Collaborative Vehicle-to-Grid Operations in Frequency Regulation Markets.

This article focuses on optimizing the operations of vehicle-to-grid (V2G) platforms that coordinate fleets of individually owned electric vehicles (EVs) to provide frequency regulation services to the electric grid. It develops a bilevel optimization model where the V2G platform sets hourly capacity bids and rebate incentives to encourage EV owners to plug in their vehicles, while drivers respond by adjusting their travel and charging schedules. Using real-world data from the California Household Travel Survey and PJM frequency regulation markets, the study finds that time-varying rebates and workplace charging infrastructure significantly enhance platform profits by better aligning EV availability with high-value regulation periods. Extensions consider workplace chargers as strategic substitutes to rebates and analyze state-of-charge guarantees, showing that such guarantees can reduce platform profits and driver rebates but partial guarantees during specific hours may mitigate losses. The findings provide insights into designing driver incentives and operational strategies for scalable and economically viable V2G frequency regulation services.