Report on the Repurposing of Electric Vehicle Batteries and its Contribution to Sustainable Development Goals

Executive Summary

A new market is emerging in Australia centered on the acquisition and repurposing of high-powered batteries from salvaged Electric Vehicles (EVs). This trend directly supports several United Nations Sustainable Development Goals (SDGs) by fostering a circular economy, promoting clean energy, and driving sustainable innovation. This report analyzes the growth of this secondary market, its applications, and its alignment with global sustainability targets, particularly SDG 7, SDG 9, SDG 11, SDG 12, and SDG 13.

Market Dynamics and Contribution to SDG 12: Responsible Consumption and Production

The demand for secondhand EV batteries from written-off vehicles is surging, creating a new industry focused on extending product life and reducing waste. This practice is a clear example of the principles outlined in SDG 12.

Key Market Developments

• A new class of buyers, including second-life battery startups, is actively acquiring salvaged EVs at auctions, a trend that was non-existent 18 months prior.
• Auction houses like Pickles report selling approximately 100 salvaged EVs monthly, with a 200% increase in sales over the previous financial year.
• The primary interest is in the advanced battery technology within these vehicles, which can be repurposed for a second life, thereby promoting sustainable production and consumption patterns.

Alignment with SDG 12

1. Waste Reduction: Instead of immediate shredding and resource-intensive recycling, repurposing batteries significantly extends their operational lifespan, with some experts estimating an additional 20 years of use.
2. Circular Economy: This trend establishes a circular model for a high-value component, reducing the demand for new raw materials and minimizing the environmental impact of battery production.

Advancing SDG 7 (Affordable and Clean Energy) and SDG 13 (Climate Action)

Repurposed EV batteries are being deployed as powerful energy storage solutions, accelerating the transition to renewable energy and mitigating climate change.

Applications in Clean Energy

• Solar Energy Storage: EV batteries, even at 70% of their original capacity, are significantly more powerful than typical home storage units and are ideal for storing solar energy. This directly supports SDG 7 by increasing access to reliable and clean energy.
• Diesel Generator Replacement: Mobile battery units are replacing fossil fuel-powered generators. A case study from a music festival in Queensland demonstrated that repurposed EV batteries could power an entire event, including sound equipment and food trucks. This contributes to SDG 13 by reducing greenhouse gas emissions and local air pollution.

Impact on Climate and Community Sustainability (SDG 11)

The use of silent, pollution-free battery systems enhances the sustainability of communities and urban events.

• Reduced Pollution: Unlike noisy and odorous diesel generators, battery power systems improve the quality of life at public gatherings, contributing to the goals of SDG 11 (Sustainable Cities and Communities).
• Energy Resilience: These systems provide a reliable, off-grid power source, which can enhance community resilience during the transition to sustainable energy infrastructure.

Fostering Innovation and Sustainable Infrastructure (SDG 9)

The growth of the second-life battery market represents a significant industrial innovation that builds resilient and sustainable infrastructure.

Industry Growth and Innovation

1. New Industry Creation: The emergence of startups dedicated to repurposing EV batteries demonstrates innovation in sustainable technology, a key target of SDG 9 (Industry, Innovation, and Infrastructure).
2. Supporting Energy Infrastructure: As stated by industry experts, Australia requires a substantial increase in short-term energy storage to facilitate its transition to renewable energy. This new market provides a critical resource to meet that need.
3. Market Expansion: Initially focused on Tesla models, the market is now expanding to include a wider variety of EV makes, such as BYD and MG, reflecting the growth of the broader EV market in Australia.

Analysis of Sustainable Development Goals in the Article

1. Which SDGs are addressed or connected to the issues highlighted in the article?

1. SDG 7: Affordable and Clean Energy

   The article focuses on repurposing electric vehicle (EV) batteries for energy storage, such as for solar units and off-grid systems. This directly relates to providing clean energy solutions, as highlighted by their use in replacing “noisy, smelly diesel generator[s]” with a “silent, pollution free” alternative that can be “recharged using solar.”

2. SDG 9: Industry, Innovation, and Infrastructure

   The text describes the emergence of a new industry built around giving EV batteries a second life. It notes the rise of “second-life battery startups” and an industry that “really didn’t exist 18 months ago.” This represents innovation in sustainable technology and the development of new infrastructure for energy storage.

