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Key Challenges and Opportunities for Recycling Electric Vehicle Battery Materials

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Key Challenges and Opportunities for Recycling Electric Vehicle Battery Materials sustainability Review Key Challenges and Opportunities for Recycling Electric Vehicle Battery Materials Alexandre Beaudet 1 , François Larouche 2,3, Kamyab Amouzegar 2,*, Patrick Bouchard 2 and Karim Zaghib 2,* 1 InnovÉÉ, Montreal, QC H3B 2E3, Canada; [email protected] 2 Center of Excellence in Transportation Electrification and Energy Storage (CETEES), Hydro-Québec, Varennes, QC J3X 1S1, Canada; [email protected] (F.L.); [email protected] (P.B.) 3 Mining and Materials Engineering, McGill University, Montréal, QC H3A 0C5, Canada * Correspondence: [email protected] (K.A.); [email protected] (K.Z.) Received: 8 June 2020; Accepted: 15 July 2020; Published: 20 July 2020 Abstract: The development and deployment of cost-effective and energy-efficient solutions for recycling end-of-life electric vehicle batteries is becoming increasingly urgent. Based on the existing literature, as well as original data from research and ongoing pilot projects in Canada, this paper discusses the following: (i) key economic and environmental drivers for recycling electric vehicle (EV) batteries; (ii) technical and financial challenges to large-scale deployment of recycling initiatives; and (iii) the main recycling process options currently under consideration. A number of policies and strategies are suggested to overcome these challenges, such as increasing the funding for both incremental innovation and breakthroughs on recycling technology, funding for pilot projects (particularly those contributing to fostering collaboration along the entire recycling value chain), and market-pull measures to support the creation of a favorable economic and regulatory environment for large-scale EV battery recycling. Keywords: battery materials; recycling; electric vehicle (EV); life-cycle analysis (LCA); sustainability; policy 1. Context Lithium-ion batteries (LIBs) are the dominant electricity storage technology for applications requiring high energy density, such as portable electronic devices and electric vehicles (EVs). The growing popularity of the latter has led to tremendous growth in the demand for LIBs, and hence for the materials that are needed to manufacture them, including lithium, cobalt, and nickel. Extensive mineral reserves, as well as mining, refining, and manufacturing operations are expected to be needed to allow the mass production of EVs, leading some observers to question the sustainability of batteries as a solution for enabling decarbonized transportation. A related issue is what to do with the small but growing stock of EV batteries that must be collected and processed at their end of life (EOL). Over 5 million metric tons of LIBs are expected to reach EOL by 2030 [1]. Large-scale recycling infrastructures will, therefore, be needed to ensure that the valuable but often toxic materials contained in LIBs are not wasted and left for future generations to deal with. In other words, battery manufacturing needs to become more “socially responsible, environmentally and economically sustainable and innovative” [2]. Indeed, a circular economy model for battery manufacturing offers the possibility to reduce both the environmental impacts of batteries and the reliance on raw mineral extraction. As will be shown, however, significant developments are needed to achieve high LIB recycling rates, competitive costs with virgin materials, and energy and environmental footprints that offer Sustainability 2020, 12, 5837; doi:10.3390/su12145837 www.mdpi.com/journal/sustainability Sustainability 2020, 12, 5837 2 of 12 significant improvements over non-circular value chains. Although various solutions for recycling batteries already exist, funds and other policy instruments are necessary to foster robust recycling value chains able to sustain the large-scale expansion of electrified transportation that is expected this century. EV LIB recycling is still at an infant stage (especially outside China), offering both challenges and opportunities to those willing to address the increasingly strategic issue of sustainable battery manufacturing. 