The purpose of this paper is to make quantitative analysis on the effect of demand side optimization, especially on the reduction of CO2 emission realized by optimizing charging and discharging schedule of battery electric vehicles (BEVs), or by optimized Vehicle-to-Grid (V2G) operations. BEV optimization model is incorporated into the existing electricity supply-demand model to study how the introduction of BEVs make differences on a power system operation, composition of power generation and CO2 emission on the power supply side. Three cases of BEV operation are studied, 1) dumb charging without optimization, 2) optimization of charging, 3) optimization of charging and discharging with Vehicle-to-Grid operations. Analysis is also made on how de-carbonization of the supply side will make differences by studying the case of 2035 and 2040 in addition to 2030, the target year of Japan’s new national energy plan.
The analysis showed that, as an important use case of a demand side optimization, BEVs will contribute to the reduction of CO2 emission in Japan by elaborately coordinating the introduction process of BEVs with the de-carbonization of the power supply side and with the degree of development of social environment to realize the demand side optimization.