EY and Eurelectric expect EV battery capacity to surge by 2030

Eurelectric released its study, Plugging Into Potential: Unleashing the Flexibility of EVs, and found that this immense 114TWh capacity could be achieved by avoiding renewable energy curtailment, which the industry hasn’t fully exploited.

To put 114TWh into context, this is the equivalent of 4% of Europe’s annual power supply, enough to supply 30 million homes across the continent annually. EY also participated in the study by conducting modeling exercises to better understand the trajectory of EV battery capacity. They found this figure could rise to 10% of Europe’s overall power needs by 2040 through Vehicle to Grid (V2G).

Eurelectric’s study comes as the industry recognises the need for additional flexibility. With flexibility needs expected to increase by 100% by 2030 due to more electrification, smart charging will help balance networks at local and national levels. It’s also estimated that up to 6% could be reduced from peak load spikes.

Although there are significant benefits available, Eurelectric recognises significant challenges remain. Notably, consumers lack real economic incentives to tap into the green revolution. It’s viewed as one of the key barriers to EV adoption, with many consumers still unsure whether the high upfront costs of electrification are economically worth it to them.

However, increasing the capacity and usage of EV batteries is widely expected by the industry to be one of the most influential moves, as consumers remain concerned about the range of current EVs. Additionally, charging availability must increase with better batteries to provide drivers with peace of mind.

EVs offer tremendous flexibility potential, but the issue remains customer buy-in. Without consumers buying into the EV revolution, it will be extremely difficult to justify its deployment economically.

According to EY Global Power & Utilities Leader, Serge Colle, “There’s all of these elements, from infrastructure to signals to data interoperability. But all of that ultimately translates back to the customer who trusts that this all has no impact on their convenience, no impact on their equipment… and that they can make money by keeping the car connected to the grid.”

V2G is seen as one way to help manage overall European electricity loads, and batteries with more capacity will help with that, but ultimately, it all comes down to encouraging EV drivers to participate.