Electric Companies and the EV Revolution · Why electric transportation? 0 500 1000 1500 2000 2500...

NCSL Legislative Summit – Energy Policy Summit

Monday, August 8, 2016

Chicago, IL

Electric Companies and the

EV Revolution

2

Why electric transportation?

Can the grid handle electric transportation?

How can electric companies accelerate the transition,

and manage it in such a way that it benefits all

customers?

Key Questions

3


SOURCE: EPRI-NRDC, Environmental Assessment of a Full Electric Transportation Portfolio

Widespread

transportation

electrification

reduces greenhouse

gas emissions by

48% to 70%

Relative Emissions for Passenger Cars

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n M

etr

ic T

on

s o

f C

arb

on

Dio

xid

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CO2 Emissions by Sector

Electric Power

Transportation

Electric Power:

more than 20%

reduction from

2005 levels by end

of 2015

Transportation:

decreased 10%

2005-2012, but

increased 5%

through 2015

SOURCE: EIA, July 2016 Monthly Energy Review

5


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$/g

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Gasoline vs. Electricity Price (real price, July 2016)

SOURCE: EIA, Short-Term Energy Outlook, July 2016

*Equivalent electricity price assumes average vehicle fuel economy of 27.9 mpg, PEV efficiency of 0.33 kWh/mi

Residential Electricity ($/gal equivalent)*

Regular Gasoline ($/gal)

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Can the grid handle electric

transportation?

SOURCE: Seattle City Light

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transportation?

2010 2020 2030

SOURCE: E3, California Transportation Electrification Assessment, Phase 2: Grid Impacts

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transportation?

SOURCE: Nancy Ryan, E3, Plug-in Vehicles from the Utility, Ratepayer and Grid Perspective

Net Revenues from PEV Charging LoadIllustrative results for California Utilities

Revenue Cost

9

How can electric companies

accelerate electric transportation?

What How Who

VehiclesAffordable

Available

• Technology cost

• Models in key

segments, markets

• Incentives

• Automakers

• Governments

Charging

InfrastructureAffordable

Available

• Grants/loans

• Electric company

programs

• Business models

• Electric companies

• Equipment/service

providers

• Governments

ConsumersAwareness

Interest

• Word of mouth

• Dealers

• Campaigns

• Advisory services

• Automakers

• Electric companies

• Governments

• All stakeholders

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SOURCE: NERC

Electric Power Grid

• Ubiquitous

• Safe, affordable, reliable

• Increasingly clean

• Modernization underway

11



Transformer

Meter

Service

Panel Vehicles

Conduit/

Wiring

Charging

Station

SOURCE: Southern California Edison

Service Connection Supply Infrastructure Charger Equipment

Electric company Customer

Charging Infrastructure

• More needed to serve market

• Challenging business case

• Multiple networks, standards

• Complicated for users, customers

12

Example: California

CPUC Decision 11-07-029 (July 14, 2011): blanket

prohibition on electric company ownership of charging

infrastructure

CPUC Decision 14-12-079 (December 18, 2014):

prohibition lifted, accept applications on case-by-case

basis

SB-350 (September 11, 2015): “widespread

transportation electrification” added to principle goals

of electric companies, requires CPUC to direct electric

companies to file applications



13

Example: San Diego Gas & Electric

“Power Your Drive” program

Install 3,500 charging stations at multi-

unit dwellings and workplaces

Dynamic rate encourages smart charging




Electric company owned and operated

SOURCE: San Diego Gas & Electric, http://www.sdge.com/clean-energy/electric-vehicles/poweryourdrive

http://www.sdge.com/clean-energy/electric-vehicles/poweryourdrive

14

Example: Southern California Edison

“Charge Ready” program

Install up to 1,500 charging stations at

long-dwell locations in Phase 1

Rebate for charging equipment




Electric company owned and operated Rebate

SOURCE: Southern California Edison, https://on.sce.com/chargeready

https://on.sce.com/chargeready

15

Example: Avista Utilities (Washington State)

HB 1853 (May 11, 2015): clear policy directive

Install 265 charging stations at long-dwell locations, plus 7 DC

fast chargers

Rebate to reimburse premises wiring upgrades

$100 dealer incentive for data acquisition


Electric company Rebate Electric company

SOURCE: Avista Utilities



16

Example: Oregon

- SB 1547: Clean Electricity and Coal Transition Plan

(3/8/2016)

- Requires PUC to direct electric companies to file applications

to accelerate transportation electrification, which may include

charging infrastructure

- Applications expected before the end of the year

Example: Utah

- SB 115: Sustainable Transportation and Energy Plan

(3/29/2016)

- Requires PUC to authorize electric company program to

incentivize electric vehicle infrastructure

- Action required before July 1, 2017



17

Example: KCP&L

- “Clean Charge Network”

- Up to 1,200 charging

stations



Example: Georgia Power

- “Get Current. Drive Electric”

- 20+ Community Charging

islands

SOURCE: (left) ClimateWire, How Kansas City became the EV mecca of the Midwest; (right) Georgia Power

18



SOURCE: Pacific Gas & Electric

PG&E and BMW

iChargeForward pilot project

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Electric transportation has significant public benefits

The grid can handle major transportation electrification

with minimal cost

Electric companies can help accelerate the transition

- Improved system utilization puts downward pressure on rates

- Patient capital can break the chicken and egg problem,

expand the pie for all players

- Deploy at scale with expected safety, reliability, affordability,

for all customers

- Flexibility: determine what is best for your market

Now is the time to get started

Recap

The Edison Electric Institute (EEI) is the association

that represents all U.S. investor-owned electric companies.

Our members provide electricity for 220 million Americans,

operate in all 50 states and the District of Columbia, and

directly employ more than 500,000 workers.

With $100 billion in annual capital expenditures, the electric

power industry is responsible for millions of additional jobs.

Reliable, affordable, and sustainable electricity powers the

economy and enhances the lives of all Americans.

EEI has 70 international electric companies as Affiliate

Members, and 270 industry suppliers and related

organizations as Associate Members.

Organized in 1933, EEI provides public policy leadership,

strategic business intelligence, and essential conferences

and forums.

For more information, visit our Web site at www.eei.org.

Electric Companies and the EV Revolution · Why electric transportation? 0 500 1000 1500 2000 2500...

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