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Economies of scale for future lithium-ion battery recycling infrastructure

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  • Wang, Xue
  • Gaustad, Gabrielle
  • Babbitt, Callie W.
  • Richa, Kirti

Abstract

While lithium-ion battery (LIB) technology has improved substantially to achieve better performance in a wide variety of applications, this technological progress has led to a diverse mix of batteries in use that ultimately require waste management. Development of a robust end-of-life battery infrastructure requires a better understanding of how to maximize the economic opportunity of battery recycling while mitigating the uncertainties associated with a highly variable waste stream. This paper develops and applies an optimization model to analyze the profitability of recycling facilities given current estimates of LIB technologies, commodity market prices of materials expected to be recovered, and material composition for three common battery types (differentiated on the basis of cathode chemistry). Sensitivity analysis shows that the profitability is highly dependent on the expected mix of cathode chemistries in the waste stream and the resultant variability in material mass and value. The potential values of waste streams comprised of different cathode chemistry types show a variability ranging from $860 per ton11The word “ton” in this paper indicates metric ton (1000kg). for LiMn2O4 cathode batteries to $8900 per ton for LiCoO2 cathode batteries. In addition, these initial results and a policy case study can also help to promote end-of-life management and relative policymaking for spent LIBs.

Suggested Citation

  • Wang, Xue & Gaustad, Gabrielle & Babbitt, Callie W. & Richa, Kirti, 2014. "Economies of scale for future lithium-ion battery recycling infrastructure," Resources, Conservation & Recycling, Elsevier, vol. 83(C), pages 53-62.
  • Handle: RePEc:eee:recore:v:83:y:2014:i:c:p:53-62
    DOI: 10.1016/j.resconrec.2013.11.009
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    References listed on IDEAS

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    Cited by:

    1. Aid, Graham & Eklund, Mats & Anderberg, Stefan & Baas, Leenard, 2017. "Expanding roles for the Swedish waste management sector in inter-organizational resource management," Resources, Conservation & Recycling, Elsevier, vol. 124(C), pages 85-97.
    2. Nguyen-Tien, Viet & Dai, Qiang & Harper, Gavin D.J. & Anderson, Paul A. & Elliott, Robert J.R., 2022. "Optimising the geospatial configuration of a future lithium ion battery recycling industry in the transition to electric vehicles and a circular economy," Applied Energy, Elsevier, vol. 321(C).
    3. Ye, Bin & Yang, Peng & Jiang, Jingjing & Miao, Lixin & Shen, Bo & Li, Ji, 2017. "Feasibility and economic analysis of a renewable energy powered special town in China," Resources, Conservation & Recycling, Elsevier, vol. 121(C), pages 40-50.
    4. Sverdrup, Harald Ulrik, 2016. "Modelling global extraction, supply, price and depletion of the extractable geological resources with the LITHIUM model," Resources, Conservation & Recycling, Elsevier, vol. 114(C), pages 112-129.
    5. Richa, Kirti & Babbitt, Callie W. & Gaustad, Gabrielle & Wang, Xue, 2014. "A future perspective on lithium-ion battery waste flows from electric vehicles," Resources, Conservation & Recycling, Elsevier, vol. 83(C), pages 63-76.
    6. Ren, Zhijun & Li, Huajie & Yan, Wenyi & Lv, Weiguang & Zhang, Guangming & Lv, Longyi & Sun, Li & Sun, Zhi & Gao, Wenfang, 2023. "Comprehensive evaluation on production and recycling of lithium-ion batteries: A critical review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 185(C).
    7. Diana Roa & Knut Einar Rosendahl, 2023. "Policies for Material Circularity: the Case of Lithium," Circular Economy and Sustainability, Springer, vol. 3(1), pages 373-405, March.
    8. Simon, Bálint & Ziemann, Saskia & Weil, Marcel, 2015. "Potential metal requirement of active materials in lithium-ion battery cells of electric vehicles and its impact on reserves: Focus on Europe," Resources, Conservation & Recycling, Elsevier, vol. 104(PA), pages 300-310.
    9. Wang, Wei & Wu, Yufeng, 2017. "An overview of recycling and treatment of spent LiFePO4 batteries in China," Resources, Conservation & Recycling, Elsevier, vol. 127(C), pages 233-243.
    10. Agrawal, Saurabh & Singh, Rajesh K. & Murtaza, Qasim, 2015. "A literature review and perspectives in reverse logistics," Resources, Conservation & Recycling, Elsevier, vol. 97(C), pages 76-92.

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