IEEE Vehicle Power and Propulsion Conference (VPPC), September 3-5, 2008, Harbin, China

Plug-in hybrid electric vehicle developments in

the US: trends, barriers, and economic feasibility
Sanjaka G. Wirasingha*, Nigel Schofield** and Ali Emadi*
*

Illinois Institute of Technology, Chicago, IL, USA. Email: wirasan@iit.edu, emadi@iit.com

** University of Manchester, Manchester, UK. Email: nigel.schofield@manchester.ac.uk

Abstract There is a growing interest in Plug-in hybrid

electric vehicle (PHEV) concepts for private, public, and
utility services across the USA. This has encouraged the
establishment of a number of small companies providing
expertise and components for evaluation and demonstration
system vehicles, and interest by auto manufacturers in
future mass-produced PHEVs. In this paper, we present
the principles of Plug-in hybrid electric operation, discuss
the practical implementation issues associated with the
various technology platforms, and propose power-train
options for various classes of vehicle. We also discuss
current US hybrid and PHEV trends, summarize major
national and state projects, the charging impact on the
power grid, vehicle-to-grid technology (V2G) and other
related technologies.
KeywordsPlug-in hybrid, USA, Trends, Charging, V2G.

I.

INTRODUCTION

rowing consumer expectations, legislation

pushing for lower emissions and higher fuel
price, and the realization that petroleum is a finite
resource are leading to groundbreaking changes in the
automotive industry, such as drivetrain electrification
and a push for fuel cell vehicle commercialization.
Depending on the degree of electrification, the
combination of the internal combustion engine (ICE)
with an electric motor offers a wide range of benefits
from reduced fuel consumption and emission reduction
to enhanced performance and the supply of powerhungry hotel loads. In the USA, hybrid electric
vehicles (HEVS) have already been accepted as a
mainstream transportation option with close to a
million hybrids on the road [1].
Plug-in hybrid electric vehicles (PHEVs) go a step
further in reducing fuel consumption. With increasing
interest, one issue is how to formally define a PHEV.
According to IEEE-USAs Energy Policy Committee,
a plug-in hybrid electric vehicle is defined as any
hybrid electric vehicle which contains at least [2]: (1) a
battery storage system of 4kWh or more, used to power
the motion of the vehicle; (2) a means of recharging
that battery system from an external source of
electricity; and (3) an ability to drive at least 10 miles
(16.1km) in all-electric mode consuming no gasoline.
PHEVs are essentially a combination of a battery
electric vehicle (BEV) and a HEV, having the allelectric capability of a BEV in urban areas and a
smaller on-board ICE for extended range capability as
an HEV. To extend the all electric range, the battery

C 2008 IEEE
978-1-4244-1849-7/08/$25.00

pack is usually substantially larger than in typical

HEVs and will thus cost and weigh considerably
more. This additional weight can have a negative
impact on the fuel economy of the vehicle. However,
research studies have shown that battery packs offering
an effective electric range of 20 miles (32.2km) will
yield over 45% reduction in petroleum consumption
[3-4].
An important issue to be addressed with the
expansion of PHEV fleets is the recharging of the
battery from the local grid. The added financial and
environmental cost of grid electrical energy must also
be included into vehicle fuel efficiency and emissions
calculations.
The load impact on local/national
electrical supply networks due to mass production and
distribution of PHEVs is an area of much discussion
and debate.
This paper reviews the growing interest in PHEVs
in the USA and summarizes major national and state
projects. The principles of (PHEV) operation are
presented and distinctions made from other power-train
concepts. The practical implementation issues
associated with various technology platforms are
discussed and power-train options proposed for various
classes of vehicle. Impact on the grid, vehicle-to-grid
technology (V2G) and the future of PHEVs are
discussed.
II.

