ARENA, the Australian Renewable Energy Agency has announced it has expanded support for vehicle-to-grid (V2G) technology, by committing an additional $13.6 million in order to grow Australia’s largest residential trial and potentially accelerate the integration of electric vehicles into the nation’s energy network.
The funding boost increases ARENA’s total investment in Amber Electric’s smart charging and V2G project to $16.8 million and will see the number of participating V2G households increase twenty-fold, from 50 to 1000 homes.
The expanded program will also more than double the number of households participating in smart charging initiatives, growing from 950 to 2000 customers.
Vehicle-to-grid technology enables compatible electric vehicles to charge from the electricity network and also export energy stored in their batteries back to homes or the broader grid when demand and electricity prices are highest.
ARENA chief executive Darren Miller said the next phase of the project would play a critical role in overcoming some of the barriers currently limiting wider adoption of bidirectional charging technology.
“To unlock V2G at scale, we need to bring together customers, car-makers, networks, and technology providers,” he said.
“A big part of that is giving manufacturers the confidence their vehicles will perform as expected, including through validated approaches to battery use and warranties.”
ARENA said the project will work closely with car-makers to implement charging standards that enable both energy import and export while gathering real-world operational data on battery performance and long-term durability.
The expanded rollout follows encouraging results from the initial phase of the trial, with Amber already completing 25 residential V2G installations and reporting strong consumer interest in the technology.
V2G is viewed as one of the most significant opportunities to leverage Australia’s growing EV fleet as a distributed energy resource.
The system facilitates compatible electric vehicles to effectively function as mobile battery systems, storing electricity when renewable generation is abundant and feeding power back into homes or the grid when demand peaks.
Industry estimates suggest the battery in a typical electric vehicle contains more than five times the energy storage capacity of an average residential battery system.
Amber’s smart charging platform allows EV owners to automatically charge their vehicles when electricity prices and emissions are lowest.
The addition of large-scale V2G capability will allow participants to monetise stored energy by exporting it back into the network when market conditions are favourable.
The project is expected to generate data covering customer behaviour, battery performance, charging patterns, and electricity market integration, helping inform future policy decisions and broader industry investment.
The initiative forms part of ARENA’s Driving the Nation program and complements broader federal government efforts to accelerate bidirectional charging adoption across Australia.
Momentum behind the technology has increased significantly in recent years following the introduction of national bidirectional charging standards and the arrival of compatible charging hardware.
In 2024, Mitsubishi Motors became the first manufacturer to secure Australian approval for vehicle-to-grid operation through selected plug-in hybrid variants of the Outlander and Eclipse Cross.
Industry participants believe widespread deployment could deliver substantial benefits for both consumers and electricity networks.
“This project brings those pieces together to demonstrate how EVs can become an active part of the energy system,” added Mr Miller.
“That means savings for owners and better utilisation of the grid, which can bring down the cost of the network for everyone.”
With Australian EV sales continuing to grow rapidly and renewable energy generation forming an increasingly larger share of the national electricity mix, the expanded trial is expected to provide one of the clearest indications yet of whether vehicle-to-grid technology can move from demonstration projects to mainstream adoption.
