{"id":731431,"date":"2024-11-08T13:23:34","date_gmt":"2024-11-08T18:23:34","guid":{"rendered":"https:\/\/www.capgemini.com\/us-en\/?p=731431"},"modified":"2025-10-23T11:42:34","modified_gmt":"2025-10-23T16:42:34","slug":"how-power-infrastructure-must-change-to-accommodate-rapidly-rising-ev-demand","status":"publish","type":"post","link":"https:\/\/www.capgemini.com\/us-en\/insights\/expert-perspectives\/how-power-infrastructure-must-change-to-accommodate-rapidly-rising-ev-demand\/","title":{"rendered":"How power infrastructure must change to accommodate rapidly rising EV demand"},"content":{"rendered":"\n<header class=\"wp-block-cg-blocks-hero-blogs header-hero-blogs\"><div class=\"container\"><div class=\"hero-blogs\"><div class=\"hero-blogs-content-wrapper\"><div class=\"row\"><div class=\"col-12\"><div class=\"header-title\"><h1>Strategies for handling the growth of EV impact on the electric grid<\/h1><\/div><\/div><\/div><\/div><div class=\"hero-blogs-bottom\"><div class=\"header-author\"><div class=\"author-img\"><img decoding=\"async\" src=\"https:\/\/www.capgemini.com\/us-en\/wp-content\/uploads\/sites\/30\/2021\/05\/James-Forrest12-1.jpg?w=200&amp;quality=10\" alt=\"\" loading=\"lazy\"\/><\/div><div class=\"author-name-date\"><h5 class=\"author-name\">James Forrest<\/h5><h5 class=\"blog-date\">Nov 8, 2024<\/h5><\/div><\/div><div class=\"brand-image\"><\/div><\/div><\/div><\/div><\/header>\n\n\n\n<section class=\"wp-block-cg-blocks-group undefined section section--article-content\"><div class=\"article-main-content\"><div class=\"container\"><div class=\"row\"><div class=\"col-12 col-md-1\"><nav class=\"article-social\"><ul class=\"social-nav\"><li class=\"ip-order-fb\"><a href=\"https:\/\/www.facebook.com\/sharer\/sharer.php?u=https:\/\/www.capgemini.com\/?p=1066794\" target=\"_blank\" rel=\"noopener noreferrer\" title=\"opens in a new window\"><i aria-hidden=\"true\" class=\"icon-fb\"><\/i><span class=\"sr-only\">Facebook<\/span><\/a><\/li><li class=\"ip-order-li\"><a href=\"https:\/\/www.linkedin.com\/shareArticle?url=https:\/\/www.capgemini.com\/?p=1066794\" target=\"_blank\" rel=\"noopener noreferrer\" title=\"opens in a new window\"><i aria-hidden=\"true\" class=\"icon-li\"><\/i><span class=\"sr-only\">Linkedin<\/span><\/a><\/li><\/ul><\/nav><\/div><div class=\"col-12 col-md-11 col-lg-10\"><div class=\"article-text article-quote-text\">\n<h2 class=\"wp-block-heading\" id=\"h-grid-modernization-battery-storage-innovation-and-ai-integration-all-play-pivotal-roles-in-our-fight-for-an-electrified-future\">Grid modernization, battery-storage innovation, and AI integration all play pivotal roles in our fight for an electrified future<\/h2>\n\n\n\n<p>The rapid transition to electric vehicles and plug-in hybrid electric vehicles (EVs and PHEVs respectively) is a cause for celebration in humankind\u2019s effort to reduce global carbon dioxide emissions and mitigate the most disastrous consequences of anthropogenic climate change.<br><br>However, this phenomenon is also straining the current power infrastructure.<br><br>During a panel at Capgemini\u2019s Business to Climate Connect 2024, part of Climate Week NYC, specialists in this space explored how improvements in battery storage, new applications for artificial intelligence (AI), and data-driven grid maintenance can facilitate further EV growth.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-the-state-of-play-on-ev-adoption\"><strong>The state of play on EV adoption<\/strong><\/h4>\n\n\n\n<p>There are reasons to be optimistic: EVs accounted for <a href=\"https:\/\/www.iea.org\/reports\/global-ev-outlook-2024\/trends-in-electric-cars\" target=\"_blank\" rel=\"noreferrer noopener\">18 percent of new car sales globally<\/a> in 2023. In China, <a href=\"https:\/\/www.cnbc.com\/2024\/08\/09\/more-than-half-of-new-cars-sold-in-china-are-now-electric-or-hybrid.html\" target=\"_blank\" rel=\"noreferrer noopener\">EVs or PHEVs account for more than half<\/a> of all new car sales. In Norway, <a href=\"https:\/\/www.washingtonpost.com\/climate-solutions\/2024\/09\/17\/norway-electric-vehicles-exceed-gasoline\/\" target=\"_blank\" rel=\"noreferrer noopener\">more than half of the vehicles on the road<\/a> are EVs. These are extraordinary achievements.