Pilot Projects Convert EVs into Batteries for the Power Grid

Published on Jun 24, 2025.
Pilot Projects Convert EVs into Batteries for the Power Grid

China is embarking on innovative pilot projects that leverage electric vehicles (EVs) as supplemental batteries for the power grid, aiming to stabilize electricity supply during periods of high demand while also creating new revenue opportunities for homeowners. According to industry experts, this initiative represents a transformative shift in energy management that could significantly benefit both the energy sector and individual consumers.

The National Development and Reform Commission has revealed plans for 30 pilot projects across nine cities, including major urban centers like Beijing, Shanghai, and Guangdong's Shenzhen and Guangzhou. These efforts are designed to foster the development of new energy systems and enhance the integration of electric vehicles into the existing power grid.

At the core of these initiatives is vehicle-to-grid (V2G) technology, which enables electric vehicles to serve a dual purpose: storing energy and returning it to the grid when needed. This not only helps manage peak electricity demand but also provides homeowners and charging station operators with an alternative revenue stream, as highlighted by the commission.

The plan stipulates that power grid companies will lead the charge with pilot initiatives, while provincial governments will take responsibility for developing necessary charging infrastructure. The national energy regulator aims to support the integration of connected vehicle applications into power trading systems.

According to Wang Zhiqiang, director of the energy division at the Shanghai Municipal Development and Reform Commission, the V2G concept allows electric vehicles to fulfill both personal transportation needs and contribute to grid stability by releasing stored power during electricity shortages. This creates a mutually beneficial scenario for individuals and society at large.

Wang expressed optimism about the future of V2G technology, positing that as awareness of its benefits increases among car owners and related technologies advance, engagement with discharge activities is likely to intensify. He further emphasized the technology's potential in reducing peak loads and balancing energy fluctuations from renewable sources, which is vital for a stable and low-carbon energy future.

Research from the State Grid Shanghai Electric Power Research Institute suggests that sales from V2G power can provide investors with reliable and predictable financial returns. The assurance of consistent income from energy sales back to the grid is poised to attract significant investment in V2G solutions and services.

However, the report cautions that it is crucial to establish precise standards for the discharge power of automotive batteries to ensure they meet the power grid's requirements without incurring adverse effects. Current discussions indicate a need for a clear definition regarding optimal discharge ranges.

Du Yang, deputy director of the power technology center at the institute, underscored the importance of evaluating whether high-power V2G discharge techniques align with actual electricity demand and the grid's capacity to handle such fluctuations. This is essential for ensuring the reliability of the power supply.

Zhu Gongshan, chairman of GCL (Group) Holdings Co Ltd, remarked that China's advancement in V2G, alongside other supportive technologies such as energy storage and smart microgrids, is crucial for ensuring grid stability. He noted that harmonizing distributed energy resources with traditional power systems will catalyze a significant shift towards market-driven growth.

GCL is committed to enhancing research and development in V2G technologies and promoting the synergy between energy storage and renewable resources. As the market for vehicle-grid interaction continues to evolve, standardization becomes imperative to optimize infrastructure and maximize efficiency.

SUSTAINABILITYENERGY INNOVATION

Read These Next

img
risk management

CaoCao Inc. Enhances Corporate Governance Amid Market Dynamics

CaoCao Inc. has embarked on a transformative journey to enhance its corporate governance by restructuring its board and forming key committees, demonstrating a commitment to compliance and financial oversight while navigating industry challenges.