Avoid the Rebate Rush: Book in Now for the NSW Battery Incentive
Avoid the Rebate Rush: Book in Now for the NSW Battery Incentive
Posted 8 Oct
Continuing on from our other articles, we wanted to cover various aspects of Vehicle-to-Grid and Bidirectional charging in Australia. We created an article around the introduction of V2X technology, and another on how Australia’s energy could be revolutionised by bidirectional charging, and now we’re here where we explore where Australia is up to in its V2G development, how far we have left to go, as well as upcoming projects set to push us forward!
Our Articles Surrounding V2G & Bidirectional Charging in Australia:
Amber, a popular wholesale energy provider, has been creating shockwaves in the electricity market with their innovative approach to energy distribution. They have technologies that allow properties to act like a Virtual Power Plant, where solar and battery owners can be self-reliant, but also trade their energy automatically using Amber Smartshift™, on the wholesale energy market depending on their preferences.
The recent partnership between Amber and the Australian Renewable Energy Agency has represented a significant step in realising a technology that could completely change the way Australia's energy works by unlocking Vehicle-to-Grid capabilities.
The collaborative project is designed to optimise electric vehicle charging and vehicle-to-grid capabilities, providing the necessary testing and framework including pricing, which is needed to accelerate this bidirectional grid charging technology forward.
Over the next 3-years, this project will roll out and conduct its testing with over 1,000 customers to participate in EV smart charging and vehicle-to-grid trials over Australia in NSW, QLD, SA, VIC, and ACT.
Whilst this is a project supported by ARENA with their $3.2 million boost, Amber is heading into this project on the front foot with an additional $4.5 million investment from the company to support the development of optimisation technology, and the trial’s costs of installing chargers for 150 participants.
Similar to the current battery storage technology when connected to Amber, customers can directly pair with the wholesale electricity market, which allows them to buy and sell energy at times that is most beneficial to grid stability and demand to earn rewards.
To take this to the next level, adding electric vehicles to a system like this would significantly change the way Australia’s energy works.
An electric vehicle’s battery can range from 16kWh to 100kWh+ which would mean that even the smaller batteries can still hold more than most current home battery systems. Home battery systems, which commonly range between 5-20kWh can power a home for a few days during blackouts, depending on usage.
A Tesla Model Y has a 60kWh battery, which would have around 6x the amount of energy that the average home battery would have. Imagine a network of thousands of electric vehicles, all connected to provide a stable electricity network to balance demand and supply. This would be truly game-changing.
Over the next few years, Amber and ARENA will be testing this technology and developing a framework and process around Vehicle-to-Grid technology.
We are currently in the initial phase for enrolment in smart charging.
The second phase, beginning in 2025 will start testing bidirectional charging capabilities, powering homes, and selling power back
into the grid when demand is high.
We can expect that as time goes on, policies around bidirectional charging will continue to develop, and more electric vehicle manufacturers will continue and begin to implement bidirectional capabilities into their electric vehicles.
With Australia’s goal of reaching NetZero by 2030, elements like solar, battery, and now potentially V2G, all play a part in contributing to a more sustainable future by reducing transportation emissions.
The good news is, that the NSW Government, manufacturers, and service providers all know about bidirectional technology and its potential impact on Australia’s electricity.
According to the ‘V2X Summary Report’, created by enx consulting for the Australian Renewable Energy Agency (ARENA), it dives deep into aspects of vehicle-to-X applications like typologies, standards, framework, certifications and opportunities, which helps us get a better idea of Government insights and concerns.
V2G load shifting is when an electric vehicle stores electricity in low demand periods to discharge in peak
periods to help reduce overall network demand. This allows for a greater balance in the overall electricity load by using EVs as mobile
energy storage stabilisers.
According to researchers, amidst the renewable energy transition, it is predicted that Australia will need to fulfil the required 640GWh of energy storage needed by 2050. This requirement could be filled by electric vehicles by up to 4x the required amount.
“By the early 2030’s, EV fleet battery capacity is likely to surpass all other forms of storage in the NEM.” - (Page 3).
