As electric vehicles (EVs) gain momentum in reshaping the automotive landscape, it’s imperative to confront the practical challenges. The anticipated surge in EV adoption, projected to account for 33% to 50% of new car sales in the U.S. by 2030 (up from ~7% in 2022), raises critical concerns for the power grid.
In 2022, EVs consumed a mere 0.6% of total US electricity demand. However, with an estimated ~26 million EVs anticipated to be on the roads by 2030, electricity demand could surge as much as ~20%. By 2035, the increase might escalate to as much as ~40%, a stark contrast to the 5% growth in electricity demand witnessed over the last decade. This shift in electricity consumption will intensify pressure on the power grid.
Peak demand and grid issues
With the rise of electric vehicles (EVs), a unique set of strains are placed on the grid. To maintain grid reliability, balancing power supply and demand consistently is crucial. Easy usage and lower ownership costs has led policymakers and the industry to encourage residential charging. However, residential charging often aligns with when people return from work, coinciding with the existing peak power demand outside the solar energy supply window.
On a household level, having just one EV can raise electricity consumption by 40%, and with two EVs, it can nearly double. About 60% of U.S. households have two or more vehicles, so unregulated EV charging could disproportionately raise evening peak power demand. Without measures to smoothen this demand, increased peak demand will rely on coal-fired peaker plants, escalating emissions and impacting grid reliability, diluting the benefits of EVs in terms of emissions and costs.
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