New energy futures paper: batteries & the circular economy - Vector Limited
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new energy
futures paper:
batteries &
the circular
economy
©2019 Vector Ltd
1
about Vector contents
Vector is New Zealand’s largest of the Battery Leaders Group, attendees FOREWORD 5 TRANSITION TO THE CIRCULAR ECONOMY 34
energy distribution company, and is of the Vector New Energy Futures Lab What to do with EV batteries: How the 9R Applied to Batteries 35
creating a new energy future through on batteries and other stakeholders who problem – and potentially the solutions – Transition 1: ‘Battery karma’ -
investigation and investment in new were interviewed or provided case studies. will arrive first in New Zealand 5 giving batteries a second life 36
and innovative technologies. This is Challenges 41
Primary author: Juhi Shareef INTRODUCTION, PURPOSE & SCOPE
about unlocking for its customers OF PAPER 7 Transition 2: Remanufacture 42
the benefits of smart meters, solar Reviewed and approved by: Challenges 42
Why batteries? 7
panels, batteries, electric vehicle Kate Beddoe, Karl Check, Cristiano Transition 3: Material recovery 42
Purpose of this Paper 8
charging infrastructure, and energy Marantes, Jonathan Bishop & Jo Phillips. Emerging transition opportunities:
Who we talked to 9
management services. beyond lithium-ion 48
A special thanks to colleagues at Vector, Scope: what’s in and what’s out 10
This New Energy Futures Paper - particularly Jo Phillips and Philip Ivanier, The role of the Battery Leaders Group 12 OUR CIRCULAR FUTURE 50
Batteries and accompanying Technical for their contribution. Key uncertainties influencing the future
Addendum has been made possible EVERYTHING YOU WANT TO KNOW ABOUT
value chain of large batteries in NZ 50
thanks to the following people: LITHIUM-ION BATTERIES (AND MORE) 14
1. Battery recovery and reuse vs
Legislative and Policy Context 14 materials recovery 51
Duncan Wilson of Eunomia Consulting
NZ, Ariel Muller and Jiehui Kia of Forum Lithium-ion battery chemistries, 2. Local vs global solutions 52
for the Future, Jeff Vickers and Ben characteristics and construction 14 Three 2030 scenarios 53
Fisher of ThinkStep NZ, the members
CURRENT STATE OF PLAY: OPPORTUNITIES IN THE NEW BATTERY
OUR LINEAR SYSTEM 18 ECOSYSTEM 57
What is a linear economy? 18 The new battery ecosystem 58
The linear battery value chain 18 New players & enablers: Innovation
Key materials in lithium-ion batteries 19 opportunities for NZ 59
Retail & uses of large batteries in Commercial opportunities for NZ 66
New Zealand 20
WHAT’S NEXT? 67
Stationary Storage 21
The Battery Industry Group (B.I.G.) 70
Applications: Household 22
Join us on the journey to a New Energy
End-of-life collection & disposal 22
Future 70
Summary: why the linear economy
doesn’t work 27
THE CIRCULAR ECONOMY 28
What is a circular economy? 28
3+3 principles for a circular economy 28
Circular economy and the Doughnut 29
Disclaimer Ōhanga Āmiomio: the circular economy in
Vector Ltd has taken due care in the preparation of this Aotearoa 30
report to ensure that all facts and analysis presented
are as accurate as possible. However, no guarantee is Six enabling factors 31
provided in respect of the information presented, and A circular economy for large lithium-ion
Vector Ltd is not responsible for decisions or actions batteries 31
taken on the basis of the content of this report.
© Vector Ltd 2019 Signals of Change 33
Through its partnership with Ngāti Whātua Ōrākei and its Kupe Street 30-home residential development for first-home buyers, Vector has created a real-
world lab enabling observation of how a future community grid might operate, in which access to new technology – specifically networked solar and battery
storage - is provided equally amongst all residents.
3
table of figures foreword
What to do with EV batteries: How the problem – and potentially
the solutions – will arrive first in New Zealand
By Ariel Muller, Managing Director, Asia Pacific, Forum for the Future
Figure 1: Battery Leaders Group Joint The momentum toward sustainable transport is As used EV batteries begin to enter the
CASE STUDIES PAGE
Statement 13 now undeniable. We just passed the 4 millionth second-hand market, there is the need for
Figure 2: Cathode composition of lithium Waste Household Battery 11 electric vehicle (EV) sold globally. Bloomberg proactive action to build the technical and
batteries, excluding lithium. Image Management recycling Programme estimates that by 2040, 55% of all new car sales social infrastructure for reuse, recycling
reproduced from (Electrek, 2016). 16 New Zealand Trial and 33% of the global fleet will be electric. and responsible disposal solutions. Left
Auto-manufacturers and countries are setting unchecked, New Zealand runs the risk of facing
Figure 3: A Nissan Leaf Battery Pack 17 Envirostream Large lithium-ion 23 ambitious targets and making measurable unintended environmental consequences, as
Figure 4: Linear Economy Conceptual battery processing in progress towards 100% electrification of current lithium-ion EV batteries can be highly
Material 18 Australia cars. In New Zealand, the rate of adoption is polluting and pose a fire risk if not disposed of
Figure 5: An example linear battery value Toyota New Large battery 25 exponentially rising from just 210 cars in 2013 to properly. However, if seen as an opportunity to
chain 18 Zealand collection, material 10,000 in 2018. introduce innovative new market offerings, New
Figure 6: Growth of the Stationary recovery and reuse Zealand could become a leader in approaches
The benefits of EVs are well understood. They are demonstrating the new ecosystem of business
Storage Market 21
BMW Closed life-cycle loop 38 low carbon, don’t produce tailpipe particulate models that will emerge around the worldwide
Figure 7: Estimates of end-of-life EV and collaborating on emissions, quiet, and can act as a flexible storage electrification of vehicle fleets.
Battery Packs 2019 -2030 24 a sustainable value solution for intermittent renewable energy.
Figure 8: A linear vs a circular economy 28 chain for EV batteries However, with these benefits come challenges. Aligning public and private interest to facilitate
Figure 9: The Doughnut of social and One of the most pressing challenges faced by policy and infrastructure change can be
Strategic Lift Feasibility study 39
planetary boundaries (2017) 29 this industry is how to treat EV batteries at the complex and laborious, requiring investment
for second-life EV
end of their useful life in vehicles. An EV battery and engagement across multiple stakeholder
Figure 10: Linear, recycling and circular batteries in New
is the single largest value item in a car and is groups to build consensus. There will also
economies 30 Zealand
made with precious resources that are finite. In be the need for education and incentives for
Figure 11: The 9R Framework adapted from Renault Second-life batteries 39 addition, once EV batteries are no longer fit for new behaviour from vehicle owners or users,
Potting et al. (2017) 35 power all-electric purpose in vehicles, they still have approximately whose participation would be key for the
Figure 12: Example EV battery lifecycle. passenger boat in 80% of their battery storage capacity left and success of solutions such as battery take-back
Source: McKinsey & Company 36 Paris therefore can operate as small scale, flexible programmes.