WHY WE NEED ALTERNATIVE VEHICLES

It has become apparent that a shift needs to be made

from dependency on petroleum-based fuels to a more
diversified source of fuels in the USA. Government,
universities and the private sector have begun to see the
importance of fuel efficiency, fuel consumption,
environmental factors and health concerns to the
population. The attention that these factors are
receiving has begun to necessitate the development of
PHEVs and other vehicle technologies.
A. High Efficiency
Hybrids and plug-in hybrids allow a smaller-sized
ICE to operate closer to its maximum efficiency with
the electrical motor providing all or some of the
required vehicle traction over a drive cycle. Engines
are relatively inefficient, ranging between 15-30%
efficiency. Electrical based traction systems are more
energy efficient and their power capability is better
suited to variable speed, thus providing substantially
greater torque at low speeds for improved vehicular

IEEE Vehicle Power and Propulsion Conference (VPPC), September 3-5, 2008, Harbin, China

performance, an operating region where the ICE is

least efficient. PHEVs also allow the capture of
otherwise wasted braking energy to recharge the onboard batteries through regenerative braking, with
overall vehicle operating efficiency generally
increased.
B. Fuel Consumption
In 2005, the US and China were accountable for
25% and 15% of world petroleum consumption,
respectively. The USA oil consumption has increased
by about 40% from 1982 levels, whereas petroleum
consumption in China and India has more than doubled
over the same period [4], as illustrated in Fig. 1. As
markets in rapidly developing countries such as China
and India develop, world petroleum demand is
expected to continue increasing. This trend, along with
other causes for price increases in petroleum, has
brought much awareness to the USAs current
dependence on foreign oil. With the cost of gas rapidly
increasing, the US legislation is being introduced to put
pressure and give incentives to the automotive market
to accelerate the development of vehicles with lower
fuel consumption.

Figure 1. Oil consumption from 1960-2005 [3]

C. Environment and Health Concerns

Figure 2 illustrates a study conducted by the US
Energy Information Administration (EIA) that
indicates US emissions of greenhouse gasses have been
steadily increasing for approximately the last 20 years.
In fact, the United States, a nation where 4% of the
world's population resides, accounts for 24% of total
global greenhouse gas emissions [5].
HEVs and PHEVs have been shown to produce
fewer emissions than conventional ICE vehicles, with
the exception of SO2 emissions produced by coal
power plants [3]. However, SO2 emissions at power
plants can be eliminated through the use of flu-gas
desulphurization local to the power plant, renewable
energy sources such as wind, hydro, and solar. Studies
by the EPA have found that PHEVs using current
power generation sources have lower emissions than
conventional gasoline vehicles [6]. In fact, the EPA
estimates that if plug-in hybrids reached a constant
30% market share by 2025, this alone would account
for 25% of the total reduction in greenhouse gasses

needed from the entire transportation sector to stabilize

emissions in the US.

Figure 2. Greenhouse gas emissions in the US [3]

III.

CURRENT TRENDS IN THE USA

A. HEVs and EVs

Rudimentary hybrid vehicles first made an
appearance in the U.S. but were largely inactive. In
1966, the US Congress introduced the first legislation
recommending electric vehicles as a way to reduce air
pollution. Shortly thereafter, a series of new legislation
promoted hybrids and large scale research efforts of
companies such as General Motors, Honda, and Toyota
[7]. In 1999, Honda introduced the first massproduced hybrid in the U.S. the Honda Insight with a
highway mileage rating of 70 mpg by the EPA. In
2000, Toyota released the Prius and hybrid sales in the
U.S. took off. The first American hybrid to hit the
market was the Ford Escape hybrid in 2004; it was also
the first SUV hybrid vehicle [7]. According to
manufacturers reported figures, a total of 352,184
hybrid vehicles were sold in the U.S. in 2007,
compared to 250,000 units sold in 2006 [8]. Toyota,
was the top seller with over 70% of the total market.
B. PHEV
With HEVs now taking center stage as a practical
near-term solution for reducing oil consumption in the
US, the next logical step is to increase battery capacity
and build PHEVs. Currently PHEV technology has
come to fruition partially through privately funded
conversions of existing hybrids, discussed later in
detail. Government and automotive makers are also
working on PHEV prototypes. The US Marine Corps
has a demonstration diesel-electric PHEV20 Humvee.
DaimlerChrysler and General Motors also have
publicly tested PHEV prototypes. Of note is General
Motorss intention to mass-produce the plug-in Saturn
VUE (SUV) by 2010 [14].
C. Electric
Electric cars have not garnered the same enthusiasm
and support as hybrids because they carry the negative
stigma of long charging times and limited range.
Additionally, like PHEVs, the requirement for large
battery capacity and high energy density lead to much