<br><br>But it\u2019s a mixed picture. Volvo <a href=\"https:\/\/www.media.volvocars.com\/global\/en-gb\/media\/pressreleases\/333213\/volvo-cars-adjusts-electrification-ambitions-remains-committed-to-fully-electric-future\" target=\"_blank\" rel=\"noreferrer noopener\">reined in its ambition<\/a> to have a fully electric line-up of vehicles by 2030. Instead, the Swedish global automaker will aim for at least 90 percent of its global sales to consist of EVs and PHEVs.<br><br>James Forrest, EVP and Global Energy Transition and Utilities Industry Leader at Capgemini, said Capgemini\u2019s annual <a href=\"https:\/\/www.capgemini.com\/us-en\/insights\/research-library\/world-energy-markets-observatory\/\"><em>World Energy Markets Observatory<\/em><\/a> (WEMR) report shows that electrical grids could become the Achilles&#8217; heel of the energy transition, without proper attention.<br>Investment in the grid is increasing but not quickly enough, Forrest said.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-how-hydro-one-handles-rising-load-demand-with-data-analytics\"><strong>How Hydro One handles rising load demand with data analytics<\/strong><\/h4>\n\n\n\n<p>Andrei Floarea, Senior Principal Director at Capgemini, said <a href=\"https:\/\/electricautonomy.ca\/data-trackers\/ev-sales-data\/2024-09-17\/sp-global-mobility-q2-2024-canada-zev-market\/\" target=\"_blank\" rel=\"noreferrer noopener\">Canada\u2019s EV adoption<\/a> rates reached 13.4 percent in Q2 2023 and should rise to 16 percent by the end of 2024. Over the next five years, it\u2019s expected to rise to 75 percent.&nbsp;<br><br>This trend compelled Hydro One, the largest electricity transmission and distribution utility serving Ontario, Canada, to <a href=\"https:\/\/www.capgemini.com\/us-en\/news\/client-stories\/hydro-one-modernizes-its-it-infrastructure-to-meet-market-demands\/\">reconsider whether its transformers were prepared<\/a> for the expected load impact.<br><br>Working with Capgemini, Hydro One implemented an advanced predictive-analytics solution that capitalizes on its rich datasets to assess the reliability of different transformers and prioritize upgrades in high-demand areas.<br><br>In addition to predictive maintenance, the resulting insights allow the utility to have more pointed conversations with the provincial government and regulators about which areas require special attention or support.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-mounting-synergies-different-battery-use-cases-encourage-ev-adoption\"><strong>Mounting synergies: Different battery use cases encourage EV adoption<\/strong><\/h4>\n\n\n\n<p>Kai-Philipp Kairies, CEO and Co-Founder of <a href=\"https:\/\/www.accure.net\/\">ACCURE Battery Intelligence<\/a>, describes batteries as \u201cthe fastest growing energy technology in human history\u201d with widespread utility beyond passenger vehicles.<br><br>If EV adoption declined, he argued, other spaces would soak up any excess batteries or talent.<br><br>Nitin Tyagi, Vice President of Supply Chain at <a href=\"https:\/\/one.ai\/\">Our Next Energy<\/a>, agreed: \u201cWe all love cars, but there are a lot of other businesses that may not get as much visibility, which in the next couple of years will be very important to help us get through this transition.\u201d<br><br>For example, one of the most important applications for next-generation batteries is grid-energy storage. Large-scale lithium-ion battery packs can store excess energy and provide backup power as demand ebbs and flows.