Figure 13: Where electric vehicle batteries are Vector & End-of-life vehicle 40
energy storage. In this challenge emerges an
opportunity: How might we maximise the life It is in this regard that New Zealand might
being used and tested for new Relectrify batteries could power
of a battery through reuse and responsible have an advantage in implementing system-
roles. Source: Bloomberg, company homes and businesses
recycling at end of life – and perhaps even more wide change. In short, it is easier to bring the
filings 37
Audi Battery material reuse 43 importantly, what will be the business models to system together here. New Zealand has a
Figure 14: Outline of a circular economy. relatively small population that prizes its nature
enable these solutions?
Source: Ellen MacArthur Foundation, ReCell Closed-loop recycling 44 and environment as a defining characteristic
SUN and McKinsey Centre for for lithium-ion The need to innovate around this challenge of its identity. There are a few leading private
Business and Environment. batteries in the USA is especially front of mind in New Zealand. sector actors with a vested interest in the
Drawing from: Braungart & The country’s current EV uptake programme reuse, recycling and responsible disposal of EV
The Faraday Research vehicle 44
McDonough, relies heavily on the import of second hand batteries.
Institution working to develop,
Cradle to Cradle (C2C). 45 EVs. This means EVs entering the market come
design and
Figure 15: Cost of raw materials used in with semi-depleted batteries that are likely to The government has also shown interest and
manufacture world-
batteries. Image reproduced from reach end of usable life in the vehicle sooner. willingness to work with industry to introduce
leading batteries in
(Electrek, 2016) 46 Simultaneously, the absence of an indigenous enabling policies such as a product stewardship
the UK
auto-manufacturing sector in New Zealand, scheme for large batteries. This momentum –
Figure 16: Critical uncertainties and three
Fortum & Increasing the 47 coupled with the significant geographical and the relative ease of convening all the actors
2030 circular scenarios for large
Crisolteq recycling rate of distance to other auto-manufacturing hubs, – could allow New Zealand to leap frog other
batteries 53
EV batteries in mean that solutions to maximise the use of EV markets in Europe and Asia, when it comes to
Figure 17: An example circular ‘value loop’ Scandinavia introducing solutions at the national level.
batteries are likely to come from beyond the
for large batteries 57
Sustainable New Zealand Product 49 automotive sector.
Figure 18: The new Battery Ecosystem in
Energy Storage Accelerator (NZPA)
a new circular economy 58
Group
Figure 19: Product Stewardship Scheme
Scope 64 Victoria Aluminium ion battery 49
University, research
Wellington
Dynantis Sodium aluminium 49
Aotearoa battery research
4 5
foreword continued introduction, purpose
What to do with EV batteries: How the problem – and potentially & scope of paper
the solutions – will arrive first in New Zealand
Vector’s vision is to Create a New Energy Future. A key part of
By Ariel Muller, Managing Director, Asia Pacific, Forum for the Future
this future is enabling distributed energy technologies including
solar, EVs and batteries.
We are heartened that Vector, a Partner of 2. Collaboration between private sector and the These technologies are part of Vector’s value mining of cobalt that uses child labour; and
Forum for the Future, has taken the lead to government is needed, to introduce collective chain, and batteries are now an essential part the degradation of the salt flats in Bolivia in
catalyse the conversation, acting as a “lighting frameworks such as a product stewardship of our lives, with the global battery market the search for plentiful lithium; the potential
rod” to attract current and future actors scheme that will enable new market anticipated to be worth $100 billion by 2025. for thermal runaway fires from used batteries
from both the public and private sector, who solutions. and the current lack of on-shore processing at
can present solutions to realise a circular end-of-life in New Zealand. Add to this rapidly
economy for batteries in New Zealand. Last 3. It is critical to bring consumers along from Mobile technology and a low- changing battery chemistries and the evolution
year, we worked with Vector to convene over the start. They can help to shape new
30 stakeholders, from EV and battery retailers, markets and finesse new solutions in a carbon future are unthinkable of other technologies such as hydrogen.
users, recycling and waste management rapidly changing landscape. without batteries, a core It’s a complex, dynamic and rapidly evolving
solution providers, industry associations and
The challenge is now for those who recognise technological enabler of the Fourth system.
regulators, to innovative start-ups and interest
groups.
the opportunities to drive the change we need. Industrial Revolution. All organisations in the battery value chain need
Maybe then what is first solved in New Zealand - World Economic Forum Global Battery Alliance to work together in ways we never have before
Through an exploration of future scenarios of the can be shared with the world.
to get in front of this challenge. We need to
battery value chain in New Zealand, we agreed innovate to retain the value of the metals we dig
Watch the kiwis.
on three things: Batteries, particularly lithium-ion batteries power out of the earth. We need to invest in facilities
everything from toys to cameras, computers, to manage our resources if we want a truly
1. The need to solve the problem of EV batteries
power tools, energy storage, e-scooters and circular economy. We need to be flexible in our
at end-of-life presents opportunities to create
e-bikes, trains and now electric aircraft. The approach.
new market offerings and services.
Global Battery Alliance, a World Economic
Forum (WEF) initiative, has called batteries a
‘backbone technology’ in the transition from The New Zealand Ministry for the
fossil fuels to a low-carbon future. The Fourth
Industrial Revolution, which WEF’s Founder and Environment defines a circular
Executive Chairman Klaus Schwab argues we economy as an economy “in
have entered, relies on the hyperconnectivity which we keep resources in use
of products and technologies, and therefore,
energy storage solutions. for as long as possible, extract the
maximum value from them whilst
Thanks to high power and energy densities,
lithium-ion batteries are key to the Fourth in use, then recover and regenerate
Industrial Revolution (4IR). One characteristic of products and materials at the end
4IR is the electrification of transport (E-mobility). of each service life.”
