
• Low knowledge regarding V2G and its possible functions
• Uncertainties regarding battery degradation
• Lack of standardisation
• Importance of economic viability for participating actors
• Low end customer demand
• Varying storage volume
While some of the barriers are difficult to influence, others can be addressed by Axess Logistics. For instance, the company can work as a knowledge hub providing stakeholders with information and hence lower the threshold for participating in the concept.
In summary, it was concluded that the EVs at Axess Logistics have the potential to provide flexibility services – although there exist some barriers. The need of flexibility will most probably increase as intermittent energy sources become more integrated in the electricity production. Soon your car will be not only a means of transportation but also an integral part of a well-functioning electricity system. (Less)
Please use this url to cite or link to this publication:
http://lup.lub.lu.se/student-papers/record/9090913
- author
- Gustafsson, Celina LU
- supervisor
- organization
- course
- INTM01 20221
- year
- 2022
- type
- H2 - Master's Degree (Two Years)
- subject
- keywords
- vehicle-to-grid, electric vehicle, flexibility services, battery storage, barriers to implementation
- language
- English
- id
- 9090913
- date added to LUP
- 2022-06-21 10:47:24
- date last changed
- 2022-06-21 10:47:24
@misc{9090913,
abstract = {{The automotive industry is undergoing an unprecedented transformation, and all actors along the value chain are affected. A company in the midst of this is Axess Logistics, which offers car logistics solutions to general agents and dealers in the Scandinavian market. In times of change, new business opportunities arise, which Axess Logistics wants to identify. An evident trend is the electrification of the vehicle fleet, where the share of electric vehicles among new registered cars is increasing every year, and the growth is forecasted to continue.
When an electric vehicle is parked, its battery can be viewed as an unused resource – particularly since it could contribute to mitigating some of the problems that exist in the electrical grid. Via vehicle-to-grid (V2G) technology, the stored energy in the car battery can be fed back into the electrical grid when needed and, hence, constitute a flexibility resource. In the future electricity systems with more intermittent energy sources and increased electricity demand, flexibility resources are regarded as one of the solutions to problems such as power shortage. Today, flexibility is traded in two different markets, namely, Svenska kraftnät’s ancillary services market and local flexibility markets.
This study investigates whether Axess Logistics is able to participate in the flexibility markets with the cars they have in storage with respect to the requirements of the markets. Furthermore, external factors that affect Axess Logistics’ potential are mapped. Based on the study’s data collection, barriers to the implementation of the provision of flexibility services at the company’s Malmö facility are identified.
The conclusion is that the cars at Axess Logistics can be used as flexibility resources in flexibility markets. However, there are barriers – e.g. low knowledge of V2G and uncertainties regarding battery health – that need to be overcome before a successful implementation can take place.}},
author = {{Gustafsson, Celina}},
language = {{eng}},
note = {{Student Paper}},
title = {{Electric vehicles’ potential to provide flexibility services}},
year = {{2022}},
}