Europe

While Regulatory Uncertainties Remain, EU Prepares The Implementation Of The Upcoming Battery Passport The implementation of the passport brings challenges and requires efforts but will also unlock value once implemented CURRENT CHALLENGES AND EFFORTS OF IMPLEMENTATION

The battery passport is primarily a data management effort (∼55%

Standards, processes, and technologies to streamline data management are key impact areas to facilitate net value of the battery passport

Upstream data collection as well as software development are considered the most significant sub-tasks of the battery passport implementation

Software and data savviness is a key lever that impacts passport implementation effort

90%+ of efforts translate to fixed costs with significant tasks such as software development, maintenance, and project management being independent of the volume of sold batteries

Third-party service providers that can spread fixed costs across multiple clients may reduce implementation effort

Remaining regulatory uncertainties should be resolved, such as the standardisation of data attributes and specification of how up-to-date dynamic data must be acquired and recorded.

VALUE CREATION BY PASSPORT IN SEVERAL DIRECT USE CASES

Improved ESG data communication and informed purchasing decisions, due to direct visibility to supply chain information.

Simplified residual value assessment, with 210% reduction of technical testing costs for independent operators.

More efficient recycling, with ~ 1020% reduction of pre-processing and subsequent treatment costs.

Streamlined servicing of batteries and easier trade of waste batteries.

Inaction from businesses and policymakers could significantly reduce the value opportunity of the battery passport Source: Battery Pass

Extracted from the PDF; charts and images may read imperfectly.