This Paper focuses on large lithium-ion batteries,
such as those used for energy storage or
E-mobility which can be repurposed for second- Vector has been closely engaging with the
life battery applications such as stationary Ministry for the Environment and we know
energy storage for our electricity network, that a regulated Product Stewardship Scheme
industry and households. for large batteries including lithium-ion is due
to be developed as part of a suite of other
They pose significant sustainability challenges schemes (see Technical Addendum for further
(and by sustainability, we mean interconnected information).
environmental, social and economic issues). As
we transition to a low-carbon economy, in which Vector’s focus is on ‘large’ lithium-ion batteries
E-mobility plays an increasing role, we all share for mobile (electric vehicle) and stationary
some responsibility for managing batteries battery energy storage. Our view is that, if we as
sustainably. industry proactively address repurposing and
end-of-life solutions, we will be well positioned to
Sustainability challenges include resource innovate and shape regulation to avoid a cost-
extraction which is reportedly responsible for prohibitive model.
half of the world’s carbon emissions and more
than 80% of biodiversity loss1; unregulated
1
https://www.theguardian.com/environment/2019/mar/12/resource-extraction-carbon-emissions-biodiversity-loss?CMP=Share_iOSApp_Other
6 7
introduction, purpose who we talked to
& scope of paper continued
Industry needs key insights in order to plan for
the future. These include:
Purpose of this Paper We engaged with a number of stakeholders across the large battery value chain in New
Zealand and beyond from the stakeholder groups below. Many thanks to those who
We understand that we are not alone in asking contributed advice, data, information and support.
• What are the likely volumes of batteries that
these questions and we don’t attempt to answer
will be coming to the end of their use / life,
all of these in this Paper, rather these will be
given trends and new technologies?
addressed by a Battery Industry Group (B.I.G.)
• What is the dollar value of a battery at focussed on large batteries.
different points in its lifecycle, particularly Battery retailers and organisations such as PowerSmart NZ Ltd (part of the Vector group)
As organisations across the battery value New Zealand Battery Leaders Group (which Vector founded and whose members include
end-of-life?
chain, we have a shared need to understand stakeholders on this list as well as Original Equipment Manufacturers such as Audi, BMW,
• What is the impact of changing battery the potential regulatory, volume and market Toyota and stationary battery manufacturers).
technology / chemistry? What about ‘scenarios’ that we will face over time. We have
disruptive technologies such as hydrogen? therefore attempted to pull together all available
What is the potential or need for data on the current battery ‘landscape’ here in Academic institutions Charging infrastructure providers
standardisation of battery design and battery New Zealand and what opportunities are on the such as Victoria University e.g. ChargeNet
storage? horizon.
STAKEHOLDERS WE TALKED TO
Our current ‘linear’ system of extracting Car wrecking individuals or companies
• What are the second and third life Circular economy organisations such
opportunities? materials from the ground to make a battery,
Vehicle industry bodies such as Drive as the Circular Economy Accelerator,
using a battery once then putting the ‘waste’
Electric, Electric Vehicles Leadership an initiative of the Sustainable Business
• How can we safely use, store and transport battery into landfill at end-of-life is simply not
Group, the Motor Industry Association, Network
used batteries? sustainable. A commercially sustainable model
will require a shift across the entire system. Vehicle Import / Industry Association
• Can we have cost-effective on-shore end-of- Electricity distribution bodies,
life solutions in New Zealand? We have a unique opportunity to work generators and organisations including
together to find the answers, which is why we Sustainability consultants such as the BusinessNZ Energy Council (BEC)
• Is there a cost to stewardship / end-of-life have commissioned research and engaged Forum for the Future and Eunomia and Sustainable Energy Association New
management? If so, what is the cost, who stakeholders in thinking about a circular Zealand (SEANZ)
should pay and by what mechanism? economy future for lithium-ion (and other) International battery and product
batteries. In the interest of transparency, and in stewardship organisations such as Government agencies and
• How will we need to engage with different
the hope that it will benefit New Zealand Inc., Australian Battery Recycling Initiative departments such as the Ministry for the
stakeholder groups (esp. customers and end
we are sharing this information publicly in this (ABRI), Australia New Zealand Recycling Environment, Callaghan Innovation and
users) to prepare them for the transition to a
Paper. Platform (ANZRP), Clean Energy the Energy Efficiency and Conservation
product stewardship scheme? How can we Authority (EECA)
Council, Australia, Envirostream,
ensure the appropriate plans are in place for
Equilibrium, University of New South
this transition?
Wales Sustainable Materials Research
Innovators in battery technology
• If there is to be a Product Stewardship & Technology Centre, University of
including circular economy innovators
Scheme regulated by Government, to whom Technology Sydney’s Institute for
and battery lifecycle management
should it apply? How could we shape it so Sustainable Futures, ELVES and the
technology innovators
that it works for industry and delivers positive Faraday Institution
environmental and social outcomes?
Small businesses who engage with the informal battery economy such as BlueCars
8 9
scope: what’s in and what’s out
This New Energy Futures Paper will: technologies which, in the literature, appear
to be regarded as having the best chance of
Size matters CASE STUDY:
• Focus on large lithium-ion batteries. commercial viability in the next 10 years or Although small batteries, such as those found
so. According to the world’s leading climate in toys, power tools and electric scooters are a
• Identify opportunities for New Zealand in the
context of a circular future.
scientists, this, coincidentally, is approximately potential fire hazard at end-of-life management, Waste Management
how long humans have to keep global warming
to a maximum of 1.5oC, beyond which even half
they are not a key part of Vector’s value chain. New Zealand (WMNZ)
• Highlight environmental, societal and
commercial barriers and challenges: by a degree will significantly worsen the risks of ‘Large’ batteries are made up of small battery Household (Small) Battery
drought, floods, extreme heat and poverty for cells and while this Paper focusses on large
tackling these challenges we will help to
hundreds of millions of people. batteries, we recognise that we must align Recycling Programme Trial
enable a new energy future.
with any areas of synergy regarding end-of-life Waste Management is New Zealand’s leading
management of small batteries in New Zealand.
• Offer an overview of battery types and
technology changes, how this impacts
Lithium-ion vs lead-acid waste and environmental services provider
Vector is interested in large batteries for energy and is committed to finding solutions for
recovery options, key trends and market Given the Government’s focus on large batteries problematic waste streams.
drivers. storage on the network, to help even out the
including lithium-ion for regulated product
‘peaks and troughs’ of energy demand and for Waste Management Technical Services is
stewardship (part of their E-waste commitment),
• Introduce the concepts of a circular economy resilience. In addition, businesses which are part undertaking a trial to recycle household
and that lithium-ion batteries are part of
and product stewardship for batteries to of the Vector group sell large batteries as part batteries. Reusable battery material will be used
Vector’s value chain, there is a focus on lithium-
ensure we retain a battery’s financial and of their energy solutions for commercial and to make new batteries and other components
ion technologies in this Paper. The Technical
material value over its lifecycle. household use. – which means whole batteries will be diverted
Addendum covers all batteries types with the
exclusion of lead-acid. Vector currently uses a This Paper therefore focusses on large batteries, from landfill.
