Vehicle-to-grid and flexibility for electricity systems : from technical solutions to design of business models Olivier Borne To cite this version: Olivier Borne. Vehicle-to-grid and flexibility for electricity systems : from technical solutions tode- sign of business models. Electric power. Université Paris Saclay (COmUE), 2019. English. NNT : 2019SACLC023. tel-02101210 HAL Id: tel-02101210 https://tel.archives-ouvertes.fr/tel-02101210 Submitted on 16 Apr 2019 HAL is a multi-disciplinary open access L’archive ouverte pluridisciplinaire HAL, est archive for the deposit and dissemination of sci- destinée au dépôt et à la diffusion de documents entific research documents, whether they are pub- scientifiques de niveau recherche, publiés ou non, lished or not. 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Vehicle-To-Grid and Flexibility for 023 C Electricity Systems: from Technical SACL Solutions to Design of Business 2019 : Models NNT Thèse de doctorat de l'Université Paris-Saclay préparée à CentraleSupélec École doctorale n°575 Electrical, optical, bio: physics and engineering (EOBE) Spécialité de doctorat: Génie Electrique Thèse présentée et soutenue à Gif-sur-Yvette, le 19 Mars 2019, par Olivier Borne Composition du Jury : Éric Labouré Professeur, Université Paris-Sud Président du Jury Pablo Frias-Marin Professeur, Universidad Pontificia Comillas Rapporteur Seddik Bacha Professeur, Université Grenoble Alpes Rapporteur Willett Kempton Professeur, University of Delaware Examinateur Marc Petit Professeur, CentraleSupélec Directeur de thèse Yannick Perez Maître de Conférence, CentraleSupélec Co-Directeur de thèse Virginie Dussartre RTE Invitée Bernard Sahut PSA Groupe Invité TABLE OF CONTENTS TABLE OF CONTENTS ................................................................................................ I LIST OF FIGURES ..................................................................................................... V LIST OF TABLES ...................................................................................................... IX INTRODUCTION: ELECTRIC VEHICLES AT THE CONVERGENCE OF TWO INDUSTRIES IN MUTATION ......................................................................................... 1 1 Mutation of the Automotive Industry: The Emergence of Electric Vehicles ................ 2 1.1 Environmental Impacts of the Transport Industry ............................................................. 2 1.2 Involvement of Policy Makers in the Development and Diffusion of Electric Vehicles ..... 5 2 Mutation of the Electricity Industry: Liberalization and Decarbonization .................. 10 2.1 Liberalization of Electric Industries and Design of Electricity Markets ........................... 10 2.2 Towards Massive Penetration of Renewables and Distributed Energy Resources ....... 13 2.3 The Challenge of Increasing Flexibility Requirements ................................................... 15 3 Using Electric Vehicles as Distributed Flexibility Assets ............................................ 16 3.1 Challenges and Opportunities of Massive Diffusion of EVs for Electricity Systems ...... 16 3.2 Which Flexibility Services for Fleet of EVs? ................................................................... 18 3.3 A Literature Review on Smart Charging of Electric Vehicles ......................................... 23 3.4 Toward the Elaboration of Business Models for Aggregator .......................................... 25 4 Thesis Organization ......................................................................................................... 26 IMPACT OF MARKET RULES ON PROVISION OF FLEXIBILITY BY DISTRIBUTED ENERGY RESOURCES: A QUALITATIVE ANALYSIS ................................. 27 1 Barriers to Entry for New Entrants in Flexibility Markets ............................................. 28 2 Modular Analysis of Barriers to Entry ............................................................................ 29 2.1 Module A: Administrative Rules Regarding Aggregation of Distributed Energy Resources 29 2.2 Module B: Definition of Products .................................................................................... 30 2.3 Module C: Remuneration Scheme ................................................................................. 31 2.4 A Tool for Investors and Policy Makers .......................................................................... 32 3 Costs Associated with the Opening of Markets ............................................................ 33 4 Two Case Studies: Geographic Comparison and Evolution of Regulatory Framework 34 4.1 Comparison of Four Market Zones in 2016 .................................................................... 34 4.2 Evolution of Regulation in France: Towards the Creation of a Single Market Zone in Central Western Europe ............................................................................................................. 39 5 Partial Conclusion ............................................................................................................ 45 i REVENUES AND PROFITABILITY ANALYSIS OF A FLEET OF ELECTRIC VEHICLES PROVIDING FLEXIBILITY SERVICES ........................................................... 47 1 Simulation of Fleets Participating to Frequency-Containment-Reserve ..................... 48 1.1 Description of the Model ................................................................................................ 48 1.2 Validation of the Model ................................................................................................... 55 2 Revenue Analysis of a Fleet of Bidirectional EV Chargers Providing Frequency Containment Reserve ................................................................................................................... 57 2.1 Market-Designs and Rated Power Scenarios ................................................................ 57 2.2 Results ........................................................................................................................... 58 3 Net-Present-Value Analysis of an Investment in Bidirectional EV Chargers .............. 61 3.1 Model and Base-Case Scenario .................................................................................... 61 3.2 Sensitivity Analysis ......................................................................................................... 66 4 Partial Conclusion ............................................................................................................. 73 EVALUATION OF THE VALUE OF COOPERATION BETWEEN AGGREGATOR AND CAR MANUFACTURER ...................................................................................... 75 1 Roles of the Aggregator And Value Chain Of Smart Charging .................................... 76 2 Presentation of the Model: Actors and Case Studies ................................................... 77 2.1 Actors ............................................................................................................................. 77 2.2 Calculation of Net Present Value of Car Manufacturer and Aggregator ........................ 80 2.3 Presentation of Case-Studies ........................................................................................ 83 3 Results ............................................................................................................................... 87 3.1 Smoothing of Revenues Function .................................................................................. 87 3.2 Case-Study 1.................................................................................................................. 88 3.3 Case-Study 2.................................................................................................................. 90 3.4 Case-Study 2bis: Introduction of bargaining power of the Manufacturer ....................... 92 3.5 Case-Study 3.................................................................................................................. 94 4 Analytic Model ................................................................................................................... 98 4.1 Reference 1 .................................................................................................................... 99 4.2 Reference 2 .................................................................................................................. 100 4.3 Case-Study 1................................................................................................................ 101 4.4 Case-study 2 ................................................................................................................ 102 4.5 Case-Study 3................................................................................................................ 104 4.6 Validation of Analytic Model ......................................................................................... 107 4.7 Sensitivity Analysis ....................................................................................................... 108 5 Partial Conclusion ........................................................................................................... 111 CONCLUSION AND RECOMMENDATIONS ................................................................. 113