Journal of Circular Economy

Climate-neutrality targets and clean energy transition rapidly drive the increasing demand for batteries, making the market increasingly strategic at a global scale. Material efficiency, prolonging lifetime and circular economy are seen as key strategies to secure supply to critical raw materials. The European Commission sees that storing energy allows flexibility to adjust demand and supply, which is key to increase renewable energy production and utilisation, energy efficiency and security. Batteries are urgently needed to meet the EU's objectives on climate neutrality, replacing fossil fuel dependency and increase use of renewable energy. The utilisation of end-of-life electric vehicle batteries in 2^nd life applications is currently a poorly exploited field with limited legislative support in the EU. There is untapped potential with 2^nd life applications and implementing higher circular business models prior to recycling may help reach several of EU’s key strategic targets. Although reusing electric vehicle batteries will lead to nearly exclusively positive impacts, there are many challenges for successful scale up. The current work presents the findings of a thorough literature review on existing technology for reuse and repurposing, identified different circular business models, and an overview of the relevant legislative landscape in the EU, Norway and Finland. Interviews have been conducted to understand how various stakeholder groups perceive the possibilities within this business segment and what they see as the main barriers for implementation of 2^nd life batteries. In total, 10 challenges and barriers were identified in four different categories: technical, legislative, eco-design, and safety/reliability. Technical challenges are related to restricted access to historical data, lack of standardization in battery design, and rapid development of the battery technology. Safety/reliability are hampered by limited standards and legislation as well as being affected by the technical challenges. Although new standards are under development and the new EU Battery Regulation will address some of the identified challenges, it will take time before these changes becomes effective. Additionally, the EU Battery Regulation prioritizes material recycling of batteries over activities aimed at extending their lifespan in a circular manner, as it mandates a minimum proportion of materials in new batteries to be sourced from recycled materials.

Electric Vehicle Battery, Energy Storage, Stationary Energy Storage, Circular Economy, Reuse, Repurposing, Second Life, Legislation

Adams Inteligence. (2022, February 8). A record 286.2 GWh Deployed Onto Roads in Passenger EV Batteries in 2021. Retrieved from Adamsintel.com: https://www.adamasintel.com/record- battery-capacity-deployed-in-2021/

Arar, S. (2020, October 14). The Three Major Li-ion Battery Form Factors: Cylincrical, Prismatic, and Pouch. Retrieved from All About Circuits: https://www.allaboutcircuits.com/news/three- major-lithium-ion-battery-form-factors-cylindrical-prismatic-pouch/

BATTKOMP. (2023, August 23). BATTKOMP. Retrieved from BATTKOMP: www.battkomp.no Baum, Z. J., Bird, R. E., Yu, X., & Ma, J. (2022). Lithium-ion battery recycling─ overview of techniques and trends.

Benchmark Mineral Intelligence. (2022). Anode Market Assessment.

Bielewski, M., Pfrang, A., Bobba, S., Kronberga, A., Georgakaki, A., Letout, S., Grabowska, M. (2022). Clean Energy Technology Observatory: Batteries for energy storage in the European Union – 2022 Status Report on Technology Development, Trends, Value Chains and Markets,. Luxembourg: Publications Office of the European Union. https://doi.org/10.2760/808352

BloombergNEF. (2021, November). Retrieved from https://about.bnef.com/blog/global-energy- storage-market-set-to-hit-one-terawatt-hour-by-2030/

Brick Court Chambers. (2016, July 6). EFTA and the EEA: What are they? Retrieved from Brexit Law: https://brexit.law/2016/07/06/efta-and-the-eea-what-are-they/

Baazouzi, S., Feistel, N., Wanner, J., Landwehr, I., Fill, A., & Birke, K. (2023). Design, Properties, andManufacturing of Cylindrical Li-IonBattery Cells—A Generic Overview. Batteries, 9, 309.

Chizaryfard, A., Nuur, C., & Trucco, P. (2022). Managing Structural Tensions in the Transition to the Circular Economy: the Case of Electric Vehicle Batteries. Circular Economy and Sustainability, 1157-1185. Retrieved from https://doi.org/10.1007/s43615-022-00152-2

Eatron Technologies. (2023, 3 22). Eatron Technologies. Retrieved from BMSTAR – Battery mangement system: https://eatron.com/portfolio/bmstar-battery-management-system/

EFTA. (n.d.). How EU Law becomes EEA Law. Retrieved 04 19, 2023, from EFTA.int: https://eealaw.efta.int/

European Commission. (n.d.). Batteries and accumulators. Retrieved from [https://environment.ec.europa.eu/topics/waste-and-recycling/batteries-and-accumulators_en

European Commission, D.-G. f. (2020). Study on energy storage : contribution to the security of the electricity supply in Europe. Publication Office. Retrieved from https://data.europa.eu/doi/10.2833/077257

