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• The UK needs to manufacture 130GWh of electric car batteries a year if it is to maintain its position as the fourth largest car maker in Europe.

A potentially landmark agreement to explore the construction of an electric car “gigafactory” has been signed between two UK startups, AMTE Power and Britishvolt.

The growth of the electric car industry in the UK as car makers wind down petrol and diesel car production has sparked a warning from the UK government-backed Faraday Institution that without more investment in the local battery manufacturing industry, a major opportunity in the form of more than 100,000 jobs could be missed.

Currently, the UK electric car battery industry is led by a battery factory alongside Nissan’s car factory in Sunderland with an annual 2GWh capacity.

A joint venture announced in 2018 between Williams Advanced Engineering and Unipart Manufacturing Group outlined a plan to build another battery making facility in Coventry to build 10,000 battery packs a year, and Unipart has also been chosen as a key player in Jaguar Land Rover’s battery assembly plant.

But these are small fry, in light of the recently released Faraday report which suggests the UK needs to manufacture some 130GWh of electric car batteries a year if it is to maintain its position as the fourth largest car maker in Europe.

If successful, the new memorandum of understanding between AMTE Power and Britishvolt would see as much as £4 billion invested in a new “gigafactory” with a potential 35GWh capacity, enough to rival the likes of Northvolt which has plans to output 32GWH a year at its Swedish battery factory in Skellefteå by 2024, and 24GWH from its German factory in Salzgitter.

While its still a far cry from plans of true electric car battery giants such as the proposed 60GWh that China’s CATL intends to output at its German factoryin Erfurt, or LG Chem’s planned 70GWh in Wroclaw, Poland, AMTE Power and Britishvolt’s vision is big.

“We are delighted to be working with Britishvolt exploring the creation of a large scale manufacturing facility in the UK,” said Kevin Brundish, CEO at AMTE Power in a statement of the proposed battery factory, which it is diplomatically referring to as a “GigaPlant”.

“The recent global crisis has further highlighted the importance of having a robust onshore supply chain, and the creation of a GigaPlant would place the UK in a strong position to service automotive and energy storage markets.

“The scalable production of lithium ion cells is key to electrifying vehicles and would drive new manufacturing revenues and new employment, and can be built on AMTE’s focus on the supply of specialised cells, thereby continuing the country’s tradition of excellence in battery cell innovation.”

For the relatively young Britishvolt, the chance to align with Scottish AMTE Power, which began life as AGM Batteries Limited, a joint vcenture between  Mitsubishi Materials and AEA Technology, GS (GS Yuasa), is a potential coup.

“Aligning our objectives with AMTE Power, who are looking to add to their current manufacturing capabilities in the UK, our ambition is to build a 30+ gigawatt hour factory with the support of the British Government, creating up to 4,000 jobs in the proces,” said Lars Carlstrom, Britishvolt CEO, in a statement.

“Meeting Road to Zero targets and moving the UK into a low carbon economy will necessitate the unprecedented electrification of vehicles, and reliance on renewable energy will require extensive battery storage.

“It is costly and carbon-intensive to have lithium ion batteries imported from the Far East, and this GigaPlant would cement a solid onshore supply chain to ensure quality and eliminate future uncertainty of supply.”

But it will take work. According to The Guardian, AMTE Power is initially looking to expand its operations which currently include a small battery plant near Thurso, Scotland to include a 1GWh plant either in Dundee oe Teesside, while Britishvolt is considering five sites for a 10GWh capacity plant to be followed by a further 20GWh depending on funding.

Ian Constance, CEO of APC, who introduced the two companies thinks that changes in UK consumer perception of electric vehicles as well as technological advances in battery innovation mean the market landscape is ripe.

“The UK is a highly credible location for green growth investment,” Constance said in a statement.

“It has a rich and diverse supply chain, a rapidly decarbonising energy supply and an innovation culture, and government support through a strong industrial strategy.

