October 25, 2022
Distributed Energy: The Win-Win-Win for Electric Vehicle Charging Projects
By Kyle Manahan, Senior Manager, Energy Storage, and Imani Love, Analyst, Transportation Electrification
The Edison Energy Transportation Electrification team works with a diverse number of organizations seeking to take an important step into sustainable mobility. Throughout various phases of electrification – from early-stage planning to large-scale charging deployments – Edison Energy’s multifunctional teams draw on our shared expertise in the energy industry. As we expand, an increasing trend among clients is the exploration of integrated onsite energy solutions.
The Scenario
As an example, one Edison client is focusing their attention and efforts on electrifying their cross-country facilities’ sizable fleet of gas trucks to help meet their net-zero goal by 2035. This client is ordering Class 8 electric trucks but was told by their utility that it would take five years and require a budget of $4M to honor their request of six megawatts of power required for the associated electric vehicle (EV) charging. For the organization, the delay was deemed too lengthy and expensive to meet their carbon reduction goals.
Integration as a Solution
The client’s incorporation of electric trucks into their operations will significantly reduce their fleet’s carbon emissions. In addition, by switching their gas source from petroleum and diesel to electric, the client will see fuel and operational savings. And while the upfront cost to transition its fleet may require more investment, states like California offer incentives to reduce initial transition expenses. The transition to electric trucks will provide a reduction of carbon emittance into the atmosphere, but more power will be required from the organization’s local utility. This is where the integration of onsite distributed energy comes in.
The client’s facilities offer adequate roof and parking lot space to implement, averaging over one megawatt of onsite solar. If developed in participating states, solar projects alone generate Renewable Energy Credits (RECs) that, over time, offset the cost of solar. However, one barrier in using solar for EV charging is that the sun doesn’t always shine when electric trucks are charging.
But fear not – behind the shadows is the last piece of the integration puzzle: energy storage systems, or ESS. An ESS can be sized to meet all or part of the power requirements for EVs. Chemical or mechanical batteries “fill up” when solar is generating at a facility, and dissipate when power is required (e.g., EV charging). These systems can also offset utility demand charges (more expensive power when there’s higher grid demand) and can be used as resiliency measures.
The Outcome
By developing an integrated onsite solution, the client will reach their carbon goals in a cost-effective manner while normalizing their fleet’s fuel costs. This type of project creates a renewable energy “fueling” source for clean transportation. If planned correctly, integrated projects can save money on construction and expedite overall schedules. Additionally, Edison Energy brings incentives and financing options with our solutions so that organizations can plan for capital and operating expenditures over multiple internal budgetary cycles.
The Takeaway
Plan early and work with experts that understand the economic and technical implications of fleet electrification. The integration of multiple clean energy solutions often has mutual benefits that can help organizations reach their carbon goals faster and at a price that doesn’t break the bank.
For more information, check out our Transportation Electrification Blog Series.
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