40 Feasibility Study for Electric Vehicle Utilization as Grid …
615
Fig. 40.7 Cost reduction at peak period with natural tariff
Economic Analysis
40.4.3 Potential Reduction of Cost Generation
Figure 40.7 shows the potential revenue improvement from cost generation reduction
for the power company (operator) with proposed tariff. Case 5 and case 3, with
a natural tariff and gas replacement, leads to the highest annual improvement of
approximately 26.5% on peak period for the electric company as compared to other
cases. It is caused by the longest V2G participation time as compared to other cases,
as the cost of gas fuel, which was reduced, is more expensive than the cost of V2G.
Massive EV adoption and participation in the V2G program can be considered as
potential way to achieve a high quality of electricity during weekdays with a stable
regulation framework. Coal replacement is not profitable for an electric company,
because the generation cost is still cheaper for producing electricity.
40.5 Summary
The revolution of transportation will impact the overall energy cycle directly and
indirectly in the future, including the fossil fuels which are currently mainly used for
ICEV and power generation in electricity sector. This study focuses on the potential
utilization of EVs in the Indonesian power grid, especially for peak load shaving and
cost of reduction.
As a developing country, the demand for electricity in Indonesia increases, leading
to several problems including those regarding peak time electricity growth. The
615
Fig. 40.7 Cost reduction at peak period with natural tariff
Economic Analysis
40.4.3 Potential Reduction of Cost Generation
Figure 40.7 shows the potential revenue improvement from cost generation reduction
for the power company (operator) with proposed tariff. Case 5 and case 3, with
a natural tariff and gas replacement, leads to the highest annual improvement of
approximately 26.5% on peak period for the electric company as compared to other
cases. It is caused by the longest V2G participation time as compared to other cases,
as the cost of gas fuel, which was reduced, is more expensive than the cost of V2G.
Massive EV adoption and participation in the V2G program can be considered as
potential way to achieve a high quality of electricity during weekdays with a stable
regulation framework. Coal replacement is not profitable for an electric company,
because the generation cost is still cheaper for producing electricity.
40.5 Summary
The revolution of transportation will impact the overall energy cycle directly and
indirectly in the future, including the fossil fuels which are currently mainly used for
ICEV and power generation in electricity sector. This study focuses on the potential
utilization of EVs in the Indonesian power grid, especially for peak load shaving and
cost of reduction.
As a developing country, the demand for electricity in Indonesia increases, leading
to several problems including those regarding peak time electricity growth. The