Towards a sustainable, circular, European battery supply chain

Towards a sustainable, circular, European battery supply chain

Batteries are found in devices we use daily, such as our smartphones, electric bikes, cars and scooters. Batteries also play an essential role in our transition to a green economy. The uptake of electric vehicles will increase their demand.

Some data on the market

ELECTRIC VEHICLES ON THE ROAD
Battery electric vehicles (BEVs) and plug-in hybrid electric vehicles

2019: 1.8 million

2030: 30 million

GLOBAL DEMAND FOR BATTERIES including home domestic batteries

2030: x14 demand increases

2030:-50% price reduction

INCREASE IN DEMAND FOR RAW MATERIALS Lithium, manganese, cobalt, nickel

2019: Significant environmental impact and high amount of waste

2030: Risk of reserves exhausted

Lithium - ion demand +30% each year

PRODUCTION OF BATTERIES IN THE EU

2019: EU invests €60 billion in European battery production and electric cars

2025: Local producers could cover the EU's demand

2030: EU produces next generation battery technologies

2050: The EU sets a global sustainable standard in a fast growing market

The life of a battery

NOW

Mining: new raw materials from outside the EU, pollution of natural resources, energy use

Refinery: high carbon footprint, pollution, different standards, low durability

Market: lack of common standards, competition from other markets, lack of information for customers along the value chain

End of use: Toxic substances like cadmium, mercury released in the environment, resources like cobalt and lithium lost in waste, few effective waste collection, treatment and recycling services, no second life for batteries

WITH THE NEW EU RULES

Mining: Due-diligence of raw materials' origin, carbon intensity requirements and more efficient use of raw materials

Refinery: More recycled content in new batteries second life for industrial batteries, performance and durability requirements, carbon intensity requirements for production processes

Market: Promote a circular battery industry, market for secondary raw materials, clearer labelling and information with "battery passports" and QR codes

End of use: Strict collection schemes and recycling targets, better ways of re-using old batteries, battery traceability, more efficient recycling of waste batteries, ensure the environmentally sound treatment of waste batteries, incentives for further recycling

Why modernise the rules?

An effective, sustainable battery supply chain can only happen if all actors are subject to the same requirements.

OBJECTIVES INCLUDE:

• Common rules in all EU member states
• Reducing pollution
• Producing more sustainable batteries to meet market demand
• Promoting a circular economy by using waste batteries resources for new batteries

Sources: Council of the European Union, European Commission