Smart charging business model framework for electric vehicle aggregators

The massive, uncontrolled charging of numerous plug-in electric vehicles is expected to have an adverse impact on the reliable operation of the electricity networks. The flexible and coordinated management of the charging process, also known as smart charging, is a promising solution that provides the system and network operators with additional flexibility and the electric vehicle users with reduced charging costs. The Electric Vehicle Aggregator (EVA) is the entity that is able to exploit the flexibility potential of smart charging, by optimally managing the complex smart charging process over a distributed network of connected charging stations. Given the inherent complexity and requirements of managing the smart charging process at scale, it is critical for EVAs under development to adopt a well-defined business model that is carefully designed and adapted to the unique needs of their business. Towards this direction, this paper proposes a novel Business Model Framework that is customized for designing and developing viable business models for EVAs. The proposed framework is based on the value proposition, creation and delivery, and ultimately on the value capture, enabling EVAs to identify and unlock the untapped potential of flexible charging in wholesale electricity markets. Thus, it can serve as a roadmap for entities interested in fostering smart charging services. The key aspects of the proposed framework are described in detail, putting an emphasis on the interactions of EVAs with the e-mobility ecosystem. Finally, the proposed framework is utilized to examine one business model for the EVA participation in the EU-based balancing market, using actual market signals and settlement rules, highlighting its practicality under real -world conditions.