Electric Car Batteries: Disposal and Recycling

Jim Shannon Excerpts

Wednesday 11th March 2020 Commons Chamber

[Chi Onwurah (Newcastle upon Tyne Central) (Lab)]

It is a great pleasure to speak in this important debate. Although the Budget and, unfortunately, the coronavirus crisis will take the headlines today, the climate emergency and our transition to a net zero economy remain the greatest challenges facing humanity. We will have to change many aspects of our society to address them, and that includes what we drive.

Under the Government’s plans, 15 years from now internal combustion engines will no longer be sold new in this country. Moving away from petrol-based engines is a challenge, but also a huge opportunity for the UK automotive industry. Transport makes up 26% of emissions and the automotive sector can make a dramatic contribution to achieving a net zero economy and saving our planet. That will require a massive rise in the number of electric vehicles in the UK.

The Society of Motor Manufacturers & Traders expects registrations for electric vehicles to rise by 77% this year, and National Grid predicts that they will rise from 100,000 to 36 million by 2040—an increase of 36,000%. As part of that, the number of electric vehicle batteries will rise exponentially. There are a few hundred lithium cells in a Nissan Leaf and thousands in a Tesla—a second-hand market will undoubtedly develop. I want to emphasise what amazing technological innovation there has been in batteries in the last few decades.

[Jim Shannon (Strangford) (DUP)]

This is obviously an important issue. Does the hon. Lady agree that we need to be pre-emptively working rather than waiting until everyone owns an electric car? A massive environmental aspect has not been fully considered and planned for. The sheer volume of the cars that will be using these batteries demands better forward planning. We need that planning right now.

[Chi Onwurah]

The hon. Gentleman might well have read my speech, because those are exactly the points that I hope to make.

Returning now to innovation, when I studied electrical engineering at Imperial some decades ago, batteries were big, boring and messy. Now they are at the cutting edge of many exciting developments. We are getting down to the fundamentals of physics in the storage of energy and its applications everywhere from our smartphones to our national grid. Batteries are getting smaller, safer, more sustainable and more manageable, but we must also acknowledge that we are entering an era of battery reuse, recycling and transportation the like of which we have never before seen.

[Chi Onwurah]

I am sure that the right hon. Lady will understand if I say that I shall be pressing the Minister to address how the investment will be coming to Newcastle and the north-east.

Through this debate, I hope we can gain a greater understanding of the significant opportunity for our recycling sector across the country, but particularly the contribution that the north-east can make.

The most common battery types in modern electric cars are lithium-ion. They hold a high-energy density, with up to 700 watt-hours per litre, which is seven times the density of traditional LED batteries. That means that lithium batteries are more suited for use in electric vehicles as they can hold charge for longer-distance journeys. The expanding electric vehicle market will mean many more lithium batteries, and the typical warranty period for these batteries is eight years or 100,000 miles. Legislation requires that manufacturers take back the batteries, but it does not say what they should do with them. It says:

“Producers of automotive batteries must collect waste automotive batteries for free from their final holders, such as garages and scrapyards.”

There is no mention of lithium batteries in the Batteries and Accumulators (Placing on the Market) Regulations 2008, nor in the amendments in 2015. The European directive 2013/56/EU and the Capacity Labelling of Portable Secondary (Rechargeable) and Automotive Batteries and Accumulators Regulations all admit the legal framework for recycling. I hope the Minister will address that. In the not-too-distant future, we are likely to be facing a large lithium-ion battery mountain with nowhere for it to go unless we put the processes in place now.

Lithium batteries are not considered suitable for electric vehicle applications when their cell capacity falls below 80% of its original value. Their reuse at this point is known as second-life application, and there is interest in, for example, securing supplies to recondition for energy grid value balancing, or for using again in electric vehicles, or other applications.

Indeed, I should say that I underwent a revelation when I realised that the increasing demand for electric storage caused by the unpredictable or cyclical nature of many renewable energy sources, such as wind and tide, could be balanced quite literally by the fact that every car owner in the future will have a significant battery storage capacity sitting on their drive. That is true during the lifetime of the battery, but it is also a factor afterwards.

For example, in China selling a reused end-of-life battery can raise up to 10 times more for the owner than recycling. However, second-life applications delay, rather than eliminate, the challenge of recycling. Research also suggests that safety issues increase with second-life applications, given the absence of a regulatory framework. Stockpiling is unsafe and environmentally undesirable, and it is illegal to send electric vehicle batteries to landfill, so if the direct reuse of a lithium battery is not possible, it must be recycled. There are further environmental considerations. Batteries are made with expensive and rare minerals, the mining of which raises environmental—and often human rights—concerns. Recycling helps to minimise the need for new mineral extraction and provides the UK with resilience in the light of supply chain risks. I hope the Minister will agree that we should be encouraging a significant recycling programme.

There is also the safety risk. Without the capacity to recycle a large number of batteries appropriately and affordably, we could see overuse, fly-tipping and unregulated reselling. In the short time that electric vehicles have been about, not many battery packs have reached the end of their eight-year life, and there were only 1,262 electric cars registered in the UK eight years ago. That is going to change.

