Start Spreading the News: Vehicle-Grid Integration Progress in New York
By Thanh Nguyen
Significant strides have been made in the last year for the advancement of the vehicle-grid integration (VGI) market in New York. Thanks to the leadership of the New York Public Service Commission’s (PSC) and advocacy efforts from VGIC and other stakeholders, there has been commendable progress in establishing policies and programs to promote the use of VGI solutions for the benefit of the grid and electric vehicle (EV) owners alike.
One notable development is the approval of managed charging programs for commercial EV customers, building upon the residential managed charging programs established in 2022. The new commercial managed charging programs — already available in Con Edison’s and Orange & Rockland’s service territories — provide incentives to encourage EV customers to avoid charging during local peak periods and instead charge overnight. These programs provide an opportunity for fleets to reduce their charging costs by aligning their charging schedules with the grid’s needs.
Meanwhile, the PSC’s directive requiring all New York utilities to update their Value of Distributed Energy Resources (VDER) tariffs to expand eligibility to vehicle-to-grid (V2G) projects demonstrates additional forward movement. This change ensures that V2G projects can receive compensation for exporting power to the grid, helping New York leverage EVs as another type of DER that can provide crucial grid services.
The PSC has also set the stage for additional programs and policies in the coming year. The Commission is considering the utilities’ proposed Load Management Technology Incentive Program, which would provide incentives to support the deployment of demand management technologies that can help mitigate grid upgrades needed to support new EV charging sites. Additionally, the PSC has designated the Technical Standards Working Group as the avenue to identify and resolve remaining barriers to VGI, as well as the EV Infrastructure Interconnection Working Group to discuss interconnection issues. The ongoing proceeding on Medium- and Heavy-Duty EV Charging Infrastructure also presents an opportunity for the PSC to advance VGI solutions specific to this market segment.
While we celebrate the demonstrable progress achieved thus far, the VGIC remains committed to unlocking the full potential of VGI in New York. VGIC has put forward a proposal for a new demand response program tailored to V2G systems, modeled after similar programs in nearby states, to improve available compensation under VDER. This program would help ensure that V2G exports are adequately compensated and help create the needed incentive structures to attract new investment in this critical technology. VGIC looks forward to continuing our collaboration with the PSC, utilities, and other stakeholders in New York to advance the role of VGI solutions in meeting the state’s energy needs as it transitions toward a decarbonized future. If you are interested in learning more, please email info@vgicouncil.org.