• Explain the difference between materials
recovery and battery recovery. lot of lead-acid batteries but these batteries defined by use to include batteries which are This trial aligns with Waste Management’s
are currently considered to have viable end-of- used in: sustainability strategy For Future Generations
• Share industry case studies. life recovery pathways and mature recycling
• Electric vehicles (EVs) which provides the foundation for our future
processes. In this Paper we are also pleased to
All research supporting each section of this focus on the sustainability of their company and
show case studies from innovators working with
Paper, plus a discussion of battery chemistries • Stationary energy storage solutions i.e. for the communities in which they operate.
various battery chemistries in New Zealand,
and technologies beyond lithium-ion, is beyond lithium-ion.
– The electricity network or ‘grid’ The programme will be trialled at various hotels,
presented in a Technical Addendum. This is a
aged care facilities and Refuse Transfer Stations,
compilation and evaluation of available New
Zealand data and provides future projections System vs product – Commercial or household energy storage and will work in parallel with a wider industry
battery recycling working group to develop
including recovery pathways, markets and Resource use and waste are systems challenges – Industrial applications solutions for rechargeable battery applications
trends. that require systems thinking. This Paper such as electric trucks and cars.
Knowledge sharing and collaboration is key if
therefore focusses more on the battery ‘system’
we are going to get ahead of the impending
Technology rather than batteries at a product level. Some
systemic challenge of battery management in
Once the trial is proven, this programme will be
offered to other Waste Management customers.
analysis of the embodied carbon of stationary
New Zealand. We recognise that while storage,
Development of battery technology is being batteries is provided in the Technical Addendum.
transport and end-of-life management present Right: The new
undertaken by a large number of organisations
However, one systems area is not covered. common challenges / areas of synergy for Battery Recycling
from major battery manufacturers and auto
makers, to research institutions. By the time this This Paper doesn’t discuss the carbon both large and small batteries, other parts of Station prototype
associated with the electricity that feeds (or the value chain such as retail, use and second to be trialled.
Paper is launched or read, new technologies or
charges) batteries. In New Zealand, while life opportunities may present very different
chemistries may have emerged which will not
approximately 82% of our electricity is generated challenges.
be reflected in its content: rather, this Paper is a
snapshot in time. from renewable sources2, so at first sight,
We will therefore seek synergies with small
electrification of transport (E-mobility) and
battery management where possible and aim to
There are many possible battery technologies, increased battery use makes sense for our
align with emerging small battery activities such
but one thing that all appear to have in common environment, society and economy. However,
as on-shore collection e.g. through the Australia
is that there is a long gestation period between it must be noted that renewable energy
and New Zealand Recycling Platform3 (ANZRP)
what is theoretically possible in a laboratory and generation mix in New Zealand has associated
and end-of-life processing which is shortly to be
the eventual commercial production of a viable carbon emissions, and of our energy generation
piloted by Waste Management New Zealand –
battery. In this Paper, we have focussed on the mix, only approximately 60% is low-carbon2.
see the case study.
2
Data extrapolated from https://www.mbie.govt.nz/assets/d7c93162b8/energy-in-nz-18.pdf
3
https://www.anzrp.com.au/
10
scope: what’s in and what’s out continued
EV vs grid energy storage The aims of the Battery Leaders Group were to: Vector would like to thank the Battery Leaders
Group for their contribution to the research and
• In parallel, trial second life and end-of-life
management of large lithium-ion batteries to
• Be part of creating a vision for a commercially insights in this Paper. The Group is now forming inform the scheme.
For those who know us as an electricity
and environmentally sustainable, circular the core of a wider ‘Battery Industry Group’
distribution business, some may be surprised
future for large lithium-ion batteries (B.I.G.) which will be creating a proposal for a • Share practical guidance regarding safe
that in this Paper we don’t talk more about
product stewardship scheme for large lithium- storage and transport of used lithium-ion
batteries as energy storage solutions for the grid • Identify the reuse and end-of-life commercial
ion batteries. This proposal to the New Zealand batteries.
or other applications. Rather, the data focusses or financial value of a battery
on batteries from EVs which can then be given Ministry for the Environment will be unique in
a second life on the grid before being managed • Be better placed to advise vehicle leasing that it aims to:
at end-of-life as part of a circular economy. This companies and second-hand retailers
• Offer a flexible framework able to respond to
is because in volume terms, most ‘end of use’ regarding the on-sell of batteries, currently
different battery chemistries, technologies
batteries will be coming from increasing use of one of the barriers to EV uptake
and end-of-life management scenarios.
EVs rather than the currently small proportion of
batteries on the electricity network. • Understand the commerciality of battery
reuse / recycling and what volumes we can
expect
The role of the Battery Figure 1. Battery Leaders Group Joint Statement
Leaders Group • Understand our roles in product stewardship
and shape the upcoming Government
Businesses involved in the battery value chain Product Stewardship Scheme to avoid Working to improve our battery karma
in New Zealand share significant common onerous, cost-prohibitive regulation which
still delivers positive environmental and social
challenges including the rapid uptake of
renewable technologies in the context of climate outcomes Vector. Audi. BMW. Toyota New Zealand. The Scrap Metal
change; the potential expansion of scope of Recycling Association of NZ. Waste Management.
• Plan for customer and stakeholder
China’s National Sword policy to include e-waste;
engagement regarding battery reuse / end- As organisations across the battery value chain, These include both stationary batteries (e.g. used
media and public attention on materials and
of-life we share common sustainability challenges. in home energy storage) and mobile batteries
waste management; a lack of on-shore recycling,
and Government’s new focus on E-waste as a Once valuable metals and raw materials have (e.g. from electric vehicles) in the context of:
• Demonstrate to Government that industry been taken out of the ground, it makes sense to
priority issue. is being proactive and helping to create a • Climate change and the role of batteries in the
retain their value for as long as possible, rather
circular economy than returning them to the ground through decarbonisation of our energy and transport
As discussed above, with the convergence of
the transport and energy systems, there is also end-of-life disposal. systems
• Demonstrate to wider stakeholders that work
a unique opportunity for businesses from both is already underway in New Zealand to help • A rapid uptake of electric vehicles
sectors to collaborate to drive change, support The convergence of transport and energy
generate momentum systems means we have a unique opportunity to
the emerging circular economy, and create the • Increasing use of battery storage in commercial
environmental, societal and commercial future • Ensure clarity in the market regarding collaboratively drive change, contribute towards
and residential applications
we wish to see. messaging around lithium-ion batteries on building a more circular economy and create the
repurposing options, including safety and environmental, societal and commercial future • Global developments in waste management
In August 2018, Vector convened the Battery financial value we wish to see. Achieving a shift across the value and recycling, specifically the ongoing impacts
Leaders Group to seek circular solutions chain will require pre-competitive collaboration. following implementation of China’s National
for batteries. The Leaders’ Group members • Keep battery resources out of landfill Sword policy
include Audi, BMW, the Scrap Metal Recycling That’s why we have convened this Battery
Association of New Zealand (SMRANZ), Toyota • Help to create a New Energy Future Leaders Group. We are working together to research and
New Zealand, Vector and Waste Management. evaluate the nascent New Zealand end-of-life
Members represent different aspects of the What goes around, comes around battery market. Collaborating now will better
battery value chain, from stationary and mobile prepare us – both as a country and as individual
The Battery Leaders Group seeks circular market participants - to find sustainable
battery manufacturers and retailers, to end-of-
solutions for large batteries with a focus on solutions as the market emerges.
