Pilot Program Could Save EV Drivers in Greater Toronto and Hamilton Area Up to 70% on Charging Costs

A new electric vehicle (EV) charging pilot study in the Greater Toronto and Hamilton area (GTHA) could save enrolled drivers up to 70% on their charging costs. The study is investigating how regional utilities can meet increased energy demand as EV adoption rises across the region.

It comes as experts warn that EVs could put a strain on Canadian electricity grids. The Fraser Institute predicts annual EV electricity demand will increase between 46.8 terawatt hours (7.5% of total generation) to 95.1 terawatt hours (15.3%) by 2035. Meanwhile, astudy from the University of Concordia found that simultaneous EV charging could potentially cause blackouts.

The pilot program is part of a study being conducted by San Francisco based, Optiwatt, the largest telematics-based home energy analytics platform in North America, and Toronto’s The Atmospheric Fund (TAF).

While the study’s aim is to determine ways to reduce the strain on the region’s utilities and meet the rising demand for EVs, the immediate beneficiaries will be local study participants who will save an average of $388 per year. EV drivers in the GTHA are encouraged to join the free program by downloading the app or visiting optiwatt.com/gtha.

The cost savings comes as the J.D. Power 2024 Canada Electric Vehicle Consideration (EVC) Study released in June 2024 found Canadians are becoming more wary of the cost of buying and maintaining an electric vehicle. Only 11% of new-vehicle shoppers in Canada say they are “very likely” to consider an electric vehicle (EV) for their next purchase, down 3 percentage points from 2023 and less than half of the 24% of U.S. shoppers who say they are “very likely” to consider an EV.

The pilot program automates EV vehicle charging during hours with cheaper electricity rates. EV owners with Time of Use (TOU) or Ultra Low Overnight (ULO) plans stand to save up to 70% on their EV charging costs. A similar study took place in Alberta in 2023.

"We launched Optiwatt to help EV drivers who were having a hard time optimizing their charging routines, but our platform has since grown and evolved. Now, it not only delivers real savings for EV owners but also helps utility companies incentivize drivers to use clean energy at reduced rates,” says Casey Donahue, founder and CEO of Optiwatt. “This is a win-win solution, allowing users to save time and money while encouraging greater EV adoption, and accelerating a smoother transition to green energy for communities by supporting the electrical grid."

US utilities who use similar programs to the one being piloted by Optiwatt offer drivers additional monetary rewards such as rebates or refunds. Canadian utilities that adopt the program at scale are expected to offer similar compensation, essentially rewarding drivers for helping their communities transition to clean energy.

Optiwatt will be administering the pilot program in partnership with Dunsky Energy + Climate Advisors, a Canadian-based consultancy firm that supports governments, utilities, and other organizations across North America in their efforts to accelerate the clean energy transition. Dunsky and Optiwatt will help provide an effective analysis to assist utility companies in using these findings to develop improved rewards programs for EV drivers.

“There is tremendous potential for technologies that manage electricity demand to support rapid electrification and clean energy production in the GTHA,” says Aakash Harpalani, Director, Clean Energy at TAF.  “We’re excited to be at the forefront of understanding how smart charging can provide benefits to the grid while ensuring customers are confident that their EV will be charged when they need it,” adds Jeff Turner, Director of Mobility at Dunsky.

Enrollment into the pilot program runs through December 31st, 2024, and supports electric and plug-in hybrid vehicle models from Ford, BMW, General Motors, Hyundai, Jaguar, Kia, Range Rover, Tesla, Toyota, and Volkswagen.

Optiwatt | optiwatt.com

The Atmospheric Fund | taf.ca

Dunsky Energy + Climate Advisors | dunsky.com