Integrating vehicle-to-grid contract design with power dispatching optimisation: managerial insights, and carbon footprints mitigation

Towards booms on massive electric vehicle adoptions, vehicle-to-grid service creates significantly social-environmental benefits on acting as a flexible power resource alternative for stabilising the violent fluctuations and overload in the power grid. However, the customer's acceptance and unstable external environment degrade these positive influences on embracing V2G operations. Motivated by these practical challenges, we attempt to design a V2G power dispatching plan integrated with a revenue-sharing contract to coordinate the multi-parties interests in the power supply chain and further improve V2G service adoption. Specifically, we focus on an urban microgrid system, in which the aggregator integrates the supply chain coordination conditions of a revenue sharing contract into a V2G power dispatching plan. The nonlinear terms generated by the supply chain coordination conditions are approximated into a tractable convex form. Furthermore, by solving instances generated from real-world and synthetic data from CAR2GO in Amsterdam, the Netherlands, we demonstrate several implications: (1) the proposed contract integrated policy is proved cost-saving for the aggregator operation, revenue-improving for the EV user, and carbon footprint mitigation for the society; (2) our proposed policy facilitates the aggregator to balance the trade-off between revenue sharing ratio and operation cost; (3) based on our contract integrated policy, we also explore the influences of service rate.