life management.
lithium-ion.
12 13
everything you want to know about
lithium-ion batteries (and more)
Legislative and Policy Context products were identified as one of six priority
product groups and the potential scope includes
However, when damaged lithium-ion batteries
can cause thermal runaway fires or catastrophic
Battery characteristics and
The current legislative and policy environment large rechargeable batteries designed for use in explosions which threaten waste companies’ chemistries
in New Zealand is broadly conducive to the electric vehicles, household-scale and industrial licence to operate. An additional complication
is that lithium-ion batteries can be accidentally Batteries can have a range of performance
uptake and expansion of battery systems, renewable energy power systems including but
or purposefully hidden in pallets of used lead- characteristics which make them more or
without there being any strong drivers (such not limited to lithium-ion batteries.6 The Battery
acid batteries, thereby causing a fire hazard. less suitable for particular applications. Some
as subsidies to purchase EVs, or emissions Leaders Group mentioned above undertook types of lithium-ion batteries have special
standards), or impediments that would Finally, while lithium is fully recyclable, and
research and stakeholder engagement with characteristics e.g. Lithium Nickel Manganese
unduly limit battery uptake. The New Zealand reportedly being recycled in China, very
Ministry support, and MfE representatives will be little lithium is recycled globally for battery Cobalt Oxide (NMC) batteries are well suited
Productivity Commission 2018 report on the working closely with the new Battery Industry to high power applications with many charge/
Low-emissions economy recommends a production, as the processing of lithium from
Group to advise on the development of a new used batteries is approximately five times discharge cycles such as home energy storage.
number of minor changes to facilitate the product stewardship scheme for batteries. See below Table 1 for the main types of lithium-
costlier that the virgin material.9
uptake of EVs and battery storage but does not ion battery cell chemistries.
put forward any aggressive measures that would
ensure an accelerated uptake. More recently, Lithium-ion battery
the Government has indicated that there will
be stronger incentives for EVs, by reducing the
chemistries, characteristics
upfront cost of electric, hybrid and fuel-efficient and construction Table 1: Main Types of Lithium-ion Battery Cell Chemistry
vehicles when sold in New Zealand for the first
time and putting a small fee on the highest Excluding lead-acid, which is outside the scope Type Description of power and operating range Applications
polluting vehicles when they are first sold.4 of this Paper, there are two main types of large
batteries that are most likely to have to be dealt Lithium Has a moderate specific power, moderate specific Electric powertrains
The management of end-of-life/end of use with at end-of-life in New Zealand: lithium-ion Manganese energy and a moderate level of safety compared to
batteries is, at present, largely unregulated. and nickel metal hydride (NiMH). This Paper Oxide other lithium-ion batteries. It is also low cost, but has
At the time of writing, there are no product focusses on lithium-ion batteries and this section (LMO) a poor operating range and short lifespan.
stewardship schemes in place for large batteries on their chemistries and characteristics. Nickel
and, beyond the need to comply with export Lithium Nickel High specific energy. Moderate specific power, safety, EVs, industrial
metal hydride batteries and detailed information
requirements, there are no restrictions around Manganese lifespan and operating range. It can be optimised applications
about lithium-ion batteries are discussed in the
establishing e-waste and battery recycling Cobalt Oxide to have either a high specific power or high specific
Technical Addendum to this Paper.
operations. Other than voluntary codes of energy.
(NMC)
practice, there are currently no established The popularity of lithium-ion batteries is due
procedures or guidelines for how end-of-life
chiefly to their energy density. Other advantages Lithium Iron Low specific energy but a high specific power. Portable and stationary
batteries should be managed.
include: Phosphate Moderate operating range. High level of safety and applications needing high
However, in May 2019 Hon. Eugenie Sage, (LFP) lifespan and low cost load and endurance
- Reliability
the Associate Minister for the Environment,
announced “The Ministry for the Environment - They are less likely to suffer from ‘memory Lithium Very high specific energy. Moderate cost, specific EVs
is developing a mandatory product stewardship effect’7 than other battery types Nickel Cobalt power, operating range and lifespan. Relatively low
scheme for e-waste, starting with lithium-ion Aluminium level of safety
- They don’t contain toxic cadmium
batteries, which would make manufacturers Oxide
responsible for managing the ‘end-of-life’ - Use of lithium-ion batteries in transport (NCA)
aspects of their products.”5 avoid toxic tailpipe (exhaust) emissions
/ greenhouse gases which contribute to Lithium Titanate High safety good operating range and long lifespan, EVs
In August 2019, a consultation document climate change (LTO) but low specific energy, and only moderate specific
was published by the MfE, Proposed priority power. Very fast recharge time. Very high cost
products and priority product stewardship - The cost of these batteries has drastically
scheme guidelines. Electrical and electronic fallen8
4
https://www.newshub.co.nz/home/politics/2018/09/government-promises-decent-incentives-for-electric-cars.html
5
https://www.beehive.govt.nz/release/funding-e-waste-project-announced
6
https://www.mfe.govt.nz/publications/waste/proposed-priority-products-and-priority-product-stewardship-scheme-guidelines
7
https://phys.org/news/2013-04-memory-effect-lithium-ion-batteries.html
Research from BloombergNEF shows that “the benchmark levelized cost of electricity (LCOE) for lithium-ion batteries has fallen 35%
8
to $187 per megawatt-hour since the first half of 2018 and the LCOE per megawatt-hour for lithium-ion battery storage has dropped
by 76% since 2012, based on recent project costs and historical battery pack prices”https://about.bnef.com/blog/battery-powers-latest-
plunge-costs-threatens-coal-gas/#_ftn1 9
Source: https://waste-management-world.com/a/1-the-lithium-battery-recycling-challenge
14 15
everything you want to know about
lithium-ion batteries (and more)
continued
There are other metals used in cathodes apart
from lithium, such as cobalt and manganese,
Battery construction Figure 3: A Nissan Leaf Battery Pack
and there are concerns about future supply of The method of construction varies between
some minerals such as nickel and copper due to manufacturers and depends on the applications
underinvestment in the mining sector10. for which they are intended.