“As the pace and scale of change accelerates towards new net zero targets the UK is in a prime position to design, develop, manufacture and export high-value battery technologies. It is a positive testament that AMTE power and Britishvolt recognise the full potential of the UK and have identified it as a priority for their battery industrialisation explorations.”

Source: https://thedriven.io/2020/05/25/two-uk-battery-startups-eye-4-billion-ev-battery-gigafactory/

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• Experts say it would allow Tesla to sell electric vehicles for the same prices as gasoline-powered ones

A “million mile” battery that will lower the cost of EVs to the same as gasoline-powered ones?

Apparently Tesla and CEO Elon Musk are looking at exactly that for China later this year, according to a report in The Verge sourced from Reuters.

The battery is being co-developed with Chinese battery giant Contemporary Amperex Technology Co. Ltd. (CATL) and was designed in part by battery experts recruited by Tesla’s Musk, the report said.

Tesla is already the industry leader when it comes to squeezing range out of lithium-ion batteries in electric cars, and it’s expected to reveal more about the new technology at an upcoming “Battery Day” for investors.

Musk told investors and analysts earlier this year that the information “will blow your mind. It blows my mind.”

The company originally planned to hold the event in April, but has had to reschedule it until at least late May thanks to the Covid-19 pandemic, the report said.

The battery is expected to lower the cost per kilowatt hour (the unit of energy most commonly used to measure the capacity of the battery packs in modern electric vehicles) to under US$100.

Many experts believe that reaching that mark would allow Tesla or other automakers to sell electric vehicles for the same prices as gasoline-powered ones, thereby making them far more accessible, the report said.

That Tesla is reportedly planning to bring the technology to China first demonstrates the nation’s importance when it comes to electric vehicles.

Meanwhile, General Motors is also trying to hit that mark in its work with battery maker LG Chem, as it recently shared during its own big “EV Day” event in March, though the automaker is not expected to get there until the mid-2020s.

GM said last month that its new generation of batteries will use 70% less cobalt, an expensive and precious material that is often mined by workers who are subject to brutal conditions, the report said.

Musk has long sought to remove cobalt from the equation entirely, and Tesla is getting closer to doing that in its work with CATL, according to Reuters.

Information about Tesla’s next-generation batteries has steadily trickled out over the last year or so thanks to the experts Musk hired and their public works, like patents, academic papers, and university presentations. The group has been funded by Tesla since 2016, according to Reuters.

Tesla has also bought up a small handful of companies that are contributing to its battery advancements, like Maxwell Technologies, the report said.

And its former CTO, JB Straubel, is leading a battery recycling company called Redwood Materials that Reuters says is an “affiliate” of Tesla’s.

According to TechXplore, earlier this year, Musk told investors, “We’ve got to really make sure we get a very steep ramp in battery production and continue to improve the cost per kilowatt-hour of the batteries—this is very fundamental and extremely difficult. We’ve got to scale battery production to crazy levels that people cannot even fathom today.”

At the end of 2019, battery prices were about $156/kWh; it’s widely thought $100/kWh is the number the auto industry needs to reach to make electric cars’ cost on par with gasoline cars, Driving.ca reported.

CATL’s cobalt-free lithium-iron-phosphate battery packs have just recently fallen below $80/kWh, with battery cells dropping below $60/kWh. CATL’s low-cobalt NMC battery packs have almost reached that magic $100/kWh number.

SOURCE: https://asiatimes.com/2020/05/teslas-million-mile-battery-could-change-the-ev-world/

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Elon Musk is hyping Tesla’s upcoming Battery Day – saying that it will be “one of the most exciting days in Tesla history” and hinting at a ‘Terafactory’ announcement.

Last year, Musk said that Cybertruck is Tesla’s last product unveil for “a while,” but he teased some upcoming tech announcements.

Those announcements were expected to happen at what Tesla has been referring to as “Powertrain and Battery Investor Day.”

