As we continue to transition towards sustainable energy solutions, we must also think about how to minimise potential adverse environmental impacts of those solutions and identify opportunities to maximise value from existing assets. For example, as electric vehicle (EV) batteries reach the end of their vehicle life, how can we extend their lifespan to maximise their economic and sustainable value?
MinterEllisonRuddWatts Energy team co-leader Natasha Hood and Special Counsel Lisa Curran attended the SEANZ conference last month where, among other innovative ideas, the concept of 'second life' battery applications was discussed. This is an emerging solution in the continuing evolution of the energy storage landscape.
'Second life' battery technology offers a promising avenue for repurposing EV batteries. After being retired from vehicles, these batteries typically retain 50-80% of their capacity. They can be used in other applications and when a second-life battery is used instead of a new battery, it significantly reduces carbon emissions.
Case studies
In August, Counties Energy received the Innovation in Energy Award at the New Zealand Energy Excellence Awards for repurposing 18 end-of-life Nissan Leaf EV batteries into a low-voltage public EV charging station at the Waikato Expressway Mercer Service Centre. This innovative project, in collaboration with Australian developer Relectrify, demonstrates the potential for repurposed EV batteries in grid-scale storage applications.
Globally, there are more examples of second-life EV battery programmes:
- Nissan and Ecobat Solutions UK Ltd are investigating how batteries from end-of-life EVs can be recovered and then be safely removed, repaired, recycled, or repurposed. At Ecobat’s Darlaston base, near Birmingham, batteries are repurposed for second life applications such as emergency power backup and power balancing, and mobile power charging systems.
- Porsche has implemented a new stationary energy storage system at its Leipzig plant. It covers an area nearly as big as two basketball courts and uses 4,400 salvaged end-of-service-life batteries.
There are a variety of other European companies pioneering second-life battery applications.
Legal and regulatory considerations
As for any technology used for a different application, repurposing EV batteries may have legal implications. Key considerations include:
- Safety standards: Ensuring the refurbished batteries meet the stringent safety standards.
- Environmental compliance: Navigating the challenges of transporting hazardous materials.
- Warranties: Considering the warranties that will apply in the context of the new use, and who will be providing those warranties. Suppliers of these used batteries will still need to meet their duties under the Health and Safety at Work Act 2015. There is a limited exception to their duty as a supplier if they are selling the batteries “as is” (i.e., without any representations or warranties about quality, durability, or fitness).
The second life use of EV batteries embodies the essence of sustainability—maximising resources and minimising waste. As these technologies evolve, care must be taken to ensure sustainable and legally compliant advancement.
Please get in touch with one of our energy experts if you would like to know more about developments in these innovative spaces. We can help with advice on applicable laws, regulatory standards, or contractual requirements.
Key contacts
Speak with one of our experts.
