Key Takeaways:
- Element Energy has launched the world’s largest facility for second-life battery storage in West Texas. This facility has a capacity of 53 MWh and utilizes 900 used electric vehicle batteries.
- The company currently has around 2 GWh of repurposed electric vehicle batteries ready for use in energy storage systems.
- On the same day, Element Energy announced a collaboration with LG Energy Solution Vertech to create complete energy storage systems that incorporate Element’s second-life batteries and advanced battery management technologies.
Background Information:
Reusing electric vehicle batteries can keep about 80% of their original capacity, with some batteries even surpassing 90%, according to insights shared by Element’s CEO. He noted the company has a strong supply of used batteries, although he did not disclose specific sources.
By reusing the 2 GWh of batteries, Element could prevent about 8,500 metric tons of waste from recycling processes and reduce carbon emissions by roughly 150 metric tons.
Interest in second-life battery storage is growing. Recently, the U.S. Department of Energy invested $20.3 million in a competitor to support the building of a new manufacturing facility in Texas.
Element’s Texas facility was recognized with $7.9 million funding last year through bipartisan infrastructure law efforts. Additionally, the company raised $111 million in funding to expand its operations.
Since activating in May, the 53-MWh facility has been successfully storing and releasing energy into Texas’ electric grid, allowing Element to test its technology effectively.
Element’s systems are versatile and can be deployed in various market areas because they offer significant cost savings of 30% to 50% compared to new batteries. The company also provides energy management software to both new developments and existing energy storage operations.
The collaboration with LG Energy Solution Vertech enhances Element’s ability to offer comprehensive energy storage systems along with long-term support agreements.
LG Energy Solution Vertech boasts a robust portfolio with over 19 GWh of battery storage in various stages of development and operation both in the U.S. and internationally.