IEEE Vehicle Power and Propulsion Conference (VPPC), September 3-5, 2008, Harbin, China

higher production cost. There are at least half-dozen

electric cars in production today with the Tesla Motors
Roadster generating the most interest. It has a price tag
close to $100.000, boasts 060mph in less than 4
seconds, 135mpg equivalent, and a 200-mile range
[10].
D. Fuel Cell
Hydrogen fuel cells have sparked interest among
politicians and the media. Hydrogen supporters claim
that hydrogen will be the answer to all transportation
energy needs in the US because it will eliminate
dependence on foreign oil and eradicate pollution from
cars. Critics argue that it may be a long-term solution,
but the technology to produce a hydrogen economy at
low-cost does not yet exist, and that it is critical that
near-term solutions such as HEVs and PHEVs receive
the most attention [9].
IV.

FEDERAL AND STATE LEGISLATURE

A. Federal Level
1) The Presidents Role
In President George W. Bushs 2006 State of the
Union address, the Advanced Energy Initiative (AEI)
was announced. This initiative increases the
Department of Energys (DOE) budget for cleanenergy research by 22% and targets battery research for
hybrid and electric cars. Similarly, in the Presidents
2007 State of the Union address, the Twenty in Ten
initiative was introduced. This is a plan to reduce the
USs total gasoline consumption by 20% in the next
ten years. PHEVs will undoubtedly play a key role in
meeting this goal.
2) Tax Incentives
Tax credits are offered to those who purchase hybrid
cars and are considered a significant incentive to
consumers.
TABLE I.
LIST OF TAX CREDITS GIVEN TO HYBRID CONSUMERS [11]

Ford Escape Hybrid

Toyota Prius
Chevrolet Silverado
Nissan Altima

Tax Credit Amount

(US$)
3,000
3,125
250
1,300

3) Federal Legislature
The federal legislative bodies in the US have begun
passing laws that encourage hybrids and other
alternative fuel solutions. Passenger cars sold in the US
are expected achieve 40 mpg by 2016. The DRIVE
Act; a bill introduced to the US Senate that would
reduce oil consumption in the US by 2.5 million barrels
per day by 2016 and 10 million barrels per day by 2031
are a few examples. One notable feature of the bill is
its vehicle technology requirement for manufacturers to
make 50% of their new vehicles as flexible fuel

vehicles by 2016. In effect, alternative fueled vehicles,

HEVs, or PHEVs.
B. State Level
California and New York are leading the way with
initiatives to promote the use of plug-in hybrids, with
states like Minnesota and South Carolina following.
1) New York
The state of New York has emerged as one of the
leading states in promoting PHEVs. In 2006, it
announced a program to convert 600 state-owned
Toyota Prius vehicles to PHEVs with a 100-mpg fuel
economy. Once the government vehicles have been
converted, the program will be opened to private
vehicle owners [12]. New York State has also
established the New York State Alternative Fuel
Vehicle Research Laboratory, a facility focused on
research and development of alternate fuels and
greenhouse gas reduction technologies [12]. In May
2007, the mayor of New York City, Michael
Bloomberg, announced a plan to reduce emissions of
taxicab and for-hire vehicle fleets by 50% during the
next decade. As part of the plan, conventional yellow
taxicabs will be fully replaced with hybrids by 2012.
The mayor estimates that this will reduce emissions
tremendously, as well as save taxi operators $10.000
annually in fuel costs. In effect, average taxicab fuel
efficiency will increase from 14 mpg to 30 mpg [13].
2) California
California is among the leading states in the push for
better, cleaner transportation. On January 18, 2006 the
Governor of California signed an executive order
named the Low Carbon Fuel Standard, an act requiring
fuel suppliers to reduce the carbon dioxide emissions in
vehicles by 10% by year 2020. Additionally, the State
of California passed the Global Warming Solutions Act
in 2006 which requires global warming emissions to
return to 1990 levels by 2020.
In January 2007, after petitioning the federal
government for two years to more closely regulate
tailpipe emissions from passenger cars and light trucks,
the state of California brought a lawsuit against the US
Environmental Protection Agency for failing to act.
According to the Governor of California, the US
EPAs current plan does not reflect a vision to address
climate change beyond 2020, while Californias plan,
fights climate change through 2050 [14].
C. Non-profit Organizations: The California Cars
Initiative (CalCars)
The California Cars Initiative (www.calcars.org), or
CalCars, is a Palo Alto-based, charitable, non-profit
organization founded in 2002, consisting of
entrepreneurs, engineers, environmentalists, and
consumers specifically promoting PHEV technology
[16]. According to the organization, they are
somewhat uniquely[themselves] a hybrid, focusing
both on public policy and technology development, and
harnessing buyer demand to help commercialize
PHEVs [16].

