Benzinga - by Benzinga Neuro, Benzinga Staff Writer.
In a bid to optimize its grid system, China has rolled out guidelines to utilize the capabilities of New Energy Vehicles (NEVs) as mobile energy storage facilities.
What Happened: As reported by the CnEVPost, China’s objective is to bring NEVs to the forefront of the energy storage system by 2030, thereby contributing tens of millions of kilowatts of regulatory capacity to the power system. The directives were issued by four governmental bodies, inclusive of the National Development and Reform Commission (NDRC).
By 2025, China intends to set up a technical standard system for vehicle-grid interaction, fully implementing a tariff mechanism for charging during idle hours. The plan also includes a target to ensure over 60% of the annual charging power in participant cities and above 80% of the power in private charging piles during idle times by 2025.
Nio Inc. (NYSE:NIO) has been examining ways to enable its battery swap stations to interact with the grid, aiming for each station to evolve into a virtual power plant that contributes to grid load regulation. This aligns with the latest Chinese government document that underscores the potential of NEVs as distributed energy storage sites.
Why It Matters: These guidelines come in the wake of China’s booming EV sector, as noted by Standard Chartered CEO, Bill Winters. Despite economic challenges, the EV sector has been thriving, signaling a shift from traditional industries to sectors like renewable power technologies and electric vehicles.
Additionally, strong sales have been reported from U.S.-listed Chinese electric vehicle makers, including Nio, further reinforcing China’s dedication to the EV market.
Read Next: Here’s How Many Vehicles Tesla Has Delivered, Produced In Each Quarter Since 2019
Photo via Shutterstock
Engineered by
Benzinga Neuro, Edited by
Ramakrishnan M
The GPT-4-based Benzinga Neuro content generation system exploits the
extensive Benzinga Ecosystem, including native data, APIs, and more to
create comprehensive and timely stories for you.
Learn more.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.