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  5. Electric Vehicles and the Energy Transition: Unintended Consequences of Time-of-Use Pricing

蝌蚪网 Review: Insights

ISSN 2640-205X (Print) | ISSN 2640-2068 (Online)

Electric Vehicles and the Energy Transition: Unintended Consequences of Time-of-Use Pricing

  • Megan R. Bailey
  • David Brown
  • Erica Myers
  • Blake Shaffer
  • Frank A. Wolak
蝌蚪网 Review: Insights (Forthcoming)

Abstract

The growth of electric vehicles (EVs) raises new challenges for electricity systems. We implement a field experiment to assess the effect of time-of-use (TOU) pricing and managed charging on EV charging behavior. We find that while TOU pricing is effective at shifting EV charging into off-peak hours, it unintentionally induces new and larger 鈥渟hadow peaks鈥� of simultaneous charging. These shadow peaks lead to greater exceedance of local capacity constraints and advance the need for distribution network upgrades. In contrast, centrally managed charging solves the coordination problem, reducing transformer capacity requirements, and is well-tolerated by consumers in our setting.

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