The electric vehicle market is set to grow quickly, but so far there has been no consensus on a ‘second-life’ for the many used EV batteries.
Low-cost energy storage could be here sooner than previously thought, according to BNEF analyst Claire Curry, says a new report from Bloomberg New Energy Finance (BNEF).
Other findings from BNEF report include:
- There will be 29 GWh of used EV batteries coming out of cars in 2025. This far exceeds the size of the current stationary storage market.
- Of this, almost a third will get a second life as stationary storage. (10GWh)
- Today, a new stationary storage system can cost up to $1000/kWh. In contrast, repurposing used EV batteries could cost as little as $49/kWh in 2018, with an additional $400/kWh cost to convert to stationary.
- The auto industry is divided on the issue. While Tesla won’t be involved in second life, BMW, Nissan and Mercedes Benz have second-life stationary storage projects in place.
Source: Bloomberg New Energy Finance