Mr. Som Kapoor
Partner – Automotive and Lead Future of Mobility“
E&Y
With global EV sales anticipated to touch a million by 2025, the question of how to deal with an increasing stockpile of EV batteries is set to become a very urgent one, from both a commercial and environmental point of view. Managing the battery life cycle effectively is potentially the key to the future of EVs.
Battery life cycle management is a huge emerging opportunity that could solve the issue of how to stop EV batteries ending up as expensive and toxic landfill waste. However, making the most of the opportunity will require new levels of collaboration within not only the battery manufacturing, automotive, utilities, and metals and mining sectors, but also R&D institutes
Developing a used battery market presents a major opportunity for industry participants to create new assets, access valuable new revenue streams, secure supplies of raw materials and drive EV use. It’s a critical aspect of the future viability of EVs and will be a major competitive differentiator for those that drive the market as opposed to those that sit on the sideline.
Automakers are looking at various approaches to harness the opportunities presented by the emerging value chain. These range from establishing in-house energy businesses, to developing a three-stage circular economy model for their batteries with partnerships covering reuse and recycle applications.
Companies must identify and develop suitable commercial partners, whether they be small innovative start-ups or large established corporates. And, they shouldn’t forget to invest in the future through cross-sector industry and academic R&D collaborations.
Although it is still early on in terms of the widespread industry application of battery life cycle management, the number of these initiatives will only increase. They will also become more integrated and scalable as new markets and players evolve.
