Low Carbon Battery

Low Carbon Battery

Low Carbon Battery means fewer carbon dioxide batteries. As carbon dioxide is the major greenhouse gas that drives global climate change which is a major restraint in the market. In recent years, the low carbon battery had major applications such as power wheelchairs, the standard power source in sailplanes, uninterruptible power supply (UPS) as a backup when the electrical power goes off, US Nuclear Submarine fleet, due to their power density, elimination of gassing, reduced maintenance, and enhanced safety. For instance, in Oct 2022, Dassault Systèmes and Verkor Signed MoU to advance next-generation low-carbon battery development and manufacturing in electric vehicles and stationary batteries team up to accelerate the sustainable innovation of lithium-ion batteries.

The Low Carbon Battery Market is expected to grow at a steady rate of around 5% owing to the increasing electric vehicle demand coupled with the growing adoption of low carbon battery in the automobile sector. Major companies in the market collaborating with other players to increase the production of the Low Carbon Battery across the globe. For instance, On February 4, 2021, Capgemini and Verkor started a joint venture with a mission to accelerate the production capacity of low-carbon batteries in Southern Europe through the creation of the first 16GWh Gigafactory.

• Based on product type, the market is bifurcated into flooded battery and valve-regulated battery. Valve-regulated battery category is to witness higher CAGR during the forecast period owing to the immobilized elimination of the hazards of spills and leakage and which facilitates an oxygen recombination cycle. In addition, the valve-regulated battery is used in various products such as power wheelchairs, the standard power source in sailplanes, and an uninterruptible power supply (UPS) as a backup when the electrical power goes off. Also, In U.S. Nuclear Submarine fleet due to their power density elimination of gassing reduced maintenance, and enhanced safety, the use of the valve-regulated battery is growing in demand in the market.
• On the basis of capacity, the market is categorized into less than 500 kW, 500 kW to 2 MW, and above 2 MW. Among these, less than 500 kW to hold a significant share of the market in 2020. This is mainly due to the ongoing trend of increasing battery capacity. According to IEA, by 2030, battery electric vehicles are assumed to reach an average driving range of 350-400 km corresponding to battery sizes of 70-80 kWh. In today’s scenario, many of the batteries in electric trucks, of which the models are in various stages of commercialization, range from 70-300 kWh for medium freight trucks and from 200 kWh to 1 megawatt-hour (MWh) for heavy freight trucks. Recharging batteries for daily operations in a considerable amount of time, electric trucks require fast, ultra-fast, and/or mega-charging technologies.
• Based on vehicle type, the low carbon battery market has been classified into hybrid propulsion electric vehicle (HEV), battery electric vehicle (BEV), plug-in hybrid electric vehicle (PHEV), and fuel cell electric vehicle (FCEV). The battery electric vehicle (BEV) category is to witness the highest adoption of low carbon battery during the forecast period. This is mainly due to the rising expansion of battery manufacturing capacity will largely be driven by electrification in the car market. Also, BEV models are offered in most vehicle segments in all regions. For instance, according to IEA sustainable development scenario by 2030, BEVs will likely account for approx 170 million of all new EVs sold. Furthermore, Li-ion batteries have been the primary solutions for automakers to power plug-in hybrid electric vehicles (PHEVs) and battery electric vehicles (BEVs). For instance, as per the IEA, Passenger EV sales are set to increase sharply in the next few years, rising from 3.1 million in 2017 to 125 million in 2030.
• For a better understanding of the market adoption of the low carbon battery industry, the market is analyzed based on its worldwide presence in the countries such as North America (U.S., Canada, Rest of North America), Europe (Germany, U.K., France, Spain, Italy, Rest of Europe), Asia-Pacific (China, Japan, India, Rest of Asia-Pacific), Rest of World. Asia-Pacific is anticipated to grow at a substantial CAGR during the forecast period. This is mainly due to the increasing presence of major battery manufacturers. For instance, in 2018, China already accounts for 45% of EVs on the road in the world which is 2.3 million. In addition, the availability of cheap raw materials and skilled labor coupled with the number of schemes and incentives provided by governments to promote the growth of the low carbon battery industry is fueling the market in the region. Moreover, public and private investment in the companies to increase the production capacity and lower the cost and new product launches is further expected to support the market growth. Also, major players in the market are working towards new technological advancements in the market to enhance the durability and ideal of the products. For instance, on 20 Feb 2020, GS Yuasa launched the SNS-TN Series of Valve-Regulated Stationary Lead-Acid Batteries. To enhance durability and ideal for applications with a high discharge frequency as well as for applications requiring the float charge*1 feature delivered by GS Yuasa’s previous long-life MSE*2 batteries in the original SNS series.
• Some of the major players operating in the market include Enevate Corporation; Siemens; Next Hydrogen; Cummins Inc.; InoBat; McPhy Energy S.A.; Contemporary Amperex Technology Co., Limited.; Northvolt AB; Morrow Batteries ASA; Freyr AS.