Shell launches dynamic pricing model for ultra fast charging in Germany
Oil company Shell has launched dynamic power pricing at fast-charging stations in Germany. This is a pilot at more than 1,600 charging stations in Germany, reports the company.
Dynamic pricing takes into account the development of the power exchange price (spot price). The aim is to give drivers of electric cars a financial incentive to charge at times when electricity is particularly cheap. “Those who charge at times when a lot of renewable energy is available help stabilise the electricity grid,” says Florian Glattes, General Manager Shell Mobility DACH. “And at those times we can pass on any price benefits to our customers.”
With the dynamic pricing model, prices at Shell Recharge charging points move with the fluctuations of the power exchange price. This so-called spot price is set daily at the power exchange based on predictions of supply and demand, and varies throughout the day. For instance, around midday, when there is strong sunshine, there may be an oversupply from solar power, leading to lower prices. Conversely, prices rise when demand exceeds supply – for example, in the early evening hours, when households use a lot of power.
The exact prices – including components such as grid costs, energy taxes, operational costs and grid investments – can vary depending on the power exchange price and other factors. At the start of the pilot project on 30 June, the maximum price difference during the day was 6 cents per kilowatt-hour (kWh).
The dynamic pricing model applies to retail customers at all Shell Recharge charging points. The prerequisite is the use of the Shell Recharge app or charge card.
Whether the system will also be applied in the Netherlands was checked with Shell.
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