The advent of electric vehicles (EVs) promises to be

a game-changer for the world’s shift to sustainable

energy and particularly to renewable power generation.

This is true for several reasons. Most notably, along

with transforming the transport sector, EVs present a

viable opportunity to introduce much higher shares of

renewables into the overall power generation mix.

EV charging can create significant additional electricity

demand. This can be met practically and cost-effectively

with renewables, including solar and wind power fed

into the grid. Such developments offer a tantalising

prospect – particularly for cities – to decarbonise

transport while also cutting air and noise pollution,

reducing fuel import dependence and adopting new

approaches to urban mobility.

Steady cost reductions for renewable power generation

make electricity an attractive low-cost energy source

to fuel the transport sector. Scaling up EV deployment

also represents an opportunity for power system

development, with the potential to add much-needed

flexibility in electricity systems and to support the

integration of high shares of renewables.

What makes EVs a unique innovation, from an electricity

system perspective, is that they were not developed for

the power sector and are not primarily a grid flexibility

solution. Instead, their primary purpose is to serve

mobility needs. Achieving the best use of EVs, therefore,

requires a close look at which use cases would align best

for both sectors. Optimally, EVs powered by renewables

can spawn widespread benefits for the grid without

negatively impacting transport functionality.

Cars, including EVs, typically spend about 95% of their

lifetime parked. These idle periods, combined with

battery storage capacity, could make EVs an attractive

flexibility solution for the power system. Each EV could

effectively become a micro grid-connected storage

unit with the potential to provide a broad range of

services to the system. At the same time, however,

uncontrolled charging could increase peak stress on the

grid, necessitating upgrades at the distribution level.

Emerging innovations in smart charging for EVs span not

just technologies but business models and regulatory

frameworks (IRENA, 2019a). These will be crucial to

integrate renewable energy sources while avoiding

network congestion. In addition, this innovation outlook

discusses the possible impact of the expected mobility

disruptions, including mobility-as-a-service and the

widespread arrival of fully autonomous vehicles in the

coming two to three decades.