Plugged in and powered up: EV charging, grid stability, and V2G
Australia is accelerating along the highway to an electric vehicle (EV) future with the pedal to the metal. Well, maybe not at breakneck speeds - but year-on-year growth in new passenger vehicle sales saw EV sales reach 91,293 units in 2014, a 4.6% increase from the 87,217 sold in 2023 and a 7.4% share of the overall new car market. There’s every indication the momentum will continue, with unit sales expected to fly past 157,900 vehicles by the end of the decade.
However, with growth comes challenges:
- Will infrastructure keep pace with adoption?
- Can the grid handle surging demand?
- How quickly can regulatory frameworks adapt?
With new incentives and industry collaborations underway, EV adoption is happening, but critical speed bumps and roadblocks remain.
Critical focus areas include charging infrastructure, vehicle-to-grid (V2G) technology, and grid stability.
Infrastructure expansion: Making range anxiety a thing of the past
Range anxiety remains a concern. However, the challenge is being addressed through two primary avenues:
- improved battery performance leading to longer range, and
- deployment of public fast chargers along key strategic routes.
Australia’s existing direct current fast charger network - primarily built out through state and federal programs - assures drivers of reliable long-distance travel.
Western Australia's extensive EV charging highway is a prime example of infrastructure expansion that supports long-distance travel.
With the dual goals of enhancing connectivity and boosting tourism, it’s now Australia’s longest EV charging network, comprising 110 charging points at 49 pit stops from Mundrabilla to Kununurra - in total, a whopping 7,000 kilometres.
Jointly delivered by Synergy, WA’s largest supplier within the South West Interconnected System (SWIS), and Horizon Power, the regional electricity provider, it’s part of a $43.5 million state government investment.
Urban kerbside charging
Meanwhile, urban areas focused on integrating kerbside charging into existing street infrastructures.
In February, the Australian Renewable Energy Agency (ARENA) announced $2.4 million for 250 public kerbside EV chargers in 60+ local government areas across Victoria, New South Wales and South Australia. EVX Australia will utilise existing power poles in urban and residential areas to make charging more accessible for residents without private garages.
Also in collaboration with ARENA, Ausgrid will deploy 50 power-pole-mounted 7.4kW EV chargers across various locations, and Evie will set up at least 42 ultra-fast charging sites along major highways across Adelaide, Perth, and Tasmania, and Ampol will integrate charging stations into traditional service station forecourts.
Workplace charging and public fast charging are other developments making charging more accessible.
From range anxiety to queueing anxiety
Australia’s Electric Vehicle Council is confident that with an expanded public fast-charging network, “range anxiety will become a thing of the past,” according to EV infrastructure officer Michael Shaughnessy.
Some argue we have already crossed the range anxiety finish line.
Solar Choice CEO Jeff Sykes told Energy Insights: “From our experience, range anxiety is mostly discussed by people who do not own an EV. Most EV drivers quickly realise that there is already plenty of charging infrastructure to support their driving habits.”
As the charging network matures, a new phenomenon is surfacing - that of "queuing anxiety", sparked by:
- charger availability, with users worried about downtime or occupied stations, and
- customer experience, where seamless charging processes are expected.
Because many public chargers are now available in places like workplaces, shopping centres and other dwell points such as parking stations, “EV drivers want the charging experience to be as seamless as possible,” said Alex Grant, ARENA’s director of business development and transactions.
“This leads to behaviour changes, such as opportunistically charging whenever the car is stationary where possible,” he explained.
Vehicle-to-grid: Turning EVs into home batteries
Late last year, new standards gave the green light for vehicle-to-grid (V2G) technology, allowing EV’s lithium-ion battery, which is often four to five times bigger than a typical 12 to 14 kWh home storage battery, to discharge power back to homes and the grid.
Bidirectional charging has been technically possible for years - but so far only South Australia has given the green light to install V2G chargers in homes. These new standards regulate critical hardware like inverters and bidirectional chargers, ensuring safe and efficient two-way power sharing.
There’s also a trial with Australia’s science agency CSIRO and Essential Energy to test self-consumption, solar-soak, and grid-export capabilities in regional Australia.
Shaughnessy believes V2G is a revolutionary technology that will “stabilise the grid while simultaneously reducing energy bills for all Australians.”
Bidirectional charging has the potential to reduce power bills, improve the resilience of homes and the grid, and take advantage of rooftop solar uptake.
“There is already enough battery capacity in existing EVs in Australia to power the entire Australian grid for 30 minutes,” said Sykes. “Once this capacity can be harnessed, people will start to think of EVs as offering a way to eliminate electricity bills and generate income, rather than simply a way of getting from A to B.”
The main challenge arises from EV owners needing to cede control over their battery to a third party to enable much of this functionality. This requires a shift in thinking and is likely to be a barrier to adoption in the early stages.
Rebates for V2G-compatible charging stations and support for manufacturers are among the key measures to encourage uptake.
The recently published National Roadmap for Bidirectional EV Charging makes some key recommendations to accelerate the implementation of V2G:
- time-limited rebates for installations,
- support for manufacturers in homologating V2G-compatible products for the Australian market, and
- improved communication and awareness of the benefits of bidirectional EV charging.
Grid capacity and stability: Ready for the surge?
Questions arise about the grid’s ability to handle increased loads.
Higher energy consumption and instantaneous power draw requirements can lead to challenges like power loss or nuisance tripping at charging sites. Many areas have outdated grids and insufficient charging stations. Companies like Ampol have experienced slower-than-expected rollouts of fast-charging networks, with numerous charging bays awaiting grid connection or under construction.
However, the increased load from the cars charging at home isn’t going to be an immediate issue at the system level in the near term, Shaughnessy explains.
“The majority of EV charging does not happen at peak time and the transition to EVs will take many years,” he said.
Individual fast-charging installations and the electrification of transport depots often require localised upgrades.
Australian businesses can see the growing uptake of EVs and are taking steps to prepare. Electricity retailers are offering new products, including flexible tariffs, bundled EV leases and home charging solutions, including 'Charging-as-a-Service'.
For example, AGL Energy offers EV subscription models with bundled energy plans, flexible tariffs, and home charging solutions. Powershop Australia has renewable energy plans tailored for EV owners, including Charging-as-a-Service solutions.
“Networks have long seen the opportunities and challenges of higher electricity demand and have incorporated this into their infrastructure planning,” said Grant.
The primary way that Australia is building additional electricity capacity is through renewable projects like solar farms, wind farms and hydro projects.
Community batteries are another solution. These projects store renewable energy locally, smoothing out demand spikes from EV charging.
However, Sykes remains cautious: “The economic case for community batteries is largely unproven in Australia… There will definitely be a role for large batteries in the future grid of Australia, but in my opinion, it is more likely that these will be large-scale batteries connected at high voltage and residential batteries installed in people's homes.”
V2G is also an essential development to unlock the power of vehicle batteries to support the grid, which will bring down costs for everyone.
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