Marginal Value of Vehicle-to-Grid Ancillary Service in a Power System with Variable Renewable Energy Penetration and Grid Side Flexibility

Regulating the frequencies of power grids by controlling electric vehicle charging and discharging, known as vehicle-to-grid (V2G) ancillary services, is a promising and profitable means of providing flexibility that integrates variable renewable energy (VRE) into traditional power systems. However, the ancillary services market is a niche, and the scale, saturation, and time-dependency are unclear when assuming future changes in the power system structure. We studied the marginal value of V2G ancillary services as a balancing capacity of the power system operation on the load-frequency control (LFC) timescale and evaluated the reasonable maximum capacity of the LFC provided by V2G. As a case study, we assumed that the Japanese power system would be used under various VRE penetration scenarios and considered the limited availability time of V2G, based on the daily commuter cycle. The power system operation was modeled by considering pumped storage, interconnection lines, and thermal power-partial load operations. The results show that the marginal value of V2G was greater during the daytime than overnight, and the maximum cost saving (USD 705.6/EV/year) occurred during the daytime under the high-VRE scenario. Improving the value and size of V2G ancillary services required coordination with energy storage and excess VRE generation.