Much like the “Autonomy Day” that happened last year, Tesla said that it is planning to give presentations to investors, which are livestreamed, about the automaker’s latest development in powertrains and battery technology.

Later, Musk referred to the event as â€œTesla April company talk” and said that it will be held at Gigafactory New York, where Tesla plans to offer media and investors tours of the facility.

Earlier this month, Musk updated Tesla’s upcoming event to add that it will focus just on batteries and not powertrain.

During a conference call following Tesla’s Q1 2020 results yesterday, Musk was asked about the Battery Day.

The CEO said:

“Yes. Actually, we don’t want to preempt Battery Day. We want to leave the exciting news for that day, but there will be a lot of exciting news to tell. And I think it would be one of the most exciting days in Tesla’s history and we’re just trying to figure out the right timing for that.”

Musk gave a hint later in the call when he talked about Tesla’s next factories becoming “Terafactories”.

When announcing the first Gigafactory, Tesla decided to call it that because it was going to produce ‘gigawatt-hours’ (GWh) in battery capacity.

A ‘Terafactory’ could be producing over a terawatt-hour of battery capacity, which is 1,000 GWh or about 20 times the current capacity of Panasonic’s production at Gigafactory Nevada and several times the world’s production for EV batteries.

As we previously reported, Electrek revealed that Tesla will present the result of its internal secret Roadrunner project at the battery event.

The goal is for Tesla to produce its own battery cells using technologies developed by Tesla’s internal teams, including work from its research lab in Canada led by Jeff Dahn, and new technologies recently acquired through the acquisition of Maxwell, on a massive scale and at a cost below $100 per kWh.

Musk said that Tesla is aiming for the event to be held the third week of May:

“We think probably the right timing will be probably the third week of May. Not giving a firm date, but we think that probably that’s the right timing. And depending upon what we’re allowed to do, it will either be in California or Texas.”

It will put the event between May 17-23.

Electrek’s Take

On top of the actual new cells and production system developed under Roadrunner, I think Tesla is going to announce a location to produce over 1 terawatt-hour of battery cells.

The fact that Elon mentioned California or Texas might lead people to think that the factory is going to be at one of those locations, but I wouldn’t be so quick to jump to that conclusion.

The event was first supposed to happen in Gigafactory New York, but I think he doesn’t believe any event is going to be able to be held in NY next month.

California is where Tesla is based and where the automaker is running its pilot production line for the Roadrunner battery cells and Texas is where Elon is based right now for SpaceX work and also where restrictions are being relaxed.

I am not saying that it’s not possible Tesla might announce a deal for a factory in Texas at the event, but I am just saying that it’s not a done deal just because he mentioned the state.

Source: https://electrek.co/2020/04/30/elon-musk-tesla-battery-day-terafactory/

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• A country fuelled by hydropower has become the world’s electric vehicle leader

In 1995, the lead singer of the 1980s band A-ha and the head of the Norwegian environmental group Bellona climbed improbably into a converted electric Fiat Panda they had imported from Switzerland and set off on a road trip.

They drove around Oslo refusing to pay the city’s sky-high road tolls, parking illegally wherever they could, and ignoring every penalty notice they were given. Eventually, the authorities impounded their car and auctioned it off to cover the fines.

But the stunt attracted massive media attention, and the point was made. Soon after, electric vehicles were exempted from road tolls, one of a large raft of incentives that have, over the years, helped make Norway the country with the world’s highest per capita electric vehicle ownership.

Last month, in an economy hit by the coronavirus crisis, fully electric cars accounted for just under 60% of Norway’s new car market, and plug-in hybrids just over 15% – meaning three in four of all new cars sold were either wholly or partly electric.

It still has some way to go, but the country looks on course to meet a government target – set in 2016, with full cross-party parliamentary support – of phasing out the sale of all new fossil-fuel based cars and light commercial vehicles by 2025.

