BOULDER, Colo.--(BUSINESS WIRE)--A recent report from Navigant Research explores the concept of reusing plug-in electric vehicle (PEV) lithium ion (Li-ion) batteries for stationary energy storage system (ESS) applications, focusing on the key issues, market drivers, and challenges related to reusing second-life PEV batteries.
Li-ion battery packs in EVs have shown less degradation and better performance than expected thanks to robust pack design and careful thermal and charging management. Although the specific power and energy capacity performance parameters for second-life reuse will need to be determined, these batteries will likely have high power and energy capacities, making them well-suited for grid storage applications such as frequency regulation as well as longer duration applications. Click to tweet: According to a recent report from @NavigantRSRCH, capacity of Li-ion batteries for PEV second-life stationary energy storage is expected to grow 10 GWh from 2022 to 2035.
“The release of the Chevrolet Volt and Nissan LEAF in 2010 ushered in the modern era of mainstream vehicle electrification,” says William Tokash, senior research analyst with Navigant Research. “PEVs that use traction batteries with Li-ion chemistries are now available globally, and many of these batteries show less degradation and better performance than expected and may have value after their vehicle life is over.”
The regional distribution of second-life batteries will be relatively proportional between Asia Pacific, Europe, and North America, according to the report. The low cost and heavy weight of these batteries will likely preclude intercontinental shipping, so most batteries employed in stationary ESS reuse applications will be in close vicinity to where they are removed from vehicles.
The report, Alternative Revenue Models for Advanced Batteries, explores the concept of reusing PEV Li-ion batteries for stationary ESS applications. The study examines the issues, including market drivers and challenges, related to second-life batteries and suggests moves for stakeholders to help make the concept become a reality. Global forecasts for the availability and capacity of these batteries, as well as their future price ceilings, are provided. The report also assesses the residual energy storage asset value and alternative revenue streams associated with the reuse of PEV Li-ion batteries. An Executive Summary of the report is available for free download on the Navigant Research website.
About Navigant Research
Navigant Research, the dedicated research arm of Navigant, provides market research and benchmarking services for rapidly changing and often highly regulated industries. In the energy sector, Navigant Research focuses on in-depth analysis and reporting about global clean technology markets. The team’s research methodology combines supply-side industry analysis, end-user primary research and demand assessment, and deep examination of technology trends to provide a comprehensive view of the Energy Technologies, Utility Transformations, Transportation Efficiencies, and Buildings Innovations sectors. Additional information about Navigant Research can be found at www.navigantresearch.com.
Navigant Consulting, Inc. is a specialized, global professional services firm that helps clients take control of their future. Navigant’s professionals apply deep industry knowledge, substantive technical expertise, and an enterprising approach to help clients build, manage and/or protect their business interests. With a focus on markets and clients facing transformational change and significant regulatory or legal pressures, the Firm primarily serves clients in the healthcare, energy and financial services industries. Across a range of advisory, consulting, outsourcing, and technology/analytics services, Navigant’s practitioners bring sharp insight that pinpoints opportunities and delivers powerful results. More information about Navigant can be found at navigant.com.
* The information contained in this press release concerning the report, Alternative Revenue Models for Advanced Batteries, is a summary and reflects Navigant Research’s current expectations based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report’s conclusions and the methodologies used to create the report. Neither Navigant Research nor Navigant undertakes any obligation to update any of the information contained in this press release or the report.