IEEE Vehicle Power and Propulsion Conference (VPPC), September 3-5, 2008, Harbin, China

In September 2004, CalCars successfully converted

a 2004 Toyota Prius into their first proof-of-concept
called the Prius+, achieving almost double the fuel
economy of a standard Prius with an all-electric range
of 10 miles [17]. The vehicle control strategy permits
all-electric mode at up to 34 mph, with the battery pack
allowing 10 all-electric miles, 20 miles of gasoline
mileage, or mixes of the two, after which the operation
switches to standard HEV mode, still using the new
battery pack [17].
As the next step, CalCars principal goal is to get
automakers to mass-produce PHEVs. Their focus
includes encouraging emerging green technology
business coalitions to adopt PHEVs that can be built
without needing new technology as key to addressing
climate issues starting now. The non-profit
organization also plans to refine and implement its
No-Worry fleet plan, aiming at battery technology
with an objective to eliminate batteries as an
impediment for automakers, and thus hasten the
creation of a demonstration fleet of PHEVs that would
create a path to mass production [16]. It plans to launch
a targeted effort towards automakers with the help of
public advocacy campaigns and private cooperative
business proposals in helping mass-produce plug-in
hybrids [16].
D. Private Sector Companies: Google
U.S. companies in the private sector, such as Google
and Palm, have shown active interest in PHEV
technology. The RechargeIT program initiated by
Google.org, focuses specifically on PHEV technology,
The company is working together with Hymotion and
A123 Systems to convert their growing corporate fleet
of hybrid cars into plug-in hybrids, and also collect
real-world performance data to demonstrate their
efficiency as compared to hybrids and conventional
vehicles. The Google fleet of cars will also be
connecting to solar charging stations at the companys
headquarters to demonstrate use of renewable
electricity in the transportation sector. RechargeIT is
also actively working with Pacific Gas and Electric
Company (PG&E), a combined natural gas and electric
utility provider in northern and central California, to
explore ways to develop and enable vehicle-to-grid
(V2G) technology. In September 2007, Google.org
published a Request for Investment Proposals (RFP)
for up to $10 million focusing on investment
opportunities in alternative transportation technologies
and companies, such as those working on PHEVs,
EVs, V2G technology, and batteries and other energy
storage technologies [18]. Google.org believes that,
by demonstration the technology using [their] own
fleet and supporting others through grants and
investments, together we will drive toward a plug-in
revolution addressing the climate and energy
challenges of todays transportation sector [18].

V.

