In November, I spoke with a manager in charge of the bus fleet in Utrecht. His fleet consists of 42 electric buses. Each bus is equipped with a 350 kWh battery. All vehicles remain parked at the depot from 10 p.m. to 5 a.m. During this time, the batteries are fully charged. Because of this schedule, 14.7 MWh of energy remains stored in the batteries every night. He inquired about V2G systems after reading articles on this technology. At the end of our conversation, I explained how the V2G business model works. In the Netherlands, electricity prices are high in the evening. By selling electricity at that time, he receives between 0.35 and 0.45 euros per kWh, while his cost of purchasing electricity during periods of low demand is 0.08 euros. If he feeds 20% of the energy back into the grid, he makes a profit. And he can recharge the batteries when prices are low. This way, he earns over 800 euros every night. Calculating the annual total, he earns nearly 300,000 euros thanks to buses that aren’t running. He was silent for a brief moment. Then he asked when he could install the charging equipment. I often think back to that conversation when I wonder why V2G is so popular today. It’s a system that works right now. The physical components of the system are already available. The payments from the grid are high, but the most important factor is that the income generated is clear.
What Is V2G?
As for the definition, V2G stands for “Vehicle-to-Grid.” From a technical standpoint, V2G is a system in which electricity flows in both directions. In most cases, the flow goes from the grid to the charger, and then to the car’s battery. Thanks to V2G, the car can also feed electricity back into the grid. The vehicle is not just a consumer of electricity. It becomes a mobile battery that both captures and supplies energy. A bidirectional charger is the device that makes this possible.
Why This Shift Between 2020 and 2026?
For years, V2G was discussed at conferences, but nothing came of it. Today, it has become a reality. Cars have reached a higher level of maturity, with more models equipped with onboard bidirectional chargers in 2026 than in 2020. The power grid has begun to require this capability due to the increase in renewable energy. And governments have adapted their regulations to support bidirectional charging.
Three Revenue Streams That Make V2G Worth It
V2G is financially attractive thanks to three main sources of revenue. First, there is energy arbitrage: buying electricity at low prices at night, when rates drop, storing the energy in vehicles, and then reselling it or using it later, when prices rise. The actual profit depends on the market. In Europe, this ranges from 0.15 to 0.30 euros per kWh.
Next is frequency regulation. Power grids must maintain a stable frequency, typically at 50 or 60 hertz. When there is an imbalance between supply and demand, the frequency fluctuates. V2G systems can intervene instantly to help stabilize the grid, and grid operators generously compensate for this rapid and reliable response.
The third source of revenue is peak demand reduction. If your business has a commercial electricity contract where rates skyrocket during peak consumption periods, V2G allows you to smooth out those peaks. By discharging the batteries during periods of high demand, you can keep your electricity bill under control.
The Battery Degradation Question
Now let’s talk about battery degradation. All fleet managers are concerned about this, and rightly so. The more charge and discharge cycles there are, the greater the wear and tear on the batteries. But thanks to the latest advancements in lithium iron phosphate batteries, we can expect 4,000 to 6,000 cycles before capacity drops to 80%. V2G systems also don’t fully discharge the battery: they typically use only about 15% to 25% of the charge before recharging it. From what I’ve seen and heard, this adds only about 1% to 3% in additional wear and tear per year. And when you compare these low costs to the revenue generated (tens of thousands of euros per vehicle each year), the cost-benefit ratio remains heavily in your favor.
What Hardware Do You Need?
Here’s what you need to get started with V2G: first, you’ll need bidirectional DC fast chargers—each capable of handling power between 30 and 240 kW. This is your core equipment. Next, you’ll need energy management software. This handles all the tedious planning work and ensures you maximize your revenue automatically. Don’t forget the basics: you’ll need standardized grid connections, and your meters must be commercial-grade, since you’re selling electricity back to the grid.
Who Is V2G Really For?
If you manage a fleet of at least 10 electric vehicles—and those vehicles tend to remain parked for long periods between predictable trips—then V2G could be an ideal solution for you. You must also have a significant difference between peak and off-peak electricity prices, or be able to participate in local grid service payment programs. These conditions are common in regions such as Western Europe, Australia, California, Japan, and the United Kingdom.
What Hongjiali Offers for V2G
Hongjiali offers a complete V2G solution. Our bidirectional DC chargers (30 to 240 kW) are designed specifically for commercial fleets. The system supports CCS charging in both directions and connects directly to our cloud platform (OCPP 2.0.1), which handles energy management, scheduling, and revenue reporting for you. Simply provide us with some information about your fleet, and we’ll tell you exactly what you can earn.
Interested in V2G for your fleet? Contact us for a fleet V2G assessment →