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4 The Electric Grid
Pages 49-56

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From page 49...
... Gridintegration of PEVs might enable the provision of additional services by utilities, particularly if achieved on a large scale; any issues pertaining to these new potential applications will be addressed fully in the committee's final report. THE ELECTRIC GRID AND ITS INTERACTION WITH PLUG-IN ELECTRIC VEHICLES PEV recharging causes a new kind of service demand for the electric grid.
From page 50...
... Fixed charges can be used in the rates for all customers and are intended to recover the fixed costs of operating the electric grid, such as the investment needed for transmission and distribution infrastructure. In addition to fixed charges, residential customers most often have volumetric rates, whereas larger commercial and industrial customers are frequently billed on both a demand and a volumetric basis.
From page 51...
... Upgrades of the local distribution infrastructure might be required if the electric vehicle charging load occurs at the same time as the maximum electricity demand for a given section of the grid, as would be the case for any other type of electric load. For that reason, utilities have historically provided an incentive to customers to distribute their electricity consumption evenly throughout the day by imposing demand charges that are intended to reward customers with flat, unvarying loads during the day and penalize customers that have "spiky" electricity load consumption during the day.
From page 52...
... , and other stakeholders to develop national rate-structure guidelines for PEV loads that allow reasonable recovery of costs of providing service to PEVs while not hindering PEV adoption or installation of PEV infrastructure. In addition, the Federal Energy Regulatory Commission and DOE could convene discussions with NARUC and other stakeholders and analyze the benefit of time-varying rates for PEV owners and utilities.
From page 53...
... Many states have adopted renewable-portfolio standards to decrease GHG emissions from 1 A recent dialogue group convened by C2ES, which included PEV charging-service providers, utility regulators, and utilities, recommended the following: "Utilities wishing to act as a PEV service provider should do so through unregulated affiliates as the use of ratepayer dollars could provide utilities with an unfair competitive advantage. Further, utilities should be allowed to own and operate EVSE for internal use, for demonstration purposes, and in areas that the private market would not support otherwise" (C2ES 2012, pp.
From page 54...
... rate structures available to most commercial and industrial customers and some residential customers are an incentive to PEV owners and utilities in that they encourage charging at times when there is lower-cost generating capacity available and thereby reduce cost effects on the grid. • Regulating third-party entities (nonowner, nonutility charging-service providers)
From page 55...
... 2007. Environmental Assessment of Plug-in Hybrid Electric Vehicles, Volume 1: National Greenhouse Gas Emissions, Final Report.
From page 56...
... 2009. Cost-effectiveness of greenhouse gas emission reductions from plug-in hybrid electric vehicles.


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