<br><br>This helps islands like Australia and the United Kingdom \u2013 and metaphorical \u201cislands\u201d with similarly isolated power grids like Texas \u2013 manage volatile, renewable sources and stabilize the grid.<br>According to Kairies, as long as battery production continues, the product will become cheaper, which will in turn accelerate EV growth.<br><br>\u201cEven if EVs now might slow down a bit, the overall technology will become so much better that EVs in the future will continue to get cheaper, more affordable, and more attractive.\u201d<\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-powering-data-analysis-with-ai-solutions\">Powering data analysis with AI solutions<\/h4>\n\n\n\n<p>EV owners and mobility companies can tap into the power of AI to optimize power and reduce costs. These advantages are not limited to utilities.<br><br>AI-driven virtual power plants (VPPs), networks that aggregate various distributed energy resources (DERs), can charge EVs overnight for a fraction of the usual price. VPPs accomplish this by responding to price signals in real-time and deciding when to store, consume, or sell energy.<br>Forrest explained that he personally relies on a VPP, which manages 1.2 gigawatts of mainly nuclear and wind power, to charge his EV overnight in the United Kingdom.<br><br>Isabelle Ji, Senior Director of Solutions and Strategy at <a href=\"https:\/\/www.einride.tech\/\" target=\"_blank\" rel=\"noreferrer noopener\">Einride<\/a>, an electric and autonomous freight mobility company, said AI can transform how businesses plan schedules for electric trucks and other commercial vehicles.<br><br>Einride is developing an electric freight mobility platform that uses AI to analyze a variety of factors \u2013 such as delivery timelines, energy prices, grid loads, and terrain \u2013 to create \u201ca day in the life\u201d plan for each vehicle: travel routes, charging times, etc.<br><br>\u201cWe look at maximizing the value that we can create. In most cases, it&#8217;s \u2018how do we maximize the number of shipments that we deliver or shipment miles?\u2019 And we want to do that at the lowest cost,\u201d Ji said.<br><br>Handling all the necessary data would be exponentially harder to handle manually and impossible beyond the scope of five trucks, according to Ji.<span style=\"font-size: 1rem; letter-spacing: 0.4px;\"><\/span><\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-confronting-the-current-bottlenecks-in-battery-production\">Confronting the current bottlenecks in battery production<\/h4>\n\n\n\n<p>Despite these advancements, several challenges to uninterrupted EV adoption remain.<br><br>Tyagi addressed the technical difficulties, specifically manufacturing engineering, of scaling perfectly designed batteries for the consumer market. He compared the process to getting a single Michelin-starred dish ready for common public consumption without losing quality along the way \u2013 no small feat.<br><br>Kairies discussed the geopolitical challenge of protecting developing domestic battery production from being smashed by foreign competition and not becoming energy dependent on other countries.<br><br>The construction of American gigafactories, large-scale facilities for producing EV batteries, soared after President Biden introduced a variety of incentives and tax cuts with the Inflation Reduction Act (IRA) in August 2022. Nevertheless, US OEMs still need to compete with China\u2019s Contemporary Amperex Technology Co. (CATL), which dominates the global market and is world-renowned for quality and price points.<br><br>All these issues are important for facilitating EV growth: protecting domestic supply chains, developing talent, optimizing energy usage, and promoting battery production.