According to the latest report from a research consultancy in London, Circular Energy Storage, the global lithium-ion battery market with an expiration date is expected to be worth $1.3 billion this year.
Analysts believe that $1 billion in revenue can be generated through material recycling, and another $230 million comes from repair, refurbishment and formulation.
With the rise in sales of electric vehicles in China, the report predicts that 70% of the 'second-life' battery market will come from China. South Korea has a 16% share and is the second largest contributor to the market. Expected to 2025 The battery recycling market will grow to $3.5 billion, and the secondary battery market will reach $4.2 billion.
While recycled batteries are common for portable devices, EV batteries can be deferred through 'secondary use' applications, such as in energy storage systems. The report states that EV batteries have a capacity and remaining life cycle. Considerable performance can be used for energy storage. At the end of the first service life, EV batteries can be placed in residential and utility-grade static energy storage systems.
According to the report, early EV manufacturers, such as Nissan, Renault and BMW, will benefit from the new revenue stream due to the potential for secondary use of power packs. By 2025, the use of secondary batteries in energy storage systems It can reach a capacity of 42 GWh, 80% of which is in China - half of the battery storage capacity predicted for China.
The report also emphasizes that improving the manufacturing processes associated with standardization can lower the use of this type of battery locally, which will further expand the income of stakeholders.
Analysts described a business case for deploying secondary batteries in the UK. The case study speculated that a megawatt energy storage system would generate approximately 50,000 pounds ($65,000) per megawatt per year. One has 7,000 Nissan leaf cells The 100 megawatt power plant will generate $6.7 million in annual revenue per year, or $965/battery/year. A five-year remaining lifecycle battery will generate a total of $4,825 in revenue.
In Germany, the business case is more attractive due to the high frequency adjustment price. A similar power station can generate $18 million in annual revenue, and on average, each battery will generate $14,130 in its second five-year use. Income.
This research is good news for many EV battery manufacturers who need to take back their products and dispose of them. Longer lifespan equals fewer batteries, which means lower costs, a more beautiful balance sheet. .
Bloomberg New Energy Finance estimates that the global energy storage market will leap from 6.25 GWh last year to over 305 GWh in 2030.
