5.3. ERMUSR 03-15-2016 �j
Elk River
Municipal Utilities UTILITIES COMMISSION MEETING
TO: FROM:
Elk River Municipal Utilities Commission Tom Sagstetter—Conservation and Key Accounts
John Dietz—Chair Manager
Al Nadeau—Vice Chair
Daryl Thompson—Trustee
MEETING DATE: AGENDA ITEM NUMBER:
March 15`h, 2016 5.3
SUBJECT:
Electric Vehicle Charging Opportunities
BACKGROUND:
Clean and renewable energy are two areas that are very important in today's energy market place. The
City of Elk River,Energy City Commission,and ERMU have been evaluating the possibilities of adding
clean electric vehicles to the city fleet and the charging possibilities for the fleet and the Elk River
community.
DISCUSSION:
City staff and ERMU are focused on researching and gathering information to assist in making decisions
to include electric vehicles and charging facilities for city and utility use. The focus of the research so far
has been on possible vehicle types,partnership opportunities,and funding options that include tax credits
and grants.
Electric vehicles continue to be a growing segment in the new vehicle market despite relatively cheap
gasoline prices. The benefits of electric vehicles are numerous. They include,but are not limited to:
decreased air pollution,quiet riding vehicles,expanded range(up to 200 miles per charge),cost effective
fuel and very minimal routine maintenance. Existing barriers in this market are: range anxiety,fear of
new technology and lack of maintenance experience and early adopter challenges.
The electric vehicle options provide a great opportunity for Energy City to strengthen its position as an
environmental leader. By including this innovative technology in the daily activities in and around Elk
River,Energy City can highlight the dedication to sustainable practices in the daily activity. For vehicles
that primarily stay within a 50 mile radius of the city,range anxiety should not be an issue. Based on the
quickly increasing charging stations located around the region it's possible to travel almost anywhere in
the state. The main factors to range anxiety are the type of vehicle being used and the network of
acceptable charging stations.
At this time,city and utility staff are evaluating the types of vehicles and the associated charging
requirements. The three types of cars are defined below:
1. Hybrid electric vehicles(HEVs)are primarily powered by an internal combustion engine that
runs on conventional or alternative fuel and an electric motor that uses energy stored in a
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battery. The battery is charged through regenerative braking and by the internal combustion
engine and is not plugged in to charge.
2. Plug-in hybrid electric vehicles(PHEVs)are powered by an electric motor. Conventional or
alternative fuel is used to power a gas generator that allows the electric motor to continue to
operate;hence extending the distance the vehicle can travel. The vehicle can be plugged into
an electric power source to charge the battery. Some types of PHEVs are also called extended
range electric vehicles(EREVs).
3. All-electric vehicles(EVs)use a battery to store the electric energy that powers the motor.
EV batteries are charged by plugging the vehicle into an electric power source.EVs are
sometimes referred to as battery electric vehicles(BEVs).
There are a number of organizations and communities that have adopted the use of electric vehicles into
their fleets such as the Minnesota DNR and the city of St.Paul. There are also a number of utilities who
have installed electric vehicle charging stations,such as; Wright Hennepin Electric,Connexus Energy,
and Xcel Energy. The focus thus has been on educating city staff on the types of vehicles,travel ranges,
and maintenance concerns of this technology.
There are drastic differences in the costs of the charging units and their charging rates because of the vast
differences in charging times and equipment. The type of electric vehicle and charging station technology
must be coordinated to ensure proper energy supply. ERMU is evaluating charging equipment options
and possible grants to decrease the upfront cost of the charging stations. The vehicle charging equipment
has three levels at this time:
1. Level One charging only requires a standard household 120 volt outlet. One hour of level
one charging will provide 4.5 miles of range and it takes approximately 22 hours to attain a
full charge.The level one charger is the most affordable;however,the slow charging process
is inconvenient and does not aid in eliminating range anxiety. It allows for a lower demand
charge over a longer period of time.
2. Level Two is a step up in charging and is equivalent to connecting your car to an electric
dryer or stove outlet. It requires 240 volts instead of the level one 120 volts. This is still
relatively cheap to install in a home and cost estimates are less than$1,500. These chargers
provide for a wide range of charging but maximum estimates are approximately 70 miles per
hour of charging,or about 8 hours for a full charge.