Figure 2 below provides some examples of these There may be several different components to
other metals and their uses. a battery. These include:11 cells (EV battery packs
for example may have hundreds of individual
cells usually arranged in modules) a battery
management system, cooling mechanisms and
temperature monitors, relays (which control the
distribution of the battery pack’s electrical power
to the output terminals), temperature, voltage,
and current sensors, cabling, contacts, metal
and / or plastic casings and other electronics,
such as inverters.
While most of the weight of a battery generally
consists of the cells, the other materials from
a battery can potentially be recovered at
end-of-life.
Figure 2: Cathode composition of lithium batteries, excluding lithium.
Image reproduced from (Electrek, 2016).
10
https://www.reuters.com/article/us-usa-lithium-electric-tesla-exclusive-idUSKCN1S81QS
11
https://en.wikipedia.org/wiki/Electric_vehicle_battery
16 17
current state of play: Key materials in lithium-ion batteries
our linear system
Lithium Cobalt
Lithium, also known as ‘white gold’, is used as Mostly retrieved as a by-product from copper
an electrolyte in lithium-ion batteries. Lithium and nickel production, cobalt is often used as
mining, seen as a source of strategic advantage a ‘safe’, stable cathode material in lithium-ion
in producer countries from Australia14 to the batteries.
‘Lithium Triangle’ of Argentina, Chile and Bolivia.
In Bolivia15, where all natural resources have Sometimes called the ‘blood diamond of
been nationalised, lithium mining has caused batteries’ from a conflict supply chain, cobalt
water shortages impacting local farmers, and is regarded as the most strategic and highest
What is a linear economy? Figure 4: Linear Economy13
toxic spills. A 2016 toxic chemical leak from the value material in the makeup of batteries.
Ganzizhou Rongda lithium mine in the Tibetan The global market consumes in the order of
Modern economies are based on a linear plateau damaged the local ecosystem, with 110,000 tonnes annually.18 Supplies of cobalt are
economy model of ‘take make waste’ i.e. take linear economy dead fish and reportedly, cow and yak carcasses dominated internationally by the Democratic
resources from the ground, make products, floating downstream, dead from drinking Republic of Congo (DRC) where unregulated
create waste to landfill. Given that we are contaminated water16. and dangerous mining takes place, often
currently using the Earth’s resources 1.7 times by children. Despite the 2017 Responsible
faster than they are being replenished12, our WASTE The price of lithium has been climbing and Cobalt Initiative, long term security of supply,
growing populations, the environmental and is currently over $12,000 per tonne. However, environmental pollution and human rights
social impacts mentioned earlier in this Paper because lithium is a small fraction of the violations are noted as ongoing concerns.19 While
TAKE MAKE DISPOSE
plus increased demand for products means that NATURAL makeup of a lithium-ion battery (1-2%) the high it is recyclable, it is not routinely recovered at
RESOURCES
the linear economy is simply unsustainable. price of lithium is not expected to significantly end-of-life. In addition, cobalt tracks copper and
impact battery prices. Although production nickel prices which can be too volatile to attract
is projected to increase ahead of demand, investment in safer production. The impact of
technical & biological materials mix up lithium supply is expected to remain tight as the high price of cobalt and uncertainties about
energy from finite sources demand continues to grow. Price forecasts its supply have led to two key responses by the
suggest that the cost of lithium will drop from industry: moving to battery designs that use
recent peaks but is expected to remain high. As less cobalt and seeking to recover cobalt from
mentioned above, lithium is 100% recyclable, but used batteries. Tesla, for example has stated that
uneconomic to recycle. no cobalt will be used in the next generation of
batteries.20
The linear battery value chain
Figure 5 below provides an example lithium-ion battery value chain. In a typical linear model (business
as usual), products end up in landfill, often a cheap alternative to recycling.
Figure 5: An example linear battery value chain
Recycling
Battery Source Distribution Transport Image: Hundreds of trucks drilling under the Image: Unregulated ‘artisanal’ mining of
Manufacture Import Retail Use
Design Materials Logistics Used once-pristine Bolivian salt lake Salar de Uyuni cobalt in the DRC21
Batteries Landfill
in the quest for lithium17
According to UNICEF and Amnesty International, around 40,000 children are involved in cobalt mining
in DRC where they make only $1 – $2 USD per day. DRC’s cobalt trade has been the target of criticism
for nearly a decade, and the U.S. Labor Department lists Congolese cobalt as a product it has reason to
think is produced by child labor. More troubling, cobalt demand has tripled in the past five years and is
projected to at least double again by 2020.
Source: Union of Concerned Scientists – Science for a healthy planet and safer world
https://blog.ucsusa.org/josh-goldman/electric-vehicles-batteries-cobalt-and-rare-earth-metals
14
https://www.csiro.au/~/media/EF/Files/Lithium-battery-recycling-in-Australia.
PDF?la=en&hash=924B789725A3B3319BB40FDA20F416EB2FA4F320
15
https://www.smh.com.au/world/lithium-bolivia-20170523-gwb8me.html
16
https://www.wired.co.uk/article/lithium-batteries-environment-impact
17
https://www.smh.com.au/world/lithium-bolivia-20170523-gwb8me.html Photo: Matjaz Krivic, The Sydney Morning Herald
18
https://investingnews.com/daily/resource-investing/critical-metals-investing/cobalt-investing/top-cobalt-producing-countries-congo-
china-canada-russia-australia/
19
https://www.bloomberg.com/graphics/2018-cobalt-batteries/
20
Musk, E: Retrieved from Twitter: https://twitter.com/elonmusk/status/1006968985760366592?lang=en
21
Source: Washington Post, September 30th 2016 – The Cobalt Pipeline Story https://www.washingtonpost.com/graphics/business/
12
Ecological Footprint Explorer: http://data.footprintnetwork.org/#/ batteries/congo-cobalt-mining-for-lithium-ion-battery/?noredirect=on Story by Todd.c. Frankel, Photo: Michael Robinson Chavez, Video
13
Source: https://www.mfe.govt.nz/waste/circular-economy editing: Jorge Ribas, Washington Post
18 19current state of play:
our linear system continued
Key materials in lithium-ion Retail & uses of large batteries Stationary Storage and/or stored closer to the point of demand,
such as a household with a solar and battery
batteries continued in New Zealand Stationary storage applications are expected to system, or an industrial facility with a wind
increase significantly worldwide. Some forecasts turbine powering their manufacturing facility.
