Press Release

Rapid Integration of Renewable Sources in Electricity Generation to Promote EV to Propel Global Vehicle-To-Grid (V2G) System Market

The Global Vehicle-To-Grid (V2G) System Market is projected to grow at a CAGR of 24.52% during the forecast period of 2023-28, cites MarkNtel Advisors in the recent research report. The market growth is driven by the rapid adoption of electric vehicles, government-led EV charging infrastructure initiatives, rising smart grid solutions, and the widespread use of renewable energy sources. Renewable energy sources like solar and wind are predicted to make substantial contributions to the energy landscape. The renewable energy share of electricity has increased tremendous from around 33.1% MW in 2018 to approx. 38.3 % in 2021. This trend is estimated to increase in the forecast period and plays a primary role in electricity generation, as it plays key role in climate mitigation and carbon emission. However, the swift integration of renewables into power generation presents a challenge due to their intermittent nature. To effectively leverage their potential, energy storage solutions like Vehicle-to-Grid (V2G) systems emerge as vital. V2G enables electric vehicles (EVs) to store surplus renewable energy and redistribute it during demand spikes or lulls in renewable generation. This mechanism smooths fluctuations, ensuring consistent and reliable energy supply. As a result, the increasing amalgamation of solar and wind resources into electricity generation holds promising prospects for the vehicle-to-grid market in the near future.

Furthermore, governments worldwide, including Germany, the UAE, Norway, the USA, and the UK, have notably escalated their efforts in recent times to promote EV adoption, by introducing a range of measures like incentives, subsidies, and tax credits.

• In 2022, the UK government introduced the Electric Vehicle Infrastructure Strategy, as part of this the government planned to introduce around 300,000 EV charging stations in the UK by 2030.

These initiatives are strategically aimed at spurring the extensive expansion of electric vehicle (EV) charging networks. The primary objectives encompass incentivizing EV adoption and aligning with climate change targets. As the charging infrastructure proliferates, a critical foundation for bidirectional energy exchange integral to Vehicle-to-Grid (V2G) technology. The progressive evolution of charging stations to support bidirectional charging facilitates the seamless integration of EVs into V2G systems. This, in turn, is expected to fuel vehicle to grid market size during 2023-2028, further states the research report, “Global Vehicle-To-Grid (V2G) System Market Analysis, 2023.”

Charging Systems to Hold Major Share of the Market

Based on the technology segment, the market is further bifurcated into, charging system, and software. Among charging to system is projected to hold major share in forthcoming periods. This surge is fuelled by governmental backing, partnerships among automakers, etc. Leading countries like the UK, China, the US, and Japan are spearheading intelligent charging stations initiatives to promote EV fleet adoptions and to achieve net zero target. For instance, in 2022, Germany approved Master Plan Charging Infrastructure II, interdepartmental strategy, which aims to make it easier, quicker and more convenient to construct and operate charging stations. These initiatives significantly accelerate the adoption of V2G systems and propel vehicle to grid market size in the coming years.

Moreover, the escalating cooperation between automotive giants like Nissan, Volkswagen, and V2G system manufacturers like Oncore, Virtas, etc., is propelled by environmental consciousness, technological progress, regulatory backing, economic prospects, and evolving consumer inclinations. This partnership is poised to further expedite the proliferation of V2G charging stations share in the V2G market within the projected timeframe.

Europe Would Account for the Significant Share of the Market of Vehicle-To-Grid (V2G) System

Europe is expected to acquire major share of the market in the coming years owing to the stringent emission regulations government incentives, and rising projects and investment in the V2G market. Europe has been at the forefront of adopting strict vehicular emission regulations to combat air pollution and reduce greenhouse gas emissions.

• In 2023, EU introduced Net Zero Industry Act targets 40% of essential net-zero technologies, like batteries, produced in the EU by 2030, aligned with the European Battery Alliance and Fit for 55 package.

These measures prompt the automotive industry to shift toward cleaner alternatives such as, electric vehicles (EVs). As governments tighten emissions rules, EVs emerge as a solution, spurring demand and associated technologies like V2G, positioning Europe at the forefront of sustainable mobility innovation. Moreover, the UK, Netherlands, Germany, and Switzerland's V2G sector draw substantial investments, driving electric mobility and energy solutions. Innovations like Renault's bi-directional chargers, like Renault Z.E Smart Charge, showcase intelligent energy usage. Europe's EV presence and manufacturers further boost the V2G market share.

Competitive Landscape

With strategic initiatives, such as mergers, collaborations, and acquisitions, the leading market players, including (Toyota Tusho Corporation, ABB, Virta, Enel X Way, Edison International, Hitachi Energy Ltd., OVO Energy Ltd., The Mobility House GmbH., Denso Corporation, Nuvve Holding Corporation., Sono Motors, Aptive, IOTECHA, WiTrcity Corporation, Wallbox Chargers SL, and more.) are looking forward to strengthening their market position.

Key Questions Answered in the Research Report

1. What are the industry’s overall statistics or estimates (Overview, Size- By Value, Forecast Numbers, Segmentation, Shares)?
2. What are the trends influencing the current scenario of the market?
3. What key factors would propel and impede the industry across the region?
4. How has the industry been evolving in terms of geography & product adoption?
5. How has the competition been shaping across various regions?
6. How has the buying behavior, customer inclination, and expectations from product manufacturers been evolving during 2018-28?
7. Who are the key competitors, and what strategic partnerships or ventures are they coming up with to stay afloat during the projected time frame?