Australia, compared to other Powers like Germany, South Korea, Netherlands, and California, lack the policy framework to help accelerate the development of bidirectional charging solutions. At this rate, Australia may be left behind in the early stages of V2X development with deficiencies of our engagement in international standards development and certification processes.
The NRMA, iMOVE, and the University of Technology of Sydney (UTS), have combined forces to further develop V2G/V2X applications and support Australia's transition.
Existing standards like AS 4777.2:2020 need to be altered to become more inclusive of V2X technologies like V2G (Vehicle-to-Grid), V2H (Vehicle-to-Home), and V2B (Vehicle-to-Building).
Other framework like OCPP, which is the primary framework for managing electric vehicle supply equipment (EVSE) are still developing V2X functionality.
'Established local communications protocols should be supported by EVSE OEMs (e.g. as Modbus TCP/IP), to enable advanced V2G applications (e.g., flexible export limit conformance, frequency response).' - (Page 3).
In addition to the technology, network tariff development will also play an important role in the encouragement of consumer and other stakeholder participation with rewards.
The rate of which we see V2G solutions become available, depends heavily on these standards being mature, progressive, and aligned universally in any given market. Currently, only few markets have their market, regulatory, and policy settings fully developed.
Australia has not developed standards around important factors of EVSE components which means there are no guidelines for EVSE for standards and certification. Whilst there are some broader requirement guidelines, manufacturers conduct higher risk in developing V2G solutions compared to other, more developed guidelines in other countries.
IEC 61851 is an international standard which sets guidelines around electric vehicle charging systems using cables (conductive charging) which was developed by IEC Technical Committee with applies to different countries, including Australia.
Mode 2 – where an EV is connected to an AC grid though a cable incorporating protection and charging control infrastructure; the cable is in turn connected to an electrical outlet.
Mode 3 – where an EV is connected to an AC grid through a hard-wired EVSE incorporating relevant protection and charging control infrastructure.
Mode 4 – where an EV is connected to an EVSE through DC, and the EVSE handles protection, charging control and current conversion.
V2G charging won’t be available for level 1, or ‘mode 2’ charging where an EV is connected to AC through a cable connected to an electrical outlet. This is due to requirements of Australian wiring rules that don’t allow 2-way power flows through standard outlets.
V2G chargers are defined as an ‘embedded generating unit’ (Chapter 5A of the National Electricity Rules) and are subject to ‘basic connection service’ and ‘model standing offer’ similar to a solar or battery installation. Like Inverters, upon installation and connection to an electricity distribution network, the network operator must ensure the V2G charger is compliant.
Leaders in the industry have suggested that there could be various 5kW+ V2G DC to AC charger options available in Australia. These could cost approximately $3500 for the units, as well as additional installation costs. Like any product, with strong demand comes valuable competition which should reduce the price and help make the technology more accessible.
V2G isn’t just an evolving technology in Australia, it is a potential revolution global energy, with countries all over the world all contributing with trials and testing of their own. See worldwide V2X statistics here.
These trials include the demonstration of frequency control, time shifting, and peak shaving, and whilst most testing has been conducted on CHAdeMO standards, the industry is shifting towards using CCS-based V2G standards.
Conducting trials on CCS can support the industry’s understanding of product development, service systems, and consumer preferences to refine stakeholder experiences.
Currently, most policies that support V2G technology remain in the proof-of-concept stage with the initiation of commercial trials. This lack-of-progression is likely caused by the lack of CCS-based V2X solutions, however goals are being hit with news like California making it a legal requirement to include bidirectional capabilities in every EV sold in California by 2027.
We mentioned this in our bidirectional charging article, but according to CharIN, 2025 is predicted to be the year of CCS-based V2G technology. EV manufacturers like Volkswagen, Skoda, Polestar, and Volvo have all announced they will implement V2G technology by 2025.
New electric vehicles in Europe and Australia will all be based on the CCS Type 2 connector and use the ISO 15118 suite of communications standards for V2G.
The release of V2G capable electric vehicles in Australia will be dependent on a number of factors including overall EV supply, manufacturers to realise the financial-case, consumer readiness and demand, and Australian policy and regulatory framework.
