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This paper highlights the initial findings of the European Commission funded project called MERGE (Mobile Energy Resources in Grids of Electricity). MERGE is a C4.5m, 16-partner collaborative research project supported by the European Commission's Seventh Framework Programme (FP7). The consortium includes utilities, regulators, commercial organizations and universities with interests in the power generation, automotive, electronic commerce and hybrid and electric vehicle sectors across the entire European Union (EU). This major two-year research initiative began in January 2010. The MERGE project mission is to evaluate the impacts that electric vehicles (EV) will have on EU electric power systems with regards to planning, operation and market functioning. The focus is placed on EV and SmartGrid/MicroGrid aimultaneous deployment, together with renewable energy increase, leading to CO₂ emission reduction through the identification of enabling technologies and advanced control approaches.