Importance of Battery Circularity

Crusoe and Redwood Materials just provided one of the most compelling examples of how EV batteries can deliver value even after the end of their automotive lives. They deployed North America’s largest microgrid, powered by large-scale solar and second-life EV batteries, with a capacity of 12 megawatts and 63 megawatt-hours, now supporting Crusoe’s modular AI data center infrastructure. This is the largest second-life battery deployment in the world today, and it illustrates what’s possible when we think beyond a battery’s first use. Most people don't know that EV battery packs can retain 70% to 80% of their original capacity after being retired from road use, which is more than enough to serve as critical infrastructure for stationary energy storage. Redwood’s approach is unique. Before batteries are recycled, they are repurposed, providing reliable, high-performance storage while deferring the need for new raw materials and reducing environmental impact. Redwood already processes 20 GWh of batteries annually (about 90% of all lithium-ion batteries in North America) and recovers over 95% of critical materials when recycling does occur. Second-life batteries like these help meet growing energy needs without placing additional strain on the grid or requiring the long timelines associated with building new generation and transmission infrastructure. They represent a key part of a more efficient, circular economy, where EVs are not just cleaner on the road but provide enduring value long after their first chapter closes. The work by Crusoe and Redwood is an important reminder: second-life EV batteries are not waste. They are infrastructure. And they are essential as we scale both clean energy and the computing power demanded by modern AI applications. Read more here: https://lnkd.in/gqhYU-sC

WHAT HAPPENS to EV batteries after their useful life powering EVs? First, they are repurposed for other applications. After that, they are recycled, many, many times over as part of a circular, low-carbon economy. This is one of many reasons why EVs are the most eco-friendly form of transportation. According to the The International Council on Clean Transportation’s 2025 report, battery electric vehicles (BEVs) produce life-cycle emissions nearly four times lower than gasoline cars. See EVinfo.net's article: https://lnkd.in/gE5ghDrQ At the end of their automotive life, EV batteries often retain up to 80% of their capacity. While recycling helps recover minerals, repurposing these batteries for stationary storage can significantly extend their lifespan and reduce costs. Yet, in the U.S., repurposing remains rare due to the lack of standards and clear policy frameworks. A promising example EVinfo.net reported on recently, is the exciting collaboration between Crusoe and Redwood Materials, which deployed North America’s largest microgrid powered by second-life EV batteries and solar. This system supports Crusoe’s AI data centers with flexible, renewable power. A new policy brief by the The American Council for an Energy-Efficient Economy (ACEEE), supported by GAIA (Global Alliance for Incinerator Alternatives) highlights how second-life batteries can bolster grid resilience, support backup power, and reduce environmental impacts. GAIA is a global network advancing grassroots, zero waste solutions to pollution and environmental injustice. However, challenges remain for repurposing EV batteries: repurposers often lack access to critical battery data, making it difficult to assess safety and performance. To address this, ACEEE recommends policies such as requiring automakers to share battery health data, creating a “battery passport” for tracking usage history, updating safety certifications, and implementing design standards to simplify disassembly. These steps, along with extended producer responsibility requirements, could unlock a robust market for second-life batteries. With thoughtful policy, the U.S. can turn used EV batteries into valuable assets for stationary energy storage, driving a more circular, low-carbon economy. This would reduce costs, enhance energy security, and support environmental justice goals — turning a looming waste challenge into a powerful climate solution. EVinfo.net recommends that federal, state and local governments, as well as business leaders, follow the ACEEE's recommendations, to create more groundbreaking projects like the great example that Redwood and Crusoe accomplished. EVinfo.net is an EV-influencer led publication, offering sponsored articles, interviews and more to the EV industry: https://lnkd.in/gH5Gdqb7 Sign up for the EVinfo.net e-news: https://lnkd.in/gHq6iA2p #evbatteries #electricvehicles

Battery circularity; what's the big deal? We try to explain one of its key benefits it in the visual below. In short: 🛢 About 80% of world nations are net oil importers. Their oil dependency poses a constant, imminent risk to their economy as it requires a continuous stream of imports. If oil imports stop, economic activity and growth comes to a grinding halt as engines run dry within days. 🔋 Transitioning to imported EVs powered by renewable energy reduces this risk significantly. If imports stop, most economic activity can just continue as solar panels keep charging EVs and other electric engines for more than a decade before they need replacement. Growth may be constrained though as it is hard to expand the energy system. ♻ A circular cleantech system eliminates this residual dependence by enabling domestic re-use of materials. Now, even if imports stop, a country can continue to re-use and re-make its cleantech; allowing full derisking of continued economic activity and even enabling continued growth. Battery recycling has the potential to become a key geopolitical tool to reshore or friendshore supply, regardless of the location of geological mineral deposits, and to improve global security and stability. Countries have started to recognize this benefit, making aggressive recycling policy, kickstarting a race to the top on battery circularity. More on this in our latest report, The Battery Mineral Loop: https://lnkd.in/d3FgFzFH