Mitsubishi Calls for Red Tape Reduction to Boost Bi-Directional Charging

Mitsubishi Motors has made headlines as the first automotive brand in Australia to introduce bi-directional vehicle-to-grid (V2G) charging, but CEO Shaun Westcott believes regulatory red tape is hindering its national rollout. Speaking with Drive, Westcott stressed the need for urgent reform, stating, “We need somebody to take – not a pair of scissors – but a hedge clipper to the red tape.”

Since launching bi-directional charging at its Adelaide headquarters in May, the technology has gained momentum. However, Westcott emphasised the challenges they faced, including complex negotiations with South Australian power authorities to gain approval. Although Mitsubishi has a working V2G site in Adelaide, expanding this nationally remains an uphill battle, with major barriers hindering their national rollout.

The Roadblocks: Bureaucracy and EV Compatibility

Westcott pointed out that beyond red tape, another barrier is the limited number of vehicles capable of V2G, with only older EVs like the Mitsubishi Outlander PHEV and Nissan Leaf supporting the CHAdeMO plug required for the technology. “Japan’s been doing it for years. If it can work there, it can work here too” Westcott said, adding that Australia could replicate Japan’s success if regulatory hurdles are addressed.

The V2G tech at the Mitsubishi office was approved by the SA Power Networks (SAPN) in early 2024, marking a significant milestone for the Australian first. Currently, South Australia is the only state allowing bidirectional chargers in homes, making the expansion of V2G technology limited. Flinders University, alongside Mitsubishi’s office, is one of the few Australian locations with an operational V2G site. As Westcott pointed out, there are not many vehicles that are capable of V2G with most EVs using older-style plugs such as CHAdeMO. 

V2G vs. V2L: The Next Step in Grid Stabilisation

Unlike vehicle-to-load (V2L) technology, which allows EVs to power external devices or charge other cars, V2G enables vehicles to share power with homes or even feed electricity back to the grid. This emerging tech has the potential to stabilise energy supply during peak times, reduce consumer energy costs, and provide significant support to Australia's energy grid. "It's the future, it's the way to go", said Westcott.

Australia is currently undertaking several trials, including the NRMA's EV Smart Holiday Parks Trial and AGL’s Electric Vehicle Orchestration Trial, are currently underway to assess the viability of V2G on a broader scale and how it impacts the nation's energy grid.  

A Promising Future, If the Red Tape is Cut

While V2G technology is still in its infancy, its potential benefits are significant. However, high costs—$10,000 for a bi-directional charger—and the complexity of installation remain deterrents. Yet, upcoming advancements will allow EVs with CCS2 plugs to support V2G, simplifying the process and potentially boosting adoption.

Australia’s energy grid could benefit greatly from V2G, but for this technology to take off nationwide, Westcott's message is clear: the red tape must be cut.

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