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The rapid growth of electric vehicles (EVs) is driving the expansion of charging infrastructure globally. As charging stations become ubiquitous, their substantial electricity consumption can influence grid operation and electricity pricing. Naturally, some groups of charging stations, which could be jointly operated by a company, may coordinate to decide their charging profile. While coordination among all charging stations is ideal, it is unclear if coordination of some charging stations is better than no coordination. In this paper, we analyze this intermediate regime between no and full coordination of charging stations. We model EV charging as a non-cooperative aggregative game, where each station’s cost is determined by both monetary payments tied to reactive electricity prices on the grid and its sensitivity to deviations from a desired charging profile. We consider a solution concept that we call C-Nash equilibrium, which is tied to a coalition C of charging stations coordinating to reduce their costs. We provide sufficient conditions, in terms of the demand and sensitivity of charging stations, to determine when independent (aka uncoordinated) operation of charging stations could result in lower overall costs to charging stations, coalition and charging stations outside the coalition. Somewhat counter to common intuition, we show numerical instances where allowing charging stations to operate independently is better than coordinating a subset of stations as a coalition. Jointly, these results provide operators of charging stations insights into how to coordinate their charging behavior, and open several research directions.
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A Generative AI Approach to Pricing Mechanisms and Consumer Behavior in the Electric Vehicle Charging Market
The electrification of transportation is a growing strategy to reduce mobile source emissions and air pollution globally. To encourage adoption of electric vehicles, there is a need for reliable evidence about pricing in pub-lic charging stations that can serve a greater number of communities. However, user-entered pricing information by thousands of charge point operators (CPOs) has created ambiguity for large-scale aggregation, increasing both the cost of analysis for researchers and search costs for consumers. In this paper, we use large language models to address standing challenges with price discovery in distributed digital data. We show that generative AI models can effectively extract pricing mechanisms from unstructured text with high accuracy, and at substantially lower cost of three to four orders of magnitude lower than human curation (USD 0.006 pennies per observation). We exploit the few-shot learning capabilities of GPT-4 with human-in-the-loop feedback—beating prior classification performance benchmarks with fewer training data. The most common pricing models include free, energy-based (per kWh), and time-based (per unit time), with tiered pricing (variable pricing based on usage) being the most prevalent among paid stations. Behavioral insights from a US nationally representative sample of 13,008 stations suggest that EV users are commonly frustrated with the slower than expected charging rates and the total cost of charging. This study uncovers additional consumer barriers to charging services concerning the need for better price standardization.
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- Award ID(s):
- 1945332
- PAR ID:
- 10577957
- Publisher / Repository:
- American Association for the Advancement of Artificial Intelligence (AAAI) Proceedings
- Date Published:
- Journal Name:
- Proceedings of the AAAI Symposium Series
- Volume:
- 2
- Issue:
- 1
- ISSN:
- 2994-4317
- Page Range / eLocation ID:
- 54 to 61
- Format(s):
- Medium: X
- Sponsoring Org:
- National Science Foundation
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- Free Publicly Accessible Full Text
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Accepted Manuscript1.0
- Journal Article:
- https://doi.org/10.1609/aaaiss.v2i1.27649
