The global Vehicle To Grid Technology Market is estimated to be valued at US$ 119.1 Mn in 2023 and is expected to exhibit a CAGR of 43.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Vehicle to grid (V2G) technology allows electric vehicles to sell electricity back to the power grid or off-set power consumption from the EV battery when the vehicle is parked and connected. It helps integrate electric vehicles into the power grid and supports the transition to renewable energy sources.
Market key trends:
One of the key trends in the V2G technology market is the integration with renewable energy sources. Vehicle batteries can store excess energy generated from renewable sources like solar and wind during periods of low demand and feed it back to the grid when demand is high. This helps boost the utilization of renewable energy and reduce the burden on conventional power plants. As adoption of renewable energy increases globally, the scope of V2G technology is also expected to rise in the coming years.
Strength: Vehicle to grid technology helps in utilizing unused power from electric vehicles that can be sold back to the grid during peak demand times. It can help power providers meet rising energy demands.
Weakness: High upfront costs involved in setting up the required infrastructure for vehicle to grid technology. Retrofitting existing electric vehicles also requires investments.
Opportunity: Growing sales of electric vehicles provide an opportunity to leverage unused battery capacity through vehicle to grid technology. It can open new revenue opportunities for owners of electric vehicles.
Threats: Data security and privacy concerns around sharing of personal vehicle data through vehicle to grid platforms. Standardization and protocols around vehicle to grid remain unclear which pose regulatory challenges.
The global Vehicle To Grid Technology market is expected to witness high growth, exhibiting a CAGR of 43% over the forecast period, due to increasing adoption of electric vehicles. Vehicle to grid helps optimize the use of electric vehicle batteries which is driving interest in this technology.
North America is expected to dominate the vehicle to grid technology market over the forecast period supported by favorable government policies and initiatives promoting electric vehicles in countries like the US. Europe is another major market for vehicle to grid technology driven by stringent emission regulations and focus on renewable energy integration.
Key players operating in the Vehicle To Grid Technology are Nissan Motor Corporation, Mitsubishi Motors Corporation, Honda Motor Co., Ltd., BMW Group, Tesla, Inc., General Motors Company, Ford Motor Company, Toyota Motor Corporation, Daimler AG, Volvo Group. Major players are focusing on partnerships and investments to develop vehicle to grid platforms and solutions.