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Integrating private transport into renewable energy policy: The strategy of creating intelligent recharging grids for Electric Vehicles

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  • Poul Houman Andersen, Danmark
  • John A. Mathews, Macquarie Graduate School of Management, Macquarie University, Australien
  • Morten Rask
  • Institut for Ledelse
  • Centre for Design of Global Enterprise (DoGE)

A new business model for accelerating the introduction of Electric Vehicles into private transport systems involves the provision by an Electric Recharge Grid Operator (ERGO) of an intelligent rechargeable network in advance of the vehicles themselves. The ERGO business model creates a market for co-ordinated production and consumption of renewable energy. The innovative contribution of the model rests in its ability to combine two problems and thereby solve them in a fresh way. One problem derives from utilizing power grids with a substantial increase in renewable electric energy production (as witnessed in the Danish case with wind energy) and managing the resulting fluctuating supply efficiently. The other problem concerns finding ways to reduce CO2 emissions in the transport sector. The ERGO business model effectively solves both problems, by transforming EVs into distributed storage devices for electricity thus enabling a fresh approach to evening out of fluctuating and unpredictable energy sources while drastically reducing greenhouse gas emissions. This integrated solution carries many other associated benefits, amongst which are the possibility of introducing vehicle-to-grid (V2G) distributed power generation; introducing IT intelligence to the grid, and creating virtual power plants from distributed sources; and providing new applications for carbon credits in the decarbonisation of the economy. The countries and regions that have signed on to this model and are working to introduce it in 2009-2011 include Israel, Denmark, Australia, and in the US, the Bay Area cities and the state of Hawaii.

TidsskriftEnergy Policy
Sider (fra-til)2481-2486
StatusUdgivet - 2009

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