PLAYERS IN THE U.S. HYBRID AND PLUG-IN

HYBRID MARKET

The past few years have seen a significant boom in

the number of existing and start-up companies in the
United States focusing on alternative transportation
technologies. From Toyotas trend-setting Prius to
GMs Saturn Vue to International Truck and Engine
Corporations (IC) plug-in school bus to retrofits
performed by companies like Hymotion and
EnergyCS, the number of both hybrids and plug-in
hybrids in the nation is steadily increasing.
A. Hybrid Compacts and Sedans
In the mid-size car market, the Toyota Prius
continues to lead the way as the top-selling hybrid and
8th best-selling car in the U.S. for 2007. An indication
to automakers that hybrids have moved on from the
early adopters stage and are rapidly becoming
mainstream choices, as consumer demand for better
mileage and lower emissions continues to increase [8].
According to research done by hybridcar.com, at least
four out of every ten potential U.S. car buyers are at
least considering buying a hybrid vehicle as their next
car [8].
B. Hybrid SUVs, Minivans and Trucks
Forecasts for 2008 predict that Ford and GM are
working to lessen the gap especially with the SUV and
truck sectors. Fords Escape Hybrid was not only the
first hybrid SUV to enter market, but also the most
fuel-efficient SUV on road boasting up to 34 mpg [19].
GM is close behind with its Saturn Vue hybrid SUV
going on sale later in 2008. According to Saturn, the
vehicle will be the worlds most fuel-efficient V-6
SUV [20]. However, considering that the only other
hybrids V-6 SUVs are both larger: the Toyota
Highlander Hybrid and its sister, the Lexus RX 400h,
this is not as impressive. More impressive is the
claimed 50-percent fuel economy improvement
compared to the non-hybrid Vue XR, resulting with an
almost 29 mpg combined fuel economy once final
testing is complete [20-21].
In addition, Saturn has announced production may
begin as early as 2010 on a plug-in hybrid version of
the Vue Green Line, the auto industrys first production
PHEV. This vehicle will use a lithium-ion battery pack
which when fully charged, is expected to potentially
double the fuel-efficiency of the Vue 2 Mode Hybrid
[26]. The charge port will be located at the trailing
edge of the front fender, and will need a standard 120V
connection. In its early testing, Saturn states that the
PHEV will be capable of up to 10 mile all-electric
range at low to moderate speeds; at higher speeds or
when condition demands it, the vehicle will switch to
hybrid or engine-only modes for propulsion [20].
Saturn has also introduced a plug-in Flextreme concept
that would achieve up to 34 miles all-electric range,
with the vehicle using a Li-ion battery pack that can be
charged within three hours, and a 1.3L turbo-diesel on-

IEEE Vehicle Power and Propulsion Conference (VPPC), September 3-5, 2008, Harbin, China

board engine [20]. Work on the concept is being done

by a collaborative effort between Saturn and Opel.
C. Transit Buses
There are over 80,000 transit buses utilized by
transit systems and about 6,000 buses manufactured
annually in the United States [22]. These buses travel
over 2.5 billion miles every year at just over 3.5 miles
per gallon (mpg) on average and represent ideal PHEV
market [23].
Many companies, led by General Motors, Orion bus
(Daimler Chrysler) and New Flyer, have started
developing hybrid buses. General Motors utilizes
Allison E-Drives hybrid systems while Orion licenses
British Aerospace Engineering Systems (BAE)
technology. New Flyer, North Americas leading bus
manufacturer develops hybrids using both Allison EDrive and ISE Corporations thundervolt system. While
each companys technology has its advantages and
disadvantages, current hybrid buses available in the
market can cost more than $500,000, a significant
increase over a standard transit bus, which sells for
close to $250,000.
However, none of the mainstream bus companies are
currently developing plug-in hybrid buses due the
additional cost inherent in adding extra battery
capacity. Odyne Corporation, AFV solutions, Mobile
Energy solutions and HEVT, are three separate start-up
companies currently working on developing such
technology.
D. School Buses
School buses are an integral part of the U.S.
transportation sector. There are more than 440,000
school buses in the United States that transport over 24
million children on approximately 10 billion student
trips each year. Nationwide, school buses consume an
estimated 1.1 billion gallons of diesel fuel every year,
and produce thousands of tons of air pollutants. Like
the rest of the transportation sector, school bus fleets
are facing the same challenges of increasing fuel costs
and more stringent emission limits. They also face the
challenge of adverse health impact poor air quality is
having on this nations children. Several ways to
address these challenges include more efficient engines
and use of non-petroleum based fuels. Another
solution, like demonstrated in the passenger car and
transit bus markets, is plug-in hybrid technology.
Advanced Energy Corporation (AE), a non-profit
energy consulting firm based in Raleigh, North
Carolina, established the nations first Plug-in Hybrid
Electric School Bus (HESB) program with the
objective to create the demand for plug-in hybrid
school buses required for a bus manufacturer to invest
in the development of this technology. Nationwide, ten
school districts in the states of NY, PA, NC, SC, FL,
IA, AK, TX, WA, and CA have purchased a total of 15
plug-in hybrid buses in the program with all buses
expected to be delivered by the end of 2008. Each bus
is a type-C school bus with a VT365, 200-215 hp
diesel engine by IC Corporation, a 25/80-kW AC

