The European Commission sees battery production as “a strategic imperative for clean energy transition and the competitiveness of its automotive sector”. The European Battery Alliance (EBA) was proposed in October 2017 by Maroš Šefčovič, vice-president for Energy, and officially launched in May 2019, led by France and Germany.
With European ambitious goals for renewable energies (70% of electricity production by 2030) and the development of clean mobility, mostly electric, battery production will be a key stake in Europe. 80 industrials and innovation actors have been involved in the starting of EBA and the first manufacturing projects are about to take off.
The first objective of EBA is to create a competitive manufacturing value chain in Europe with sustainable and recyclable battery cells. The sustainability of the EU battery cell manufacturing industry is one of the main European requirements, aiming at the lowest possible environmental and carbon footprint throughout the production chain and the battery life cycle.
Maros Sefcovic also advocates for European label and standards to eliminate the differences in terms of performance, safety, reuse and recycling. In order to develop the “gigafactories” needed to produce battery cells, one of the priorities of the Commission’s strategic action plan for batteries is moreover to secure access to raw materials, including by recycling in a circular economy of batteries and supporting innovation to develop advanced (e.g. Lithium-ion) and disruptive (e.g. solid state) technologies.
A favorable economic and legislative environment
The rise in electricity prices, while the price of Lithium-Ion batteries fell by 77% between 2010 and 2018, also creates a much more favorable context to the emergence of a viable battery business model.
The rapid development of self-consumption in Spain, Italy and Germany and of electric cars across Europe also involves a growing demand for batteries. The European Union anticipates a strong development of green mobility, particularly electric mobility.
In France, the 2015 energy transition law set ambitious goals for renewable energies (32% in 2030) and total energy independence for islands and non-interconnected areas. Article 199 also introduces the possibility of launching experiments concerning the management of local flexibility on distribution networks, including storage.
Alliances between industrialists are beginning to emerge
The EU is advocating for a rapid rapprochement between the various manufacturers, notably to invest and share the costs of research on the key issue of the second life of batteries: the Commission’s objective is to generalize the reuse of used batteries for stationary use, in domestic storage units or to support the electricity grid.
European institutions are taking several actions to coordinate research efforts and bring together the various stakeholders. The EU Commission launched a large-scale and long-term research initiative, Battery 2030+, to bring together research institutions, industry and public funders in order to foster innovation in battery science and technology.
The Battery 2030+ Coordination and Support Action was officially launched in March 2019 to prepare a detailed research roadmap for delivering the large-scale research initiative proposed in the ‘Battery Manifesto’ published a few months before. In the meantime, the EU also launched a call for proposals regarding the next generation of batteries.
In June 2019, the European Technology and Innovation Platform (ETIP) – BatteRIes Europe was officially launched. BatteRIes Europe aims at bringing together all relevant stakeholders in the European batteries research and innovation ecosystem to agree upon common R&I priorities and mobilize resources to implement R&I activities. It also acts as coordinator of several initiatives already in place, such as: European Battery Alliance, ETIP SNET, EIT Raw Materials, EARPA (European Automotive Research Partners Association), ALISTORE, BATSTORM, and NAMEC.
Several major European manufacturers have already formed an alliance led by SAFT, with Solvay, Siemens and Manz to produce a solid lithium-ion battery with promising performance by 2023.
The European battery industry is mobilized to invent the batteries of the future, with ultrahigh-performance, smart sensing and self-healing functionalities, full recyclability and a low life-cycle environmental footprint.
The “Airbus-style” battery project, launched by Germany and France, is attracting more and more European partners. In recent months, there have been increasing announcements of investments in new cell production plants planned in Europe. The NGO Transport&Environment has counted 16 plants already operational, under construction or in the planning stage. Asian manufacturers also intend to get closer to their European customers.
The Commission is proposing to set up funding to train the workforce needed for this industrial change – estimated at between 300 000 and 400 000 people throughout the European Union.