Globally, there is lots of interest from both electric vehicle and charger manufacturers, as well as other stakeholders including consumers.
Kia recently announced a partnership¹ with Wallbox, combining the Kia EV9 and Wallbox Quasar 2 bidirectional charger. The Kia EV9 with its current hardware² supports V2G, only really marketed in European market, however the Quasar 2 is currently not available yet in Australia.
In recent news Nissan has joined BMW, Ford, and Honda in founding ChargeScape, a EV integration company for vehicle-to-grid development. This will help develop the technology in a more collaborative standardised way.
¹ ‘Imagine smart charging your EV9. Powering your home with energy stored in its battery
and keeping your lights on during a blackout. With Quasar 2, you may be able to accomplish all of these. Quasar 2 is expected to be
available in 2024.’
– Partnership Page.
² ‘Every EV9 is also ready for smart charging (V1G), Vehicle-to-Grid (V2G), and Vehicle-to Home or Vehicle-to-Building (V2H/V2B). These features will gradually be introduced throughout European markets’
– Page 33 of the EV9 Fact sheet.
Along with the rapid uptake of rooftop solar and battery storage, bidirectional charging could become Australia’s largest energy resource in the renewable energy transition.
During the worldwide solar uptake, Australia became leaders in rooftop solar adoption. Similarly, Australia has the opportunity to extend this leadership and become a rapid adopter of Vehicle-to-grid technology.
V2G technology could play a crucial role in supporting flexibility in the energy market, helping manage fluctuating dynamics of wholesale electricity high Frequency Control Ancillary Services (FCAS) prices, variable retail electricity prices, and network constraints.
As the renewable energy transition continues, the need for flexible storage solutions such as V2G is likely to increase in demand.
The NEM (National Electricity Market) already supports distributed energy resources (DERs) like rooftop solar, through existing frameworks in both the FCAS and wholesale markets. Dynamic operating envelopes (DOEs) will enhance the value of V2G, primarily in peak demand periods.
Lastly, Australia already has existing connection standards for small-scale inverter grid connections that support high levels of distributed generation.
ChallengesCurrent challenges that DNSPs are facing with Vehicle-to-grid technology. |
MethodologyPossible solutions for challenges in V2G. |
Changes in inverter standards and CEC/SAA approved product preventions for EVSE |
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Guaranteeing successful communication of behind-the-meter devices for manging export limits |
Bidirectional DOEs & visibility of bidirectional and smart charging |
Customer understanding, interest, engagement, value, and preferences (V2H vs. V2G) |
Consumer education around V2X benefits and potential |
Absence of V2X equipment supply and high expenses |
Refined pricing and connection processes to accommodate various technologies and encourage innovation |
The implementation of dynamic tariffs for efficiency |
Increase cost-effective and dynamic tariffs |
Electric vehicle battery degradation fears due to V2G usage |
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Lack of confidence around scaling and timing of adoption |
Appropriate prioritisation of device management for grid protection, as opposed to customer value purposes |
Premature CSS-based V2G technology |
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Identification of technical capabilities |
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Concerns of security of data and privacy |
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Load balancing in conjunction with grid stability |
Increase in flexible services that aid minimum and peak demand |
Coordinating stakeholders in the industry |
Whilst we wait for vehicle-to-grid technology to reach Australia, we are starting to see some development in terms of trials and testing to ensure our standards and the overall experience are as refined as possible. Aspects like premature standards, lack of solutions and innovation, and stakeholder awareness and interest are most likely responsible for the delays of vehicle-to-grid technology in Australia.
We are starting to see vehicle-to-x emerge in other countries that are embracing this revolutionary energy technology to assist electricity grids with balanced demand and supply, and hopefully this will entice Australia to get on board.
The journey of bidirectional charging in Australia has hit a milestone with the recent approval of the new standard for vehicle-to-grid (V2G) charging for 2025.
Amber & ARENA have started trials for Vehicle-to-grid technology in NSW, Australia to help develop standards and framework in V2G and Bidirectional charging.
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