Emerging supply chain of utilising electrical vehicle retired batteries in distributed energy systems

Abstract

Increasing electric vehicles (EV) penetration leads to significant challenges in EV battery disposal. Reusing retired batteries in distributed energy systems (DES) offers resource-circular solutions. We propose an optimisation framework to model the emerging supply chains and design strategies for reusing the retired EV batteries in DES. Coupling a supply chain profit-allocation model with a DES design optimisation model, the framework maximises the whole chain profit and enables fair profit distribution between three interactive sectors, i.e., EV, DES, dismantling and recycle (D&R) sectors. Our research highlights the system implications of retired batteries on DES design and new modelling insights into incentive policy effectiveness. Our case study suggests significant potential value chain profits (2.65 million US$) achieved by deploying 10.7 MWh of retired batteries in the DES application with optimal retired battery price of 138 US$/kWh. The revenue support on D&R sector is suggested as a promising incentive scheme than tariff support.

Planning integrated energy systems coupling V2G as a flexible storage

“…Zhang et al [26] investigated the EV load increase in the future 20 years, and quantified the benefits of optimised EV charge on the load flexibility. Jing et al [27] modelled the supply chain profit-allocation of retired batteries and designed the fair profit distribution with the game-theory based optimisation.…”

Evaluating R&D efficiency of China’s listed lithium battery enterprises

“…Thus, their recycling and treatment have important economic, strategic and environmental benefits (Shang et al, 2021). Methods for safely and effectively recycling lithium batteries to ensure they provide a boost to economic development have been widely investigated (Zhang et al, 2020;Zhu and Chen, 2020;Jing et al, 2021;Duan et al, 2022).…”

“…The development of electric vehicles has been recognised as a promising field in response to the accumulated pressure regarding environmental concerns, which also highlighted the importance of the lithium battery industry (Jing et al, 2021;Sun, 2021). Data show that the scale of China's lithium battery industry has exceeded 180 billion yuan in 2020, with promising growth potential (Qianzhan Industrial Research Institute, 2021).…”