Graphite Unless sold for network, home or industrial Distributed energy systems can use new or
suggest that the stationary storage market will
energy storage systems, the retail of batteries second-life EV batteries as a source of energy
grow from approximately U$4 billion in 2017 to
Graphite is the commonly used material for the takes place when an EV is sold. Given the clear during peak demand. Energy companies refer to
US$35 billion by 2030.25 This is being driven by
anode in lithium-ion batteries. majority of EVs in New Zealand are imported this as peak shaving.
a shift towards renewable energy generation
second-hand by a number of organisations
EVs can have in the order of 50kg of graphite in like wind and solar that requires storage to
(approx. 70% using 2018 import data), this The uptake of distributed energy systems will
each battery pack. 75% of flake graphite is mined overcome the disconnect between when power
complexity provides a challenge when take place within a wider context of potential
in China. There are concerns over environmental is being generated and when it is being used.
considering chain of custody issues as batteries changes to the energy sector as a whole. It is
and labour practices, which has China’s graphite Manufacturing costs are expected to continue
move from EVs to second or third life uses. likely that the changes afforded by technology
industry under scrutiny – Chinese mines have to fall due to technical advances, economies of
and changing demand profiles will see
even been shut down due to a “government In New Zealand, large batteries are used in the scale and efficiencies throughout the supply
distributed systems play a larger role in the
crack down on pollution”.22 following broad applications: chain. Distribution costs have the potential to
future.
fall if these technologies are integrated and
The US, Europe, Japan and South Korea are • Hybrid, plug-in hybrid and battery EVs leveraged. Energy companies such as Vector
almost entirely dependent on imported are also installing stationary storage to manage Applications: Utility and
graphite; therefore, the US and the EU have • Stationary storage for local use (such as peak loads within networks and to provide
declared graphite a supply-critical mineral. Very storage of solar power and for off-grid backup power in the event of disruption of
Industrial
little recycling of graphite takes place, and there systems) supply. Finally, a further benefit of the use of There is over 20 MWh of network utility and
are almost no substitutes for the material. This stationary energy storage solutions is that it industrial large battery storage capacity installed
• Stationary storage for utilities
has led to an increase in the price of graphite of offers a cost-effective alternative to traditional or due to come on-line in the near future in
over 40% in the last 6 months.23 • Stationary storage for household use energy infrastructure. New Zealand. Two recent examples of large
scale battery storage also used for industrial
One forecast is that the battery anode market
for graphite (natural and synthetic) will at least
• Buffer units for fast charging stations
Distributed energy applications totalling 5MWh are: the Glen Innes
substation established by Vector (see case study
triple in size from 80,000 tonnes in 2015 to at • Industrial applications (such as cellphone
Distributed energy generation and storage below), and a second by Mercury Energy in
least 250,000 tonnes by the end of 2020.24 towers or data centres)
refers to systems where electricity is generated South Auckland, both using Tesla Powerpacks.
There are also a range of potential emerging
uses. For example, technology start-ups such Figure 6: Growth of the Stationary Storage Market26
as Kitty Hawk and Zunum are investing in
electric planes, and ships are using large battery
power to manoeuvre into port to reduce local
emissions.
Image22: Graphite miner
22
http://www.energystoragejournal.com/2019/02/21/graphite-production-to-move-west-as-china-supply-chain-to-halve/ 25
https://www.gminsights.com/pressrelease/stationary-battery-storage-market
23
ttps://investorintel.com/sectors/technology-metals/technology-metals-intel/northern-graphite-becoming-an-important-market-player/
h 26
https://www.prnewswire.com/news-releases/stationary-battery-storage-market-worth-170bn-by-2030-global-market-insights-
24
http://www.visualcapitalist.com/critical-ingredients-fuel-battery-boom/ inc-300803606.html
20 21current state of play: CASE STUDY: Envirostream
our linear system continued Around 18,000 tonnes of batteries require
disposal each year in Australia and over 95% end
Envirostream has constructed a commercially
viable battery recycling plant that can recover
up in landfill posing a significant environmental around 95% of the material including the copper,
risk. As Australia’s first and currently only lithium steel, aluminium and a graphene metal oxide
battery processor, Envirostream is committed to which is used as an input material in cathode
Applications: Household reducing batteries in landfill by recovering the
materials onshore and sending them back into
manufacture.
In household applications, batteries typically the manufacturing sector to be made into new It’s not only Envirostream’s material recovery
support solar photo-voltaic (PV) systems to products, including cathode material for new that is circular, the economics are too. By
CASE STUDY: batteries. utilising revenue from the recovery of materials,
optimise solar self-consumption, meaning
a household consumes most of the solar it the front-end costs can be reduced to challenge
generates and only exports a small amount to This is a true circular business model designed landfill as the cheapest option, in some cases
to challenge the last decade of expensive battery removing the cost to recycle batteries in
Vector Glen Innes substation the grid.
recycling that has led to only a 5% recovery Australia altogether.
In 2016, the then Minister of Energy and The number of domestic battery storage units rate. Based on over two years’ continuous R&D,
Innovative Resource Recovery
Resources officially opened Vector's renovated installed is currently small with approximately
Glen Innes substation, home to Asia Pacific's 1-1.5MWh installed per year, however there is
ENVIROSTREAM SYSTEM
first grid scale Tesla Powerpack battery potential for growth particularly if adoption of
storage system to be integrated into a public standalone rooftop solar was incentivised by The revolutionary Envirostream system is the result of two years of research and development. Our ISO 14001 accredited, modular
electricity network. With a storage capacity regulation, or the economic case was made processing technology can process 40 tonnes per line, per month. We operate two dedicated, enclosed processing lines that can process
80 tonnes of batteries per month combined. Making expansion easy, we constructed the Envirostream system with efficiency in mind. The
of 1MW/2.3MWh - the equivalent to powering more attractive through cheaper storage. This modular design lets us carry out line maintenance without compromising our processing ability and can be placed anywhere in Australia.
450 average homes for 2.3 hours - Tesla could be provided through new or second- For mixed consignments, we have developed an effective battery sorting solution. At Envirostream, we’re one step ahead.
