ADI helped a global automotive battery supplier transform their costly EV battery disposal process into a profitable, sustainable business by creating a new battery circularity strategy.
The client
We partnered with a global automotive battery supplier with their strategy for a rapid transition toward electrified vehicles.
The situation
The client’s current process for handling old EV batteries was inefficient and costly. They collected only a small fraction of end-of-life batteries and disposed of them through a third party. Facing increased regulatory scrutiny and their own sustainability commitments, they recognized that the volume of collected batteries was projected to increase dramatically. Their objective was to transform this cost center into a new revenue source by building a new business unit focused on achieving EV battery circularity.
ADI’s contributions
Pathway definition & prioritization
We began by identifying three primary pathways for end-of-life batteries: remanufacturing (refurbishing batteries for resale), repurposing (reusing them for stationary energy storage), and recycling (extracting raw materials). We then analyzed many different types of batteries to prioritize the most impactful pathway for each, focusing on maximizing both sustainability and financial returns.
Pilot program & partner selection
We helped the client co-create a detailed pilot strategy, complete with specific goals, work plans, and required capabilities. To support this, we developed comprehensive screening criteria to evaluate and select the best technical partners for the recycling and repurposing trials.
Key outcomes
- Our work provided the client with a clear, data-driven strategy to build a new business unit focused on battery circularity. By defining and prioritizing the most viable pathways and establishing a pilot program with the right partners, we helped the client transform their costly battery disposal process into a profitable, sustainable business model that positions them for future growth.
More insights
Beyond green hydrogen: Electrolyzers as grid stabilizers
The green hydrogen dream is currently facing a difficult reality: electrolysers are expensive to build and operate, and many projects are struggling to secure the high utilization required for a bankable business case, often due to a lack of immediate, large-scale hydrogen demand. These plants have high upfront capital costs, and if they sit idle, the financial […]
Understanding carbon capture costs
Carbon capture and storage (CCS) is critical for achieving global decarbonization goals and as evident from ADI’s global CCUS facilities database, the momentum continues to build across the world. However, its costs and economics vary widely depending on the industry, technology, and location. Exhibit 1 below illustrates the relationship between unit cost of carbon dioxide (CO2) […]
Navigating plastic recycling: ADI’s insights on sustainability challenges
Panuswee Dwivedi, Project Manager at ADI Analytics, provides a comprehensive overview of the intricate challenges and opportunities within plastic recycling and sustainability, drawing on ADI’s deep industry expertise. She emphasizes that ambitious recycling targets still leave significant virgin plastic demand, requiring substantial infrastructure investments. Dwivedi explores global policy shifts, application-specific recycling impacts, and industry innovations, […]