3. Level Three is the DC Fast Charge. This is the type of charging that will not be found in a
home. This charging equipment requires 480 volts. The charging unit actually converts the
alternating current(AC)of standard electricity to Direct Current(DC)prior to it being
transferred to the battery in the car. The other charging methods utilize inverters in the
electric vehicle to convert it to the DC electric. The DC Fast Charger can provide up to 20
miles of range in just 10 minutes. That would be equivalent to 120 miles of range provided in
one hour. These types of chargers have been vital to increasing the electric vehicle charging
network throughout the state and are decreasing range anxiety as they provide a relatively
quick charge for travelers. They are also important to organizations utilizing electric vehicles
in their fleets.
ACTION REQUESTED:
Staff is not requesting any action at this time. Staff is providing information to keep the Commission
informed of the research being conducted and ask for input on the potential of electric vehicle options and
programs that may be provided to the City of Elk River and the community.
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ATTACHMENTS:
• Meeting Notes—Electric Vehicle Charging
• Map—Public Charging Stations in Minnesota
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Electric Vehicle Charging
Notes from 2/24/16 meeting with Matthew Blackler,ZEF Energy and Power Over Time
• Per Capita, Minnesota is among top 10 states with the highest numbers of electric vehicles in
the country. Sales of electric vehicles have increased 500% in the past 2 years.
• There is a network building of EV charging stations throughout the state. Visit
www.plugshare.com to view map of stations.
• $18 billion in gas sales in MN that goes out of state
• Reducing dollars spent on gas keeps money in residents pockets to spend locally
• It takes 6 kWh to refine 1 gallon of gasoline
Chargers:
• ABB Terra 53 DC fast charger
o 50 kW, 30 minutes to fully charge, 60 miles of range per half hour
o Charger itself converts power from A/C to D/C
o cost approximately$40,000
o $200 annual fee for support/credit card processing service, etc.
o Key fobs used by drivers of EV to charge at station, users have set up an app with credit
card information to pay.
■ Possibility to allow ERMU customers to be billed for charging
o 480 volt 3 phase service required
o Power Factor>.96
o Temperature rating-31°to 122°F
• Level 2 charger
o 6.6 kW, 4 hours to fully charge, 12 miles of range per half hour of charging
o cost approximately$500
o 240 volt input, single phase service
• Level 1 Charger
o to fully charge, 3 1.4 kW, 21 hours mile range per half hour of charging
o 120 volt input required
Cost:
• $40,000 fast charger—possible downtown Elk River location
o ERMU costs to install 277/480 transformer
• $500 level 2—Streets department location
• $200 annual fee for support
• $600 annual fee for platform—ABB—(may be waived)
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Finance options:
• $15,000 MPCA grant
• Potential DEED grant
• 30%tax credit—ERMU as non-profit would not qualify—explore options
Vehicles:
• Chevy Bolt—available late 2016
o All electric
o MSRP$35,000
■ $7,500 tax credit available
o 200 miles of range per charge
o Lithium-ion battery
• 2016 Nissan Leaf
o All electric
o MSRP$29,000
■ $7,500 tax credit available
o has 3 kW heat pump for heating and cooling interior
o 107 miles of range- using 30 kWh ($1.76 if charged on off-peak rate)
o Lithium-ion battery
Maintenance:
■ Virtually maintenance free engine—no oil changes
■ Annual battery report to maintain warranty
■ Same tire and brake maintenance as other vehicles
o Brakes actually last 2-3 longer than gas car because pressing the break actually
reduces power from the motor,thus slowing down vehicle and reducing wear
and tear on brakes.
■ Batteries don't typically need replacement, over years they degrade and thus reduce
range available for driving.
o MN winter weather does not damage battery, can slightly reduce range.
o Extreme heat can damage battery—more of an issue in southern states.
o Nissan Leaf battery replacement$4,500(however not typical)
Residential Charging
• Level 1 or Level 2 chargers
• ERMU offers Off-Peak program- interruptible during peak hours. $.0585/kWh
• Can program chargers to NOT charge during peak hours UNLESS they physically push override
button. (Customer would then pay full electric rate). ZEF Energy can provide utility a report of
any overrides.
• Bilateral load control capabilities—frequency regulation
o MISO potentially offer incentives to utility for load control in future
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Next Steps
• Matthew to prepare quote for Fast Charger and Level 2 charger
• Matthew will provide more information regarding life cycle costs of electric vehicles—can
compare to costs of fleet vehicles for city
• Determine best locations
• Investigate grants further—complete applications
• Get commission/council approvals
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Public Charging Stations in MN
Orange = DC Fast Chargers
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