Batteries on wheels: V2G could be twice the capacity of Snowy 2.0, but it needs more than BYD Atto 3

Australia’s vehicle-to-grid (V2G) pilot scheme has received a significant funding boost, increasing from $3.3 million to $16.8 million. This expansion will allow the number of participating electric vehicles to rise from around 25 to approximately 1,000, with the BYD Atto 3 currently the only model available for the trial. The scheme, managed by renewable energy retailer Amber and supported by the Australian Renewable Energy Agency (ARENA), aims to demonstrate how electric cars can act as mobile energy storage units, supplying power back to the grid and supporting essential grid services. Despite the progress, several challenges remain before V2G technology can be widely adopted. These include establishing technical standards, securing approvals for equipment such as cables and inverters, and gaining support from energy networks and retailers for suitable tariffs. The most significant obstacle, however, lies with electric vehicle manufacturers. While many claim their vehicles are “V2G ready,” few offer warranties that cover battery use in bidirectional charging scenarios. BYD has made an exception for the Atto 3 within this trial, but broader manufacturer commitment is yet to be secured. ARENA’s CEO Darren Miller emphasises the transformative potential of V2G, envisioning a future where 5 gigawatts of capacity could be available from electric vehicles by 2035—more than double the capacity of Australia’s Snowy 2.0 hydroelectric scheme. Miller highlights the dual benefits for consumers, who can reduce their electricity bills by using their car batteries to supply home energy and provide grid services. However, he stresses the need for all EV models to adopt consistent standards and warranty assurances to unlock this potential fully. Federal Energy and Climate Minister Chris Bowen acknowledges the hurdles ahead but believes consumer demand will drive manufacturers to embrace V2G technology. With thousands already on the waiting list for the Amber trial, Bowen suggests that the ability to support vehicle-to-grid or smart charging will become a key factor influencing EV purchasing decisions. The government and industry stakeholders are now focused on working with car makers to ensure warranties and infrastructure are in place to support the widespread rollout of V2G systems in Australia.