Implementing the EU digital battery passport: Opportunities and challenges for battery circularity

Introduced as part of the new EU regulatory frameworks for ecodesign and batteries, the digital product passport (DPP) supports the collection and sharing of product-related data among supply chain actors. As the first tool of this kind globally, it aspires to address existing information gaps for products and components throughout global supply chains, thus becoming a key enabler for circular business models. Produced through the EU-funded BATRAW project that develops circular approaches for electric vehicle batteries, this CEPS In-Depth Analysis paper delves into the new EU regulatory framework for batteries and the expanding EU DPP landscape. It identifies key opportunities and challenges for battery passports based on qualitative data collected from companies at different segments of the battery value chain. There are a growing number of initiatives within the evolving EU DPP landscape that are developing proof of concepts or pilot cases. In addition to batteries for which the passport will be a legal requirement as of 2027, these initiatives include many other sectors including textiles, construction and electronics. This suggests that interoperability and alignment between the different DPP initiatives is important. Such initiatives can also facilitate multi-stakeholder collaboration and provide inspiration and lessons for other product groups beyond batteries. The qualitative empirical data suggest that the digital battery passport can help break down information silos among supply chain actors and support recycling and reuse processes. It also provides opportunities for increasing transparency about carbon footprint impacts across battery supply chains, whilst creating a level playing field with horizontal requirements for all supply chain actors irrespective of their origins. Simultaneously, several implementation challenges have also emerged. These include confidentiality concerns and the existence of data silos between battery supply chain actors, a lack of standards to ensure interoperability of data, concerns about reliability and the validity of collected data, and a lack of clarity regarding battery passport responsibilities at different end-of-life stages. The paper recommends that more clarity be provided about battery passport-related responsibilities, that passport data interoperability be supported, and that a platform be created for sharing best practices of battery passport initiatives.