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The document highlights the role of vehicle-grid integration (VGI) and bidirectional charging in supporting California's transition to a clean grid. It notes that while the state requires massive investments in new energy resources and transmission to meet the 100 Percent Clean Energy Act (SB 100) targets, the use of electric vehicle (EV) batteries as energy storage can lower these costs. Specifically, it suggests that 50 percent V2G enrollment could save over $10 billion annually in grid costs by 2045.

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  • To meet the 100 percent clean electricity sales target by 2045 set by the 100 Percent Clean Energy Act (SB 100 2018), California must invest heavily in infrastructure. The California Energy Commission (CEC) indicates a need for over 180 gigawatts of new energy storage, wind, geothermal, and solar resources by 2045, while the California Independent System Operator (CAISO) estimates transmission costs between $45.8 and $63.2 billion over the next 20 years.
  • Vehicle-grid integration (VGI), including managed charging (V1G) and bidirectional charging (vehicle-to-grid or V2G), can reduce the need for grid investments by optimizing the use of renewable energy and lowering peak demand.
  • Implementing bidirectional charging at scale could lead to significant financial savings. Analysis shows that if 50 percent of EVs enroll in V2G and adoption follows the Advanced Clean Cars II regulations, annual electricity grid cost savings in California could exceed $10 billion by 2045.
  • Despite the potential benefits and existing law (SB 59 2024) allowing the CEC to require bidirectional capability in some EVs, the deployment of such vehicles is likely to be insufficient due to limited manufacturer options and current regulations and incentives.

Cite the original document

APA
Reichmuth, D., & Canales, M. (2026). Driving Towards a Clean Grid. Union of Concerned Scientists. https://www.ucs.org/sites/default/files/2026-01/driving-towards-a-clean-grid.pdf
Chicago
Reichmuth, David, and Michele Canales. Driving Towards a Clean Grid. Union of Concerned Scientists, 2026. https://www.ucs.org/sites/default/files/2026-01/driving-towards-a-clean-grid.pdf.
Wikipedia
{{cite report |last1=Reichmuth |first1=David |last2=Canales |first2=Michele |title=Driving Towards a Clean Grid |publisher=Union of Concerned Scientists |date=January 2026 |url=https://www.ucs.org/sites/default/files/2026-01/driving-towards-a-clean-grid.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}
BibTeX
@techreport{reichmuth2026driving, author = {Reichmuth, David and Canales, Michele}, title = {{Driving Towards a Clean Grid}}, institution = {Union of Concerned Scientists}, year = {2026}, month = jan, url = {https://www.ucs.org/sites/default/files/2026-01/driving-towards-a-clean-grid.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }

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