Petrol cars have significant safety risks too. Two cars in every 1,000 registered in the UK catch fire each year, but these are known to our fire services, who can extinguish petrol or diesel vehicle fires within one hour. By contrast, lithium-ion battery fires can take up to eight hours, and require different skills and tools to extinguish. Research from Newcastle University found that a damaged battery ignited twice within 24 hours and then again six days afterwards, with violent explosions being a potential feature of electric vehicle and lithium-ion battery fires. Furthermore, electric vehicles are not legally required to be marked with information on the batteries they contain for the information of arriving emergency services.

Ongoing work by the UK health and safety of energy storage governance group—chaired by the Institution of Engineering and Technology, of which I am a member—raised concerns that the Home Office system used by the fire brigade to report incidents does not actually have a category for energy storage systems. The group is working on a code of practice to support professionals, and I hope the Minister will discuss this with her colleagues.

There continue to be advances in battery technology, and I pay tribute to the work of the Faraday Institution’s SOLBAT project in seeking to bring solid-state batteries to the market. They lack the flammable liquid electrolyte found in lithium-ion batteries, and are therefore safer. However, we must assume that lithium-ion batteries will continue to dominate for some years to come.

There are no facilities in the UK to recycle electric car batteries, so the small volume currently being created are exported to Europe, where they are destroyed in high temperature furnaces. This enables the recovery of valuable critical elements such as cobalt and nickel, but at least 50% of the battery materials are not recovered. Currently, the number of electric vehicle batteries being sent for recycling in this way is so low that the Environment Agency does not even record the figures. When UK firms export their batteries to Europe, they have to pay a gate fee of thousands of pounds. This is not feasible in the long term, given the expected increase in numbers. I understand that ECOBAT Logistics, the largest UK recycler of non-lithium-ion batteries, is looking seriously at initiating a lithium-ion battery recycling industry in the UK. Is the Minister in talks with that company?

There is also a Brexit question. Without a recycling facility of our own, we will be in a vulnerable position when the EU transition period ends. The Government have yet to set out the UK’s equivalent of the waste batteries and accumulators directive 2006. We may face export restrictions or duties, and we would have to accept external prices since these materials cannot be landfilled. Given that, as the hon. Member for Strangford (Jim Shannon) said, it will take planning and investment to develop the processes and permits for a battery processing factory in the United Kingdom, it is essential to get started now. We have to remember that it is not safe to stockpile these end-of-life batteries and let them accumulate in the UK.

I have talked a little bit about the challenges, because I want to emphasise to the Minister the importance of taking the right decisions now, but there are also opportunities that can help to level up our nation. The Faraday Institution-funded ReLiB project is researching ways to facilitate a circular economy in lithium-ion batteries, and Newcastle University has benefited from some of its work packages. Newcastle University is also proposing a battery safety health and environment hub on Tyneside. That is a fantastic idea. This hub would upskill and train those working with lithium batteries to safely manage and dispose of them, helping to address worker safety issues and some of the concerns I have raised. Would the Minister support such a hub?

[Jim Shannon]

Will the hon. Lady give way on that point?

[Chi Onwurah]

I am sorry, but I need to give the Minister some time to answer my questions.

At the moment, our fire services do not have the appropriate resources, training and personal protective equipment necessary to deal with these new challenges. It is estimated that up to 25% of the 510 fires in UK material recycling facilities in 2018 were caused by small lithium batteries. In 2019, one such fire in Dunbar, Scotland took over 40 firefighters to contain. A specialist training facility such as that proposed on Tyneside would have helped to reduce the pollution and damage. A recycling plant could have entirely avoided it.

Recycling plants, touching on the point made by the right hon. Member for Dwyfor Meirionnydd (Liz Saville Roberts), do need to be regional. Electric vehicle batteries are classed as hazardous waste, and the further they are transported, the greater the risk. As we have the skills in the north-east to support such a plant, we would welcome one in our region. We are a global leader in electric vehicles. The Washington Nissan plant introduced electric cars to Europe in 2011, creating a brand-new lithium battery plant from scratch in 18 months. Washington’s Envision-AESC factory is the first of its kind in the UK and leads the world in battery technology. It is eager to expand and exploit the new market opportunities offered by the lithium-ion technology revolution, and it has the knowledge to do so. We are going to need at least five battery gigafactories across the country to meet our decarbonisation targets—let us have one in the north-east. I know that that is more a matter for the Department for Business, Energy and Industrial Strategy, but I hope the Minister will speak to BEIS about it.

Newcastle University is a centre of excellence in electric vehicles, leading a £300 million pound project entitled “Driving the Electric Revolution”. It has performed fascinating research on the systems integration of electric vehicle charging points. Northern Grid is actively looking at ways to integrate battery technology into the network. I am grateful for the Government’s commitment of £274 million between 2017 and 2021 to the Faraday Institution for research on the development and scale-up of world-leading battery technology in the UK. This has supported some of the research at Newcastle University. However, I am concerned that future funding remains unclear after this year. Will the Minister speak to her BEIS colleagues and meet me to discuss how Newcastle and the north-east can play a critical role in the safe storage, transportation and recycling of electric vehicle batteries?

We clearly need a circular economy for lithium batteries. Regulations, codes and standards are an important part of this, as are research and development to deliver at-scale recycling facilities, and safety guidance and training. I hope the Minister will welcome the opportunity to work with me to ensure that Newcastle can be a centre for all those things.