European Commission, Secretariat-General. (2021, 09 08). COMMUNICATION FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT AND THE COUNCIL 2021 Strategic

Foresight Report The EU’s capacity and freedom to act. Retrieved from https://eur- lex.europa.eu/legal-content/EN/ALL/?uri=COM:2021:750:FIN

European Council. (2023, July 10). European Council – Council of the European Union. Retrieved from Council adopts new regulation on batteries and waste batteries: https://www.consilium.europa.eu/en/press/press-releases/2023/07/10/council-adopts-new-  regulation-on-batteries-and-waste-batteries/

European Parliament. (2008). DIRECTIVE 2008/98/EC OF THE EUROPEAN PARLIAMENT AND

OF THE COUNCIL of 19 November 2008 on waste and repealing certain Directives. Brussels. Retrieved from https://www.reach- compliance.eu/english/legislation/docs/launchers/waste/launch-2008-98-EC.html

European Parliament. (2023). REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE

COUNCIL concerning batteries and waste batteries, amending Directive 2008/98/EC and Regulation (EU) 2019/1020 and repealing Directive 2006/66/EC. Brussels. Retrieved from https://data.consilium.europa.eu/doc/document/PE-2-2023-INIT/en/pdf

Finnish Government. (n.d.). Jätelaki 646/2011. Retrieved from https://www.finlex.fi/fi/laki/ajantasa/2011/20110646

Finnish Government. (n.d.). Valtioneuvoston asetus paristoista ja akuista 520/2014. Retrieved from https://www.finlex.fi/fi/laki/alkup/2014/20140520

Gabriella Jarbratt, S. J. (2023). Enabling renewable energy with battery energy storage systems.

McKinsey & Company. Retrieved from https://www.mckinsey.com/industries/automotive- and-assembly/our-insights/enabling-renewable-energy-with-battery-energy-storage-systems

Grudzień, P. (2022). Is there life after death for europes lithium ion batteries. Retrieved April 19, 2023, from Energy-Storage.news: https://www.energy-storage.news/is-there-life-after-death- for-europes-lithium-ion-batteries/

Haram MHSM, L. J. (2021). Feasibility of utilising second life EV batteries: Applications, lifespan, economics, environmental impact, assessment, and challenges. Alexandria Engineering Journal, 60(5), 4517-4536.

Harper G, S. R. (2019). Recycling lithium-ion batteries from electric vehicles. Nature, 575(7781), 75- 86.

Hoarau Q, L. E. (2022). An assessment of the European regulation on battery recycling for electric vehicles. Energy Policy, 162, 112770.

Hossain E, M. D. (2019). A Comprehensive Review on Second-Life Batteries: Current State, Manufacturing Considerations, Applications, Impacts, Barriers & Potential Solutions, Business Strategies, and Policies. IEEE Access, 7, 73215-73252.

Hua Y, L. X. (2021). Toward Sustainable Reuse of Retired Lithium-ion Batteries from Electric Vehicles. Resources, Conservation and Recycling, 168, 105249.

IEA. (2022). Global EV Outlook 2022. IEA.

Inside EVs. (2015). Retrieved from https://insideevs.com/news/328909/tesla-or-gm-who-has-the-best- battery-thermal-management/

International Energy Agency. (2022). World Energy Outlook 2022.

International Energy Agency. (2023). World Energy Outlook 2023.

International Energy Agency. (2024). Global EV Outlook 2024. International Energy Agency. Retrieved from https://iea.blob.core.windows.net/assets/4b9758a7-543c-4c6a-b749- f53deffc5c4b/GlobalEVOutlook2024.pdf

Ivar Valstad, M. G. (2020). Norske Muligheter i Grønne Elektriske Verdikjeder. Styringskomiteen for Grønne Elektriske Verdikjeder. Retrieved from https://www.nho.no/siteassets/veikart/rapporter/gronne-elektriske-verdikjeder_final.pdf

J. Jaguemont, N. O. (2018). Phase-change materials (PCM) for automotive applications: A review.

Applied Thermal Engineering, 132, 308-320.

J. Jyoti, B. P. (2021). Recent advancements in development of different cathode materials for rechargeable lithium ion batteries. Journal of Energy Storage, 43, 103112.

J. Potting, M. H. (2017). Circular economy: measuring innovation. The Hague: Agency PNA.

J. Thakur, C. M. (2022). Electric vehicle batteries for a circular economy: Second life batteries as residential stationary storage. Journal of Cleaner Production.

K. Berger, J. P. (2022). Digital battery passports to enable circular and sustainable value chains: Conceptualization and use cases. Journal of Cleaner Production.

Korhonen, J., Honkasalo, A., & Seppälä, J. (2018). Circular Economy: The Concept and its Limitations. Ecological Economics, 37-46. Retrieved from https://doi.org/10.1016/j.ecolecon.2017.06.041

L. Ahmadi, S. Y. (2015). A cascaded life cycle: reuse of electric vehicle lithium-ion battery packs in energy storage systems.

