Cost-Benefit Analysis of Optimal Charging Strategy for Electric Vehicle with V2G

Vehicle-to-grid (V2G) has the potential to offer financial benefits to Electrical Vehicles (EVs) owners and electricity utilities since excessive electricity supply places a heavy load on the electric system while V2G is suggested as a solution for peak shaving through the emerging demand response or ancillary service program in the wholesale electricity market. The battery pack of the EVs are considered as an energy storage device providing power and energy services to the power grid. In this paper, a Mixed Integer Linear Programming (MILP) formulation is developed to optimize the optimal charging and discharging of EVs based on the actual electric vehicle running data. The user's stochastic driving habits including arrival and departure times and their initial State of Charge (SOC), and their charging demand are also investigated by using Monte Carlo method to simulate the EVs usage. As a result, we found out that when V2G technology is used with less battery degradation, EV owners can achieve less cost and even earn a profit ¹ .