Powerpack allows Vector to continue to provide life batteries. There are an estimated 15,000
a secure, reliable power supply and defer a households in NZ that are generating their own
conventional upgrade to the substation. This electricity27, however there is no official data
move represented a radical transformation in on what proportion of these also have battery
WASTE
how Vector manages its electricity network storage.
and responds to the need for innovative
infrastructure development to support growing
communities.
End-of-life collection EV & HYBRID
VEHICLES
ELECTRONICS POWER TOOLS
ENERGY
STORAGE SYSTEM
POWER
GENERATION
& disposal
Lead-acid battery recycling is effective for several
reasons:
- Standard design and disassembly protocols
BATTERY
d
TYPES
NiC
- A single chemistry type PLEASE SUPPLY HIGH RES
- Lead-acid battery recycling generates LITHIUM
ALKALINE
NICKEL METAL NICKEL
LEAD ACID
(LI-ION) HYDRIDE (NiMH) CADMIUM (NiCd)
revenue ie. currently the value exceeds
recycling costs
- No need for segregation, plus ON-SHORE BATTERY PROCESSING
SPECIALIST SPECIALIST
LEAD ACID
CADMIUM
PROCESSOR
PROCESSOR
- Regulation making it illegal to dispose to (in Australia)
landfill.
Unfortunately, each of these factors varies for
PROCESS
lithium-ion and other battery types, making
them harder to manage at end-of-life. Notably,
at the time of publication, there are no
large-scale pre-processing, processing or
full recycling facilities for large lithium-ion
batteries in New Zealand although this is ENVIROSTREAM
being investigated by several organisations. PROCESS
Pre-processing plants break up batteries to
be safe for transport by e.g. discharging them
or removing cells. The nearest pre-processing
facility to New Zealand is Envirostream in
MATERIAL
OUTPUT
Victoria, Australia, which undertakes pre- STEEL COPPER ALUMINIUM
MIXED METAL
COMPOUND
processing and processing to produce mixed
metal dust used in other batteries.
27
https://www.canstarblue.co.nz/energy/electricity-providers/battery-storage/
Envirostream Australia Pty Ltd E. info@envirostream.com.au P. 1800 72 72 74 www.envirostream.com.au
22 23current state of play:
our linear system continued
End-of-life EV batteries: Modelling by Eunomia commissioned by Vector
suggests between 500 and 1,000 EV batteries
flow of end-of-life EVs is also apparent from the
above projection.
CASE STUDY: Toyota
Volumes and Approaches coming to the end-of-life by 2020 rising to
In addition to the above projection Eunomia
between 9,000 and 17,000 by 2025 and 30,000 Toyota has a global commitment to resource
To date, end-of-life electric vehicles have been also modelled a number of alternative scenarios
to 84,000 by 2030. Because stationary storage with some varying assumptions including the efficiency and the recycling of vehicle parts,
only a minor issue for New Zealand due to the applications are still a small (but growing) part such as Toyota and Lexus hybrid batteries.
government targets not being met, a higher
small numbers involved. Since 2014 only 181 of the market and have longer lifespans, the This includes investing in battery second-life
proportion of new vehicles and the impact of
EVs have been scrapped from the fleet in New numbers of batteries reaching end-of-life from an assumed longer life for EV batteries. These applications and new recycling facilities.
Zealand although the numbers are rising with such uses is expected to remain relatively small projections are provided in the Technical In New Zealand, Toyota takes a value chain
49 scrapped in 2018, and 81 so far in 2019. Over between now and 2030. Addendum. approach to environmental impacts,
half (101) of the EVs scrapped are Nissan Leafs, demonstrated through its nationwide collection
Assumptions detailed in the Technical In brief, if the adoption of EVs follows a similar
with these numbers also rising.28 It should be of hybrid batteries that have reached their end
Addendum suggest that by 2030 there profile to global forecasts this would suggest
noted that the numbers of vehicles scrapped between 880 batteries coming to the end of life of their life. The collection takes place through
could be nearly 84,000 end-of-life EV battery Toyota Stores, and includes a $100 bounty for
is not the same as the number of end-of-life by 2020 rising to 9,500 by 2025 and 30,000 per
packs requiring management each year. The batteries returned from vehicle dismantlers.
batteries, as when battery packs reach the end annum by 2030.
projection is shown in the chart below. Toyota New Zealand (TNZ) corporate and dealer
of their life (estimated at 10 - 15 years) they may
In the other alternative scenario, if the vehicle operations and premises are independently
be replaced in the vehicle, which continues The chart illustrates the potentially steep audited and certified to Enviro-Mark Diamond
fleet composition targets are met, but the fleet
to operate. There is no data available on the trajectory that is likely to be facing the industry if is assumed to have a higher proportion (50%) or ISO 14001 certification, to ensure customer
numbers of vehicles that have had battery packs the adoption of EVs takes place at forecast rates. of NZ new vehicles in its makeup, and a longer confidence in Toyota’s environmental
replaced. The influence of the used car market on the average battery life of 12 years is assumed, this management processes. Technicians are trained
would reduce the total number of end of life in the safe removal, handling, transport and
batteries to 54,000 per annum by 2030. storage of batteries.
Figure 7: Estimates of end-of-life EV Battery Packs 2019-2030 TNZ has partnered with Upcycle Limited to strip
The approaches taken by manufacturers to end-
of-life vary. Two manufacturers offer a take back the metals and plastics (which are diverted to
service for end-of-life vehicles, with one offering local recycling systems) and send the cells to
a $100 bounty for people to bring them in. This Kobar Limited in South Korea (the closest of the
90,000 few global facilities equipped to recycle cells) for
applies to both new and used vehicles imported
to New Zealand. The batteries are consolidated material recovery and re-use. Both Upcycle and
80,000 and then shipped via a local recycler to South Kobar are ISO 14001 certified.
Korea for processing. Other manufacturers have
70,000 a policy of shipping the batteries back to their Toyota New Zealand is committed to sustainable
factory for disassembly and reuse or recycling business practices, and supportive of the
60,000 of the constituent parts. Tesla, for example, development of battery re-purposing and
operates a battery recycling programme material re-use in New Zealand.
50,000 together with Umicore (pyrometallurgy) in
Europe (Tesla, 2011). This programme applies
40,000 to New Zealand customers but logistics are
a challenge: battery shipments need to have
30,000 proper paperwork complying with the Basel
Convention on the Control of Transboundary
20,000 Movements of Hazardous Wastes and their
Disposal.
10,000
0
2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030
New Used Total
28
https://www.transport.govt.nz/resources/vehicle-fleet-statistics/monthly-electric-and-hybrid-light-vehicle-registrations-2/
24 25You can also read