Lovdata. (2004, Juni 1). Avfallsforskriften. Forskrift on gjenvinning og behandling av avfall (FOR- 2004-06-01-930). Retrieved from https://lovdata.no/dokument/SF/forskrift/2004-06-01-930

Lu, M., Zhang, X., Ji, J., Xu, X., & Zhang, Y. (2020). Research progress on power battery cooling technology for electric vehicles. Journal of Energy Storage.

M. E. Kiger, L. V. (2020). Thematic analysis of qualitative data: AMEE Guide No. 131. Medical Teacher, 42(8), 846-854. Retrieved from https://doi.org/10.1080/0142159X.2020.1755030

Man, H. (2023, February 19). What are LFP, NMC, NCA Batteries in Electric Cars? Retrieved from zecar.com: https://zecar.com/resources/what-are-lfp-nmc-nca-batteries-in-electric-cars

Manshoven, S., Vercalsteren, A., Christis, M., De Jong, A., Schmidt, I., Grossi, F., . . . Mortensen, L. (2023). Consumption and the environment in Europe’s circular economy. European Environment Agency, European Topic Centre: Circular economy and resource use. Retrieved from https://www.eionet.europa.eu/etcs/etc-ce/products/etc-ce-report-2023-8-consumption- and-the-environment-in-europe2019s-circular-economy

MARBEL. (2021). D2.5 Recycling and ecodesign guidelines. EU Horinzont project MARBEL. Retrieved from file:///C:/Users/lindarek/Downloads/MARBEL_D2.5_Recycling%20and%20ecodesign%20gu  idelines_vdef%20(1).pdf

MUXANS. (2023, August 23). MUXANS. Retrieved from MUXANS: www.muxsan.com Nichols, D. (2023, January). Green Cars. Retrieved from www.greencars.com:

https://www.greencars.com/greencars-101/ev-battery-warranties-and-exclusions

Nissan Motor Corporation. (n.d.). nissan-global.com. Retrieved April 8, 2024, from Electric vehicle lithium-ion battery: https://www.nissan- global.com/EN/INNOVATION/TECHNOLOGY/ARCHIVE/LI_ION_EV/

NXP Semiconductors. (2022, 10 10). NXP Semiconductors. Retrieved from AI-Powered Cloud- Connected Battery Mangement Systems for Electric Vehicles: https://www.nxp.com/company/about-nxp/ai-powered-cloud-connected-battery-management-  system-for-electric-vehicles:NW-NXP-AI-POWERED-CLOUD-CONNECTED-BATTERY

Rallo H, B. G. (2020). Economic analysis of the disassembling activities to the reuse of electric vehicles Li-ion batteries. Resources, Conservation and Recycling, 159, 104785.

S. Bobba, S. C. (2020). European Commission, Critical materials for strategic technologies and sectors in the EU – a foresight study. Luxembourg: Publications Office of the European Union. https://doi.org/10.2873/58081

S. Roschier, A. P. (2020). Assessment of Li-ion battery reuse solutions – final report. Gaia Consulting Oy, Business Finland. Retrieved from https://www.businessfinland.fi/4974e0/globalassets/finnish-customers/02-build-your- network/bioeconomy–cleantech/batteries-from-finland/assessment-of-li-ion-battery-reuse- solutions.pdf

Shahjalal M, R. P. (2022). A review on second-life of Li-ion batteries: prospects, challenges, and issues. Energy, 241, 122881.

Statista. (2023). Distribution of graphite production worldwide in 2020, by country. Retrieved July 7, 2023, from Statista.com: https://www.statista.com/statistics/1171854/distribution-of-global- graphite-production-by-country/

Sun, P., Bisschop, R., Niu, H., & Huang, X. (2020). A review of battery fires in electric vehicles. Fire technology.

Virginia Braun, V. C. (2006). Using thematic analysis in psychology. Qualitative Research in Psychology, 77-101. https://doi.org/10.1191/1478088706qp063oa

W.Liu, T. P. (2022). Overview of batteries and battery management for electric vehicles. Energy Reports, 8, 4058-4084. https://doi.org/https://doi.org/10.1016/j.egyr.2022.03.016

Watanabe, N., Sugawa, O., Suwa, T., & Ogawa, Y. (2012). Comparison of fire behaviors of an electric-battery-powered vehicle and gasoline-powered vehicle in a real-scale fire test. Second International Conference on Fires in Vehicles.

X. Feng, M. O. (2018). Thermal runaway mechanism of lithium ion battery for electric vehicles: A review. Energy Storage Materials.

Xjong, R. (2020). Battery SoC and SOH estimation. In Battery mangement algorithm for electric vehicles. Singapore: Springer.

Zhu J, M. I. (2021). End-of-life or second-life options for retired electric vehicle batteries. Cell Reports Physical Science, 2(8), 100537.