By Lance Noel and Regina McCormack (Center for Carbon-Free Power Integration, University of Delaware, United States)
Applied Energy, Volume 126, 2014, Pages 246-255,
ISSN 0306-2619, https://doi.org/10.1016/j.apenergy.2014.04.009.
(https://www.sciencedirect.com/science/article/pii/S0306261914003420)
Highlights
• A cost benefit analysis of owning and operating a V2G capable electric school bus was conducted.
• Electric school bus fleets with V2G are cost effective with today’s technology.
• Variables that maximize V2G revenues have the most influence in the analysis.
• Schools can save money while mitigating climate change and improving public health.
Abstract:
Fuel expenses, diesel exhaust health externalities, and climate change are concerns that encourage the use of electric vehicles. Vehicle-to-grid (V2G) policies provide additional economic incentives. This analysis evaluates the costs and benefits associated with the use of electric vehicles and determines the cost effectiveness of using a V2G-capable electric school bus compared to a traditional diesel school bus. Several factors were analyzed, including fuel expense, electricity and battery costs, health externalities, and frequency regulation market price. The V2G-capable electric bus provides the school savings of $6070 per seat in net present value and becomes a net present benefit after five years of operation. Without externalities, the net present benefit would be $5700 per seat. If the entire school district’s fleet switched to V2G-capable electric buses, the net present savings would be upwards of $38 million. A sensitivity analysis was conducted to determine how the factors influenced the costs and benefits. In all cases, purchasing an electric school bus is consistently a net present benefit. Policies could be set into place to incentivize public school adoption of electric buses, encourage more efficient batteries, and develop V2G capabilities.
Keywords: Electric vehicle; V2G; Cost-benefit analysis; School bus; Climate change mitigation; Diesel