3. SDG 11: Sustainable Cities and Communities

   The use of repurposed batteries contributes to more sustainable communities by providing clean energy for events, as seen with the music festival that was “powered by repurposed EV batteries.” This reduces the local environmental impact by eliminating the air and noise pollution associated with diesel generators, making community spaces more pleasant and healthier.

4. SDG 12: Responsible Consumption and Production

   The core theme of the article is extending the life of a product to reduce waste. By repurposing EV batteries, the practice promotes a circular economy, moving away from a linear model of produce, use, and dispose. The article states a repurposed battery can reduce the complex process of shredding and recycling, with buyers believing they can get “about 20 years of usage from them.”

5. SDG 13: Climate Action

   By creating effective energy storage for renewables like solar and replacing fossil-fuel-powered generators, the repurposing of EV batteries is a direct climate action. It helps in the “transition to sustainable energy solutions” and reduces greenhouse gas emissions that would otherwise be produced by diesel generators.

2. What specific targets under those SDGs can be identified based on the article’s content?

SDG 7: Affordable and Clean Energy

• Target 7.2: By 2030, increase substantially the share of renewable energy in the global energy mix.

  The article supports this target by describing how repurposed batteries are used for “solar storage units” and are “recharged using solar.” This creates the necessary storage infrastructure to make intermittent renewable energy sources like solar more reliable and widely used.

SDG 9: Industry, Innovation, and Infrastructure

• Target 9.4: By 2030, upgrade infrastructure and retrofit industries to make them sustainable, with increased resource-use efficiency and greater adoption of clean and environmentally sound technologies and processes.

  The emergence of the “second-life battery startups” is a direct example of a new, sustainable industry. This industry adopts a clean technology process (repurposing) that increases resource-use efficiency by extending the life of batteries, as opposed to the energy-intensive process of shredding and recycling them immediately.

SDG 11: Sustainable Cities and Communities

• Target 11.6: By 2030, reduce the adverse per capita environmental impact of cities, including by paying special attention to air quality and municipal and other waste management.

  The article shows how these batteries replace diesel generators, which are a source of urban air and noise pollution. The batteries are described as “silent, pollution free,” directly improving local environmental quality. Furthermore, repurposing batteries is a form of innovative waste management, preventing them from becoming waste prematurely.

SDG 12: Responsible Consumption and Production

• Target 12.5: By 2030, substantially reduce waste generation through prevention, reduction, recycling and reuse.

  The entire practice discussed is centered on reuse (“repurposing”). The article highlights that this gives batteries a “second-life,” directly reducing the generation of battery waste and promoting a circular economy model over premature recycling or disposal.

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

For Target 7.2 (Increase renewable energy share)

• Implied Indicator: Number of diesel generators replaced by repurposed battery systems.

  The article explicitly mentions that “People really like them as an alternative to a diesel generator.” Tracking the number of replacements would measure the shift to cleaner energy sources for off-grid and temporary power needs.

• Implied Indicator: Amount of energy storage capacity added to the grid or for off-grid use from second-life batteries.

  The article states, “we need every bit of storage we can get our hands on.” Measuring the total kWh capacity of repurposed batteries would quantify their contribution to supporting renewable energy.

For Target 12.5 (Reduce waste generation)

• Direct Indicator: Volume of salvaged EVs sold for repurposing.

  The article provides specific data: the auction house Pickles is “selling about 100 salvaged EVs every month,” and “Financial year sales of salvage EVs increased 200% over the prior year.” These figures directly measure the scale and growth of battery diversion from the waste stream.

• Implied Indicator: Percentage of end-of-life EV batteries that are repurposed versus recycled.

  While not providing a number, the article contrasts repurposing with the process where “many batteries are shredded.” An indicator measuring the ratio of repurposed batteries would show progress in prioritizing reuse over recycling.

For Target 9.4 (Adoption of clean technologies)

• Direct Indicator: Growth in the number of businesses in the battery repurposing sector.

  The article states, “We’ve got this new element of second-life battery startups. That industry really didn’t exist 18 months ago.” Tracking the number of such startups would be a clear indicator of the adoption of this sustainable industry model.

4. Summary Table of SDGs, Targets, and Indicators

Source: theguardian.com