At FlexCharging, we’re passionate about driving innovation in the electric utility sector, especially when it comes to creating smarter, more efficient programs for electric vehicle (EV) owners. Our recent work with Minnesota Valley Electric Cooperative (MVEC) offers a compelling look at how telematics can be leveraged to enhance EV programs and create economic benefits for both utilities and their members.
Understanding the Challenge: Controlling EV Charging During Peak Load Periods❄️
In 2018, Minnesota Valley Electric launched its EV program with a focus on time-of-use rates. The cooperative serves a diverse demographic, ranging from suburban metro areas to rural farmhouses. Prior to this, EVs were managed similarly to water heaters, with load control receivers that shut off charging during the day and allowed it at night. However, this approach created challenges and potential liability for MVEC given Minnesota's harsh winters and the potential for receiver failure.
Relays in the load control receivers would sometimes freeze, preventing EVs from charging overnight. This led to scenarios where members couldn’t drive their fully charged vehicles the next morning, significantly impacting their daily lives. One member even reported missing work due to an uncharged vehicle. Clearly, the program needed adjustments.
The Solution: Uncontrolled Time-of-Use Rates and the Role of Telematics 📈
To address these challenges, MVEC introduced an uncontrolled time-of-use (TOU) rate, which proved to be popular among members. By shifting charging to overnight hours, the cooperative incentivized EV owners to charge during off-peak times, helping reduce strain on the grid. This was accomplished by MVEC installing utility submeters for members requesting to go on the EV-only TOU rate. Today, MVEC has 750 members participating in the program, representing about 43% of all EVs registered within their service territory.
But MVEC didn’t stop there. They saw an opportunity to improve the program further by reducing the friction involved in submetering. Submetering, which involves installing a separate meter to track EV charging, can be a logistical hassle and cost for members, contractors, and the utility. By utilizing telematics data—already being transmitted by EVs—MVEC sought to replace the need for physical meters, reducing costs and greatly simplifying the process for members.
Exploring Telematics at Scale: The Study 📝
In October 2023, MVEC partnered with FlexCharging, Great River Energy (GRE), and NRECA to launch a telematics study. The goal was to explore whether telematics could accurately replace traditional submetering for EVs. The study quickly enrolled over 200 participants representing 14 different vehicle manufacturers, a testament to the strong interest in the program.
While the study encountered some challenges—such as Ford and Lincoln restricting third-party access to telematics data and Tesla making changes to their API—the results were promising. Initially, telematics showed an accuracy rate of 98.6% compared to submetering. Although the accuracy dropped to 85% after some data issues, adjustments to the program brought it back up to 93%, signaling a path for telematics to cost-effectively serve as a replacement for utility submetering to increase member satisfaction and lower utility costs.
Lessons Learned: Data Accuracy and the Future of Telematics 🧠🔍🧐
One of the key takeaways from the study was the realization that even utility submeter data, which had been considered the “source of truth,” had its limitations. For instance, 2-3% of AMI meter readings are estimated, which can shift data by several hours. As time-of-use programs evolve, these nuances will need to be addressed.
The study highlighted several areas for improvement, including ensuring consistent data reporting from vehicles and managing API updates from automakers. Despite these challenges, the potential for telematics to streamline EV programs is undeniable. As more people adopt EVs and technology continues to evolve, telematics will play an increasingly important role in managing load, reducing costs, and enhancing the member experience.
Looking Ahead: The Path Forward for Utilities 🚗
Telematics offers a unique opportunity for utilities to not only manage load more effectively but also create frictionless experiences for their members. By removing the need for physical meters and relying on the data already being transmitted by EVs, utilities can reduce costs, save time, and improve the overall customer experience.
As this study continues, we’re excited to see how telematics can further transform EV programs across the country. At FlexCharging, we’re committed to helping utilities unlock the full potential of telematics, creating more efficient and cost-effective solutions for the future.
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