induction motor and hybrid drivetrain from Enova

Systems, and a 330-V Li-ion battery pack from
Valence Technologies. The total cost of each bus
ranges from $200,000-$220,000, including an
estimated $140,000 premium for the plug-in hybrid
system.
Thus far, this is the only such program in the nation
specifically concentrating on school buses, and has
helped give the concept of greener school buses
increasing national interest and momentum. The
HESB program consists of four phases, including the
initial purchase orders under Phase I, monitoring,
testing, and analysis currently being undertaken in
Phase II, near-future fleet demonstration under Phase
III, and full school bus market penetration in Phase IV.
With a successful completion of all four phases, the
ultimate objective of the program is to help enable a
complete transformation of the U.S. school bus market
so that all new school buses will be plug-in hybrids.
E. Retrofit Companies
The conversion of a hybrid to a plug-in hybrid, in
simple terms, involves either replacing or adding to the
vehicles existing battery pack, adding a charger, and
working on the hybrid systems control strategy to use
only or more electricity for vehicle propulsion
depending on the batterys SOC. The control systems
of all current hybrid vehicles in market are proprietary,
making it much easier for OEMs to implement plug-in
hybrids themselves. However, with no automakers
offering production PHEVs on market, a range of startup companies focusing on plug-in hybrid conversions
began to steadily arise with 2001.
EnergyCS (http://www.energycs.com) was the first
for-profit company to offer PHEV conversions,
specializing in the 2004-2006 Prius models. Amberjac
Projects, a UK-based company, works with EnergyCS
to provide conversions in Europe. Originally,
conversion kits from EnergyCS were installed by
EDrive Systems, another start-up company which now
has parted ways with EnergyCS and is designing its
own conversion kits. Hymotion, founded in 2005 in
Toronto, Canada, offers PHEV upgrade kits for the
Toyota Prius and the Ford Escape and Mariner
Hybrids. Unlike EDrive and Hybrids-Plus, both of
which have developed their own replacements for the
OEM battery management subsystems and replaced the
original battery packs, Hymotion and other companies
including PriusPlus and PiPrius have figured ways of
manipulating the OEM battery management system so
it acts as desired. These companies use what is known
as Hybrid Battery Pack Configurations, which take
advantage of the state-of-charge drift in order to
manipulate the battery SOC, hence allowing the
vehicle to use the added battery pack. In one of the
configurations, the OEM battery is charged from the
new battery to raise its voltage enough to cause
voltage-based correction in the systems counter-based
SOC calculation algorithms, hence enabling improved
battery pack utilization which is key to PHEV
operation [25].

IEEE Vehicle Power and Propulsion Conference (VPPC), September 3-5, 2008, Harbin, China

VI.

PHEV COMPONENTS

A. Battery Technology
Todays battery technology proves to be quite an
obstacle for marketability of PHEVs. In order for a
PHEV to achieve a substantial all-electric range, it
must have much larger battery capacity than HEVs. At
present, however, batteries with such high power
requirements come at very high cost. For example,
based on a daily driving distance study conducted in
the US in 1995, it is estimated that a PHEV20 would
displace 30% petroleum consumption on average [15].
In all electric operation, a midsize sedan has a power
requirement of about 300 Wh/mi. In other words, a
midsize PHEV20 sedan must have a battery with about
a 6kWh capacity, amounting to an $8,000 price
increase in production for Li-Ion. Figure 3 shows an
estimated distribution for battery power requirement of
different PHEV types.

Figure 3. Reduction in Fuel Consumption vs. Power-train Cost

Increment Midsize Sedans [15]

Of the three major battery chemistries, Nickel Metal

Hydride (NiMH) and Lithium Ion (Li-Ion) have been
found to be useful in hybrid vehicle applications.
Presently, NiMH dominates the market because it is
more affordable; however, Li-Ion is predicted to take
over as it reaches manufacturing and technology
maturity and its cost decreases [26].
Li-Ions
anticipated success is largely due to its high specific
energy, specific power, and fast charging.
B. Motor
Electric motors used in production HEVSs range in
power varying from 50 kW- to 160 kW-max [27]. In a
parallel hybrid, the motor can account for about half of
the vehicles total propulsion power. In a PHEV,
during all-electric operation, the motors power output
will need to significantly increase.
As electric motor development continues, some of
the key areas identified are such as multiple motor
design concepts including variable-voltage traction
motors and sintered or bonded magnets for permanent
magnet motors.
Besides increasing performance,
research efforts are being made to reduce materials,
parts, and manufacturing costs [27].

