Economic news

China targets better integration of EVs, grids to manage power demand

2024.01.04 11:41


© Reuters. FILE PHOTO: A parking bay reserved for electric car charging can be seen on display in London, Britain, October 19, 2018. REUTERS/Simon Dawson/File Photo

By Colleen Howe

BEIJING (Reuters) – China’s state planner has issued new rules on strengthening the integration of new energy vehicles with the electric grid, as the world’s biggest market for electric vehicles (EVs) aims to manage its power demand amid a transition to renewable energy.

The notice, published on Thursday by China’s National Development and Reform Commission, calls for the creation of initial technical standards governing new energy vehicle integration into the grid by 2025.

New energy vehicles will become an important part of the country’s energy storage system by 2030, it said.

As electricity demand surges due to the increasing popularity of new energy vehicles, solutions are being sought by governments and other stakeholders to prevent power networks from being overwhelmed.

Charging during off-peak hours as well as ‘vehicle-to-grid’ charging – where millions of EV owners could sell their EV batteries’ juice back to grid operators during peak hours – have been seen as potential solutions.

China is seeking to use those strategies to manage peak power demand through the integration of electric vehicles into the power system, according to the NDRC.

By 2025, NDRC said it would set up over 50 pilot programs in regions where conditions for vehicle-grid integration are relatively mature, including in the Yangtze River Delta, Pearl River Delta, Beijing, Sichuan and Chongqing.

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