<br><br>But EVs ultimately derive their energy from the grid. If we want it to operate electric cars, we must power the grids.<\/p>\n<\/div><\/div><\/div><\/div><\/div><\/section>\n\n\n\n<section class=\"section section--expert-slider wrapper-people-slider wp-block-cg-blocks-wrapper-people-slider undefined\"><div class=\"container\"><div class=\"content-title\"><h2 data-maxlength=\"34\" class=\"people-heading-title\">Meet our author<\/h2><\/div><\/div><div class=\"slider slider-boxed\"><div class=\"container\"><div class=\"slider-window\"><div class=\"slider-list\">\t\t<div class=\"slide\">\n\t\t\t<div class=\"box\">\n\t\t\t\t<div class=\"row\">\n\t\t\t\t\t<div class=\"col-md-6 col-lg-4 box-img-wrapper\">\n\t\t\t\t\t\t<img decoding=\"async\" loading=\"lazy\" src=\"https:\/\/www.capgemini.com\/us-en\/wp-content\/uploads\/sites\/30\/2021\/05\/James-Forrest12-1.jpg\" alt=\"James Forrest\"\/>\n\t\t\t\t\t<\/div>\n\t\t\t\t\t<div class=\"col-md-6 col-lg-8 box-inner\">\n\t\t\t\t\t\t<div class=\"row title-social-media-header\">\n\t\t\t\t\t\t\t<div class=\"col-md-12 col-lg-6 mbl-social-icon\">\n\t\t\t\t\t\t\t\t<ul class=\"social-nav\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<li><a aria-label=\"Linkedin\" target=\"_blank\" title=\"Opens in a new window\" href=\"https:\/\/www.linkedin.com\/in\/jamesforrest1\/\"><i aria-hidden=\"true\" class=\"icon-li\"><\/i><\/a><\/li>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/ul>\n\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t<div class=\"col-md-12 col-lg-6 box-container\">\n\t\t\t\t\t\t\t\t<div class=\"box-title\">\n\t\t\t\t\t\t\t\t\t<h3 class=\"people-profile-title\">James Forrest<\/h3>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span>Group Industry Leader for Energy Transition and Utilities at Capgemini<\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t<div class=\"col-md-12 col-lg-6 social-box-container dkt-social-icon\">\n\t\t\t\t\t\t\t\t<ul class=\"social-nav\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<li><a aria-label=\"Linkedin\" target=\"_blank\" title=\"Opens in a new window\" href=\"https:\/\/www.linkedin.com\/in\/jamesforrest1\/\"><i aria-hidden=\"true\" class=\"icon-li\"><\/i><\/a><\/li>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/ul>\n\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t\t\t\t\t\t<div class=\"people-info\">I lead in helping global clients with major business transformations involving smart grid, IoT, the reform of gas and electricity markets, major software and infrastructure changes, and the use of machine learning and artificial intelligence to drive significant business performance improvement.<\/div>\n\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div><\/div><\/div><div class=\"slider-nav\"><button class=\"slider-prev inactive\" aria-label=\"Slider-previous\" 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future<\/p>\n","protected":false},"author":4853,"featured_media":732579,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"cg_dt_proposed_to":[],"cg_seo_hreflang_relations":"[]","cg_seo_canonical_relation":"","cg_seo_hreflang_x_default_relation":"{\"uuid\":\"a3af5648-ead0-4eaa-a0a0-9b8a1782d8a2\",\"blogId\":\"\",\"domain\":\"\",\"sitePath\":\"\",\"postLink\":\"\",\"postId\":null,\"isSaved\":true,\"isCrossLink\":false,\"hasCrossLink\":false}","cg_dt_approved_content":true,"cg_dt_mandatory_content":false,"cg_dt_notes":"","cg_dg_source_changed":false,"cg_dt_link_disabled":false,"_yoast_wpseo_primary_brand":"","_jetpack_memberships_contains_paid_content":false,"footnotes":"","featured_focal_points":""},"categories":[1],"tags":[],"brand":[],"service":[],"industry":[238],"partners":[],"blog-topic":[396],"content-group":[],"class_list":["post-731431","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized","industry-energy","blog-topic-technology"],"yoast_head":"<!-- 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