C. Engine
The internal combustion engine (ICE) requirements
of series and parallel drive train configurations are
quite different. For example, an ICE suitable for use
in a series vehicle would likely have high efficiency at
a constant speed, while a parallel vehicles ICE would
need to concentrate on efficiency over a range of
speeds, including acceleration and deceleration.
Research is currently being done by the Department of
Energy (DOE) to more accurately determine suitable
requirements for different drive train configurations.
Additionally, there is a lot of research to be done on
engines in general, but applied particularly to PHEVs.
This includes fundamental combustion, integrated
engine and emission control, and fuel systems.
VII. INTERACTING WITH THE GRID
While the likely impact of a million PHEVs plugged
into the electric grid cannot be exactly determined due
to key variables, battery size, efficiency, and charging
times, research and development continues to bring
greater insight into a plug-in-electric transportation
future.
A. Grid-to-Vehicle
An October 2006 study conducted by the National
Renewable Energy Laboratory (NREL) uses a PHEVload tool to examine the potential impacts of mass
deployment of PHEVs on a given electric power
system. The developed tool simulates PHEV charging
on an optimized 24-hour cycle for a utility control area
in the Midwest, and five other U.S. geographical
regions to account for differences in electricity use and
driving patterns; hourly electric load data was available
for each of the regions evaluated [28-29]. The study
assumes that 40 percent of the PHEV daily miles
traveled were all-electric, requiring between 4-6 kWh
on average per day. Fig. 4, from the study, shows the
estimated increased energy consumption in each of the
six regions depending on PHEV penetration rate [28].
This type of new load clearly represents an opportunity
for electric utilities to increase sales without
contributing to system peaks and also increase load
factor for both generation and transmission facilities
[28]. There is always a risk of many PHEVs getting
plugged in at an inopportune time, therefore it is
important to have smart chargers and educated drivers.
Fig. 5, also from the study, provides load-duration
curves for the simulated Midwestern utility system in
particular, with a base of 0% up to 50% PHEV market
penetration. The figure indicates that provided the
adoption of an optimized PHEV charging regime such
as where consumers are educated to plug their vehicles
at nighttime, the majority of PHEV charging energy is
supplied by base load units, and a significant increase
in the system minimum load occurs [29]. Even during
summer nights with increased air-conditioning
demands, only small amounts of electricity provided by
intermediate load plants would be needed. The

IEEE Vehicle Power and Propulsion Conference (VPPC), September 3-5, 2008, Harbin, China

increased overnight minimum load helps even out the

daily load, substantially decreasing power plant
cycling, which translates into decreased power plant
start-up and operations and maintenance (O&M) costs,
and greater return on capital for electricity
infrastructure [29]. Results showed that in all systems
with up to 50% PHEV penetration, more than 80% of
the charging electricity was derived from units from
the bottom two-thirds of the load-duration curve
(LDC), therefore no additional generation capacity was
needed [29].

Figure 4. Percentage increase in total electric demand vs 50% PHEV

penetration

Figure 5. Impact of PHEV charging on system load-duration curve,

Midwestern region

The above conclusion highlights another important

issue regarding mass PHEV charging, that being of
whether or not pollution is simply shifting from cars to
power plants. PHEVs have significant implications for
overall emissions as electricity displaces gasoline, with
the net balance in the emissions being affected by the
entire fuel cycle from extraction of raw energy and
regard to its source to the final conversion within the
vehicle. The NREL study indicates that no new power
plants are required with even 50% PHEV market
penetration. In fact, according to Pacific Northwest
National Laboratorys November 2007 study, assuming
the average car drives 33 miles per day, the existing
U.S. electric power grid has sufficient capacity to fully
fuel about 70% of Americas roughly 217 million
passenger vehicles [30]. This merge of transportation
with utility could reduce gasoline consumption by 85
billion gallons per year, potentially displacing 52% of
US oil imports, saving $270 billion in gasoline cost,
and reducing 27% of total US greenhouse gases (GHG)
[30-31]. The estimated reduction in GHG results from

