To optimize V2G, artificial intelligence, cloud computing, and energy management techniques are employed to determine when to get an electric vehicle to charge, discharge, or stay idle based on the demand of the grid for electricity, the costs of electricity, and the availability of renewable energy sources. EVs are no longer viewed solely as vehicles but now also as mobile energy assets by government policies. Through their smart grid initiative and funding for Electric Vehicle (EV) infrastructure, national energy departments, grid managers, and transport ministries are helping support the move towards V2G. The marketplace for software platforms that connect EVs to the electricity marketplace and support their ongoing use to provide frequency regulation, peak shaving, and backup power for when necessary is becoming increasingly large as utilities, fleet owners, and municipalities continue to utilize V2G technology.
National Decarbonization Targets: Governments around the globe have set ambitious targets to achieve Net Zero Emissions and increase the use of Renewable Energy Sources (RES). The Electric Vehicle-to-Grid (V2G) software plays an important role in helping governments meet their stated goals by providing stability to the generation of RES, reducing the reliance on fossil-fuel-fired backup generation, and allowing for the flexible operation of power grids through the use of Electric Vehicle (EV) battery systems.
Grid Congestion and Peak Load Stress: Major urban electricity grids are experiencing significant peaks in demand, and Electric Vehicle-to-Grid (V2G) optimisation platforms enable electric utilities to discharge energy stored in electric vehicles when demand is at its highest and recharge EV batteries when demand is at its lowest. This will alleviate the stress placed on the electricity grid and the infrastructure.
Smart City and Energy Digitalisation Programs: Various public smart city initiatives are integrating Electric Vehicles (EVs), Smart Meters (SM) and Artificial Intelligence (AI) Based Grid Management Platforms (GMP) into a coordinated network of technology. The Electric Vehicle-to-Grid (V2G) Software is the bridge that connects electrified transportation with digitalised energy management systems (e.g., Smart Grids (SGs), Demand Response (DR), etc.).
Government-Backed Pilot Projects: The funding of pilot projects to test the benefits of Electric Vehicle-to-Grid (V2G) technology, for electric utility fleets, residential electric vehicle owners, and public charging hubs, has resulted from the funding provided by the electricity ministries and national grid operators. The funding of these pilot projects will in turn speed up the commercial viability and long-term sustainability of the Optimization Platforms for Utility Adoption of V2G Technology.
The V2G optimization software faces challenges such as grid interoperability issues, cybersecurity risks, battery degradation concerns, and lack of standardized regulations across regions. Utilities also require new grid control architectures to manage large EV energy flows. However, strong opportunities exist as governments invest in smart grids, renewable integration, and EV charging infrastructure. Growing public EV fleets and renewable energy expansion increase demand for advanced energy management platforms. As power systems become more decentralized, V2G software can emerge as a core digital layer connecting transport and energy sectors, creating new revenue models for utilities, fleet operators, and EV owners.
February 2025: Nuvve Corporation announced a pilot partnership with ComEd and Resource Innovations to advance V2G technology using electric school buses in northern Illinois. The program runs through late 2025 and will assess how V2G systems can use stored energy from EV batteries to enhance grid stability, reduce costs, and support peak demand management in ComEd’s service territory. The initiative is part of broader Beneficial Electrification investments and aligns electric fleet deployment with grid resilience objectives
The market is segmented by component, vehicle type, application and geography.
By Application: Residential Energy
Residential energy applications use V2G optimization software to allow households to store electricity in EV batteries and return power to the grid during peak demand. This helps reduce electricity costs, improve grid reliability, and support renewable energy usage. Governments are encouraging home-based energy storage and smart meter deployment as part of clean energy transition programs. V2G software enables automated charging schedules, energy forecasting, and real-time power exchange, turning homes into active participants in smart energy networks.
By Component: Energy Management Software
Energy Management Software is a significant component of the V2G optimization system. It allows real-time control over bidirectional energy flows from electric vehicles back into the power grid. The software calculates when an EV will charge or discharge (or buy/sell) electricity using Demand Forecasting, Grid Load Monitoring, and Pricing Algorithms. Energy Providers and Fleets use Energy Management Software to manage renewable energy flow, mitigate peak electricity demand risk, and enhance energy grid stability. Government-backed Smart Grid initiatives are expediting the implementation of Energy Management Software in residential and commercial energy networks.
By Vehicle Type: Battery Electric Vehicles
Battery-electric vehicles (BEVs) are the foundation of V2G system implementation. BEVs are capable of storing large amounts of stored electrical power in a vehicle that can quickly be returned to the grid when needed. Governments worldwide are supporting the implementation of BEVs through a combination of national clean transportation & charging infrastructure promotion programs. Through the use of connected software platforms and bidirectional charging hardware, BEVs can facilitate frequency balancing, peak demand reduction, and integrate renewable energies. The rapid acceptance of BEVs means they are quickly becoming a scalable mobile energy storage medium within the digital energy ecosystem.
Due to the government's recent interest in smart grids, renewable energy, and electric vehicle infrastructures, North America has become one of the most mature regions in the world for V2G (Vehicle to Grid) optimisation software. The Department of Energy in the U.S. is funding a number of projects that promote vehicle electrification and grid resilience using V2G software and digital grid management systems. Utilities are now beginning to implement V2G software to better manage peak demand, balance renewable energy sources, and achieve frequency stabilisation. V2G platforms are also enabling school buses and municipal fleets to operate as electric vehicle charging systems. Canada is in a similar position regarding grid modernisation and adoption of clean transportation; therefore, real-time V2G energy optimisation software is in high demand.