2. Economic and Environmental Drivers for Recycling LIBs The following arguments can be made in favor of recycling LIBs, especially EV LIBs. (a) To alleviate toxicity, safety, and contamination risks. LIBs contain several toxic and/or flammable materials. The presence of spent LIBs in the municipal solid waste management system poses significant safety risks considering that these can easily catch fire or even explode; fire incidents caused by consumer LIBs frequently occur in waste management facilities [3]. Moreover, the disposal of spent LIBs in landfills could lead to soil and groundwater contamination and negatively impact the ecosystems because the LIBs contain toxic and heavy metals, such as Cr, Co, Cu, Mn, Ni, Pb, and Tl [3]. Appropriate EOL battery disposal is, therefore, a public health and safety issue. (b) To reduce the carbon footprint of EVs. Although the assessment of the lifecycle emissions of LIB manufacturing is complex, it is generally recognized that at least 30–50% of lifecycle greenhouse gas (GHG) emissions from EVs are related to battery manufacturing and mineral extraction [4–7]. These numbers have attracted considerable negative publicity in the media, despite large variations in the stated per-kWh emissions (depending on country or origin, manufacturer, and battery type) and uncertainties regarding the assumptions and methods used for tracking lifecycle emissions [4,6,8]. Nevertheless, it can be stated that battery manufacturing generally has a larger environmental footprint than most typical internal combustion engine vehicle (ICEV) components. A key reason for this is that most batteries are produced in China, where the carbon intensity of power generation is one of the highest in the world. This footprint can be lowered by decarbonizing the electricity used to power battery manufacturing plants (in China and elsewhere), but another approach is to favor recycling and thus avoid part or all of the virgin material extraction and refining. Dunn et al. estimated that the lifecycle of EVs may be reduced by up to 51% through recycling [9]. (c) To reduce EV costs. Raw materials account for up to 50% of the cost of a typical LIB. By substituting virgin materials with recycled materials, the total pack cost could be reduced by up to 30% [10]. Furthermore, battery disposal fees (or “gate fees”) will be avoided when spent LIBs are sent to recycling facilities instead of landfills. (d) To reduce reliance on mineral extraction. According to several lifecycle analysis (LCA) studies, EV manufacturing involves a greater reliance on mineral resources than ICEVs, mainly because of the use of cobalt, nickel, lithium, manganese, and other metals in LIBs [7,11]. This issue has led some authors to question whether EVs are more environmentally benign than ICEVs, and whether relying on non-renewable mineral resources is sustainable in the long term. EV-related mineral extraction activities are already growing quickly; analysts generally predict a large increase in the demand for LIB materials in the next decade, i.e., over 575% for lithium and 1237% for nickel [1,12]. While many argue that the mining industry will be able to meet this expected demand, it is preferable to minimize mineral extraction and processing as much as possible, as they have large environmental impacts. Recycling, which is sometimes described as “urban mining”, is clearly a part of the solution in this regard; several LCA studies concluded that battery recycling could reduce the impacts of resource utilization [11]. In one study, it is estimated that approximately 65% of the cobalt necessary to satisfy vehicle demand in the U.S. could be achieved by LIB recycling [13]. As the availability of recycled materials increases, and the growth in EV sales starts to slow down, recycled materials could satisfy a significant portion of material Sustainability 2020, 12, 5837 3 of 12 demand [14]. According to World Economic Forum (WEF), EVs could become the largest stock of critical battery materials by 2050 [12]. (e) To reduce reliance on specific suppliers. In addition to expanding the availability of materials for battery manufacturing, recycling also offers the possibility of bypassing foreign suppliers of raw and refined LIB materials. Currently, some LIB materials are sourced from conflict zones (e.g., the Democratic Republic of the Congo for raw cobalt), whereas others are obtained from countries with monopolistic market power (e.g., China in the case of refined lithium). In the case of China, which is omnipresent in the battery value chain, one can also point to lower labor and environmental standards compared to other countries such as Canada. According to the WEF, “The massive expansion of raw material demand, with a near-term focus on cobalt but also on nickel and lithium, will cause the value chain to face social, environmental and integrity risks, involving child labor and potential forms of forced labor in the cobalt supply chain, unsafe working conditions, local air, water and soil pollution, biodiversity loss and corruption” [12]. For obvious reasons, “urban mining” is an attractive solution in this regard, as it lowers the need for raw material extraction and refining and hence reliance on countries with poor social and environmental records. The COVID-19 pandemic and related supply chain disruptions may further encourage a shift towards more localized supply chains [15]. (f) To generate local economic activity.
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