SMART CHARGING COULD CUT EUROPE’S ELECTRICITY GRID INVESTMENT NEEDS BY €10.6 BILLION
EU and EEA Member States could avoid more than €10.6 billion in electricity grid investment by 2030 by making smarter use of existing network capacity as electric vehicle uptake grows, according to a new study commissioned by EIT Urban Mobility, ChargeUp Europe, and ACEA.
The study estimates that accommodating projected EV growth would require around €24.7 billion in distribution-grid investment by 2030. Through optimised management of EV charging, this could fall to approximately €14.1 billion – a reduction of around 43%.
Smart charging adjusts vehicle charging in near real time, shifting or reducing demand when the electricity network is under pressure. Combined with grid digitalisation, the measure would allow European economies to make better use of existing capacity and reduce the need for costly physical enforcement. At the same time, across the 64 European urban centres examined, the number of battery-electric vehicles is expected to increase almost fourfold by 2030, with nearly 78% of required grid investment directed towards low-voltage networks.
For the European transport and logistics sector, the findings underline that electrification does not have to translate one-for-one into new grid capacity. Investment in interoperable smart-charging infrastructure and effective load management can reduce peak demand, make better use of existing networks, and lower the amount of additional grid investment required. Physical reinforcement will remain necessary, but smarter charging can significantly reduce its scale and cost.