The governments of South America have begun to ramp up their focus on renewable energy generation and grid reliability; as a result, they are beginning to implement V2G optimisation software at a slow pace. Brazil and Chile, for example, are investing in smart grid modernisation and electric mobility programmes as part of their Energy Transition Roadmaps. Utility companies are experimenting with digital energy management systems to assist with managing increasing electrical loads as well as variable renewable electricity generation. The development of electric public transport fleets, especially electric bus fleets, offers the first major opportunity to implement bidirectional charging systems. While there is still significant work to develop infrastructure, growing numbers of governments have established targets for transitioning to clean energy; therefore, regional decarbonisation policies will provide additional motivation for utilities and operating companies to implement grid balancing and optimise energy use through software systems.
The aspect of V2G implementation has been largely seen in Europe primarily due to an abundance of both good regulations and climate changing policies having been established to support V2G implementation. The European Union's Clean Energy Package together with their smart grid strategy both promote V2G through promoting renewable resources to be used more effectively through demand side flexibility and digital means. Currently a number of Countries including UK's and Germany’s both have very large pilots in operation of V2G utilizing software which optimizes use of EVs on the grid and stabilizes the power system. Also several of these same countries are implementing fleet electrification, energy storage mandates and renewable targets which are creating opportunities for utilizing this software. Additionally, V2G utilizes the ability of Utility Operators to utilize real-time data platforms to utilize EVs as an additional source to assist them in the managing of the energy provided by an EV on their system thus creating vast opportunities and making Europe as one of the leading V2G Software Markets.
The Middle East and Africa region is in the early stage of V2G software adoption but shows growing potential. Gulf countries are investing heavily in smart grids, renewable energy, and electric mobility as part of national sustainability visions. Smart city projects and large solar power developments are increasing the need for digital energy management tools. In Africa, electrification programs and microgrid projects are creating demand for software-based grid optimization. As EV infrastructure expands, governments and utilities are expected to explore V2G platforms to improve grid stability, energy storage, and power reliability in urban centers.
The rapidly evolving V2G (vehicle to grid) optimization software market in the Asia-Pacific region can largely be attributed to the strong EV (electric vehicle) adoption targets set by governments and increasing deployment of renewables. Japan has taken the lead globally in developing standards for V2G technology and building energy systems that can withstand natural disasters through their government energy policies supporting these technologies. The integration of EVs into the Smart Grid infrastructure in China is enabling the integration of massive amounts of renewable power generation as well, and South Korea, Australia, and India are investing heavily in developing Digital Grid Platform and energy storage programs. In addition, the rapid rise of Electrified Transport Fleets (ETFs) and government-led Smart City Projects have created high demand from the industry for software solutions to manage bidirectional power flow, balance the grid, and optimize power in real time.
List of Companies
Nuvve Corporation
Enel X
AutoGrid
ChargeScape
V2Grid
Evert
IoTecha Corporation
LADE
Next Kraftwerke
Kaluza
The industry is in the process of consolidation as players target the provision of " Vehicle-to-Grid (V2G) Optimization Software Market " toolchains.
Nuvve Corporation
Nuvve Corporation is recognized globally as an authority on V2G technology and software. These technologies enable the two-way movement of power between EVs and the utility grid. The V2G System of Nuvve gathers Distributed Battery Capacity from multiple EVs to create a single system that can be connected to existing Energy Markets. This allows Utilities, Fleet Owners and other Entities to utilize Stored Energy to Balance the Utility Grid Load; Provide Frequency Control; and Earn Revenue by leveraging Storage Capacity. Nuvve has also deployed its Software in more than one Country within Government and Utility Sponsored Pilot Programs to support the Integration of Renewable Energy Sources and Modernization of Smart Grids. In addition, Nuvve collaborates with Automakers and Charging Network Providers to Expand the Commercial Application of its V2G Solutions.
Enel X,
Enel X, the subsidiary of the Enel Group that focuses on providing digital energy services and solutions using software technologies, specializes in providing flexibility to the energy resource market. Through its Enel X JuiceNet platform, the company provides distributed energy resources such as electric vehicles (EVs), storage systems, and demand response services in order to improve the stability of our electric grid and increase the amount of renewable energy that is used on the grid. Enel X has established partnerships with several utilities and regulators throughout the United States and Canada to develop and implement V2G pilot programs that help customers meet their national clean energy goals and develop the infrastructure necessary for smart grids. Enel X's software creates opportunities for dynamic pricing of electricity, automatic dispatch of services, and generating revenue from providing grid services using EV batteries.
AutoGrid
AutoGrid provides AI-driven energy management software that orchestrates distributed energy resources (DERs), including EV batteries for V2G use. Its AutoGrid Flex platform enables utilities and energy providers to forecast demand, optimise assets, and dispatch resources in real time. In the context of V2G, AutoGrid’s software can coordinate large fleets of EVs to participate in grid services like peak load reduction and frequency regulation. The company participates in government-backed grid modernisation initiatives and regulatory pilots where advanced energy optimisation tools support renewable integration and smarter energy systems.