Battery recycling is still evolving globally.
Once EV batteries become depleted, about 80 per cent of their capacity is still available. It’s possible these batteries can have a second life in stationary storage, where a high energy density isn’t necessary.
Other forms of battery recycling include processing to extract some of the remaining elements, like nickel and cobalt. However, there are risks.
Inevitably, there will be a responsibility on producers to make it easier for batteries to be recycled, or for them to recycle batteries themselves. This is where we can expect to see a lot more innovation in terms of battery design, where the focus will be on getting things right in the beginning, by building some circularity into the process in order to avoid multiple problems down the track.
This is important, given the upstream mining side is carbon intensive.
Ultimately, lithium will be hard to displace as it’s the most formidable battery chemistry right now. With nickel and cobalt, if production can’t expand rapidly enough, we can expect chemistries to switch to nickel or cobalt-free batteries, such as lower-cost lithium ferro-phosphate battery chemistries.
Let’s not forget, we’re also witnessing a build-out of sodium-ion batteries in China, which are similar to lithium-ion but with 20 per cent less energy density (making them uncompetitive – for now).
If these do become commercialised, then that’s another supply chain that can be developed which is of lower cost than lithium phosphate chemistry. While there are risks with this technology, the one thing that’s certain is anything can happen over the next five to 10 years, with many swings and roundabouts expected within the sector.
So, that’s the recycling roundup.
Watch this space.
Words: VACC CEO Geoff Gwilym. As featured in the Herald Sun on 5 May 2023.