several factors, including the consideration of overall

improved efficiency along the electricity generation
path compared to the conversion chain from crude oil
to gasoline to the combustion process in the vehicle, as
well as assuming the PHEV by itself would be more
efficient than a conventional gasoline-powered vehicle
as a result of regenerative braking capability and
optimal engine operation [30].
One of the limitations currently with PHEVs is
charging time; with the max charge current available
being 15A/50A for 120V/220V respectively, vehicle
charging rate is limited. Also, development of smart
charging and proper educational programs regarding
charging for PHEV owners is important.
B. Vehicle-to-Grid (V2G)
Vehicles, in general, are parked over 90 percent of
the time [28]. The primary idea behind vehicle-to-grid
(V2G) technology involves connecting PHEVs to the
grid while idle, and tapping into their on-board battery
packs as sources of stored energy to provide a number
of grid services. PHEVs have larger battery packs than
HEVs, and unlike BEVs, they retain engines that can
still be used to drive the vehicle.
According to Kempton and Tomic, existing utility
infrastructure and vehicle constraints that would help
determine the reverse power flow potential from
PHEVs include the capacity of the plug circuit and
battery SOC when plugged in to supply to the grid
[32]. Most homes and commercial buildings have
120V, 15A or 240V, 50A circuits, which can allow a
maximum of roughly 2kW and 10kW of reverse power
flow, respectively. Additionally, rapid charge and
discharge cycles of the battery on a daily basis and the
depth of discharge each time directly affect its overall
health and life. Advances in battery technology are
necessary in order to make V2G technology
economically viable.

Figure 6. A possible vehicle-to-grid (V2G) network [32]

Furthermore, implementation of proper utility

infrastructure that would enable V2G technology,
means of communication with a grid operator and
metering on-board the vehicle is necessary. Fig. 6
illustrates a possible V2G network , where a grid
operator (labeled ISO for Independent System
Operator) can send a signal over a designated
communication medium requesting for power from a
large number of vehicles parked [32]. The signal can
go directly to each vehicle, or to the office of a fleet

IEEE Vehicle Power and Propulsion Conference (VPPC), September 3-5, 2008, Harbin, China

operator that controls the vehicles in a single parking

lot, or through a third-party collector of separately
located vehicles [32]. The ISO also continues to
dispatch some power from standard central-station
generators to meet total load.
PHEVs with V2G capability, compared with large
generators, have lower durability and higher cost per
kWh of electric energy, making them most suitable for
high-value, short-duration power markets, as opposed
to being utilized for demand-response resources where
the potential revenue from providing this service is
limited [32]. The most promising markets in particular
for V2G power include ancillary services such as
regulation and spinning reserves. Grid operators
require fast and accurate responses from these services,
and typically are used for short durations; furthermore,
these services must be available 24 hours per day 7
days per week, representing 8,760 operating hours in a
year and a multi-billion dollar combined market [28].
With on-board metering and depending on such
variables as the control areas average market clearing
prices, run-time requirement for resources providing
spinning reserves, the random nature of providing
regulation services, and total amount of battery power
available as supply, PHEV owners can earn from $180
to as much as $3,000 per year [28].
VIII. CONCLUSIONS
There is a growing interest in plug-in hybrid electric
vehicle (PHEV) concepts for private, public, and utility
services across the USA. PHEVs are specified and
designed to have the capability for at least 10mile
operation in all-electric mode, a feature that makes the
PHEV more attractive to inner-city vehicles where
emissions have an immediate impact on public health.
The retrofit of existing vehicle fleets to PHEVs would
make a sizeable impact on the greenhouse gas
reductions needed from the transportation sector to
stabilize emissions in the USA over the next decade.
So, the PHEV power-train concept has potential to be a
key contender for future vehicular systems, paving the
way to the hydrogen economy or other alternatively
fuelled vehicles.
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