Technology Magazine January 2024 | Page 67

DIGITAL ECOSYSTEMS
IoT and electrification : The business growth opportunity According to a report by Ericsson , as consumers , governments , and the automotive industry look toward a more sustainable and efficient alternative to fossil-fueled vehicles , EV charging providers recognise a business growth opportunity .
According to Ericsson ’ s IoT Lead Jens Erler , balancing an electricity grid that carries a lot of renewable energy requires buffering capabilities . “ A large fleet of electric vehicles represent exactly such a substantial buffering capability . The V2X market was somewhat dormant in recent years , but we expect it now to move towards a commercially profitable business in the slipstream of a surging electric vehicle market ,” he said .
“ Today , the cheapest power is at night . As more solar power is put on the grid , however , this will change . When this happens , power prices will flip , and the 8am-3pm period may become the cheap power while night becomes more expensive , since it can ’ t come from solar and must come from storage , nuclear , hydro , wind or fossil .
“ An interesting option is to put that extra power into cars . Unlike many other loads on the power grid , cars can be quite flexible about when they take the power – as long as an intelligent charging management system ensures that the mobility needs of electric car users are met at any point in time . That means , once plugged in , they will charge opportunistically when there is a surplus , including from solar and from wind .
“ In the end , all EV charging service providers are in some form of energy management business , and we see some of these players now investigating business models including a participation in the electricity spot market , which would allow for additional revenue generation .”
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