“It’s actually quite amazing how fast the mindset’s changed,” said Christina Bu of the Norwegian EV Electric Vehicle Association. “Even in 2013 or 2014, people were sceptical. Now, a majority of Norwegians will say: my next car will be electric.”

The story of how and why that has happened has a straightforward, if unexpected logic. First, despite being a major oil and gas producer, almost all of Norway’s domestic energy comes from a single, and renewable, source: hydropower.

That means switching to EVs is a much greener option for Norway than for countries whose power is generated mostly by coal plants – and that if it wants to significantly reduce its emission levels, it has little choice but to green its transport sector.

Driven by the environmental imperative, the government began offering incentives to buy and run electric cars as far back as 1990, first by introducing a temporary exemption from Norway’s exorbitant vehicle purchase tax, which became permanent six years later.

“This was an important step,” Bu said. “Norway was a very poor country before we discovered oil; cars were a luxury item. They’ve always been taxed very highly. Cars in Norway are a lot more expensive than elsewhere. Without the purchase tax, the cost of an electric car basically fell to that of an ordinary car.”

Since then, electric car drivers have been given the right to park for free in some municipal car parks, drive in bus lanes, take ferries without a ticket and, thanks to A-ha, drive toll-free. They are not required to pay VAT on their cars, or road tax, and company electric cars are taxed at a lower rate than petrol or diesel vehicles.

Some measures have changed over the years: to be allowed to drive in a bus lane, for example, you now need to be carrying a passenger. A so-called 50% rule was introduced in 2017, allowing local authorities to charge EV drivers up to 50% of the parking fees, road tolls and ferry rates applicable to fossil-fuel vehicles.

But overall, said Bu, the “combination of a big one-off saving when you buy the car, plus the substantially lower costs – fuel, tolls, parking, maintenance – of actually driving it, still adds up to a very powerful financial argument. Over its lifetime, you really save a lot of money with an electric car in Norway.”

That was certainly what persuaded Wenche Charlotte Egelund, 57, who bought a VW Golf Electric with her partner two years ago when they moved out of central Oslo. “The incentives were crucial,” she said. “The tax and VAT exemptions, free municipal parking, free toll roads that mean we avoid the rush-hour traffic jams.”

In fact, Egelund said, the incentives were so significant that she almost “felt the decision was imposed on me. Financially, it was like there was no other sensible option. I do wonder whether it really is as green as we are told. Is a car running on clean diesel really worse than the environmental impact of producing an EV battery?”

Rachel Ritman, 56, a postwoman living on the outskirts of Fredrikstad, bought her Opel Ampera two years ago and said she has not regretted her choice, even if she was “not sure we would have gone electric without the incentives”. The car’s range was good, she said: 250 miles (400km) in summer, 200 miles (320km) in winter and because she charges at home she does not suffer from “lade-angst”, or the fear of running out of juice.

Both Ritman and Egelund have a second, diesel-powered car for extra-long journeys, to country cabins or holidays. Sten Bråthen, 55, a media consultant, bought his Nissan Leaf as a second car “for taking the children around and driving to work. But there were so many advantages that when we were getting a new main car last year we didn’t think twice about going electric.”

Government incentives were vital in the decision to buy, Bråthen said: “I think we would have managed without the other incentives – free toll roads and parking – but the actual cost of buying was so much lower than ordinary cars here in Norway.” He warned, though, that Norway was going to need more charging stations.

Despite the incentives, EV sales in Norway remained low until about 2010, when a number of smaller, more affordable electric cars from makers such as Mitsubishi and Nissan came to market, and improved technology meant larger electric cars began to offer both the space and range to make them a sensible choice for families.

Bu said the incentives were so significant that “many people say they’ve bought the most expensive car they’ve ever had when they buy electric – Teslas, Jaguars, that kind of model – simply because they’ve calculated what kind of saving they’re going to be making over the coming years, and feel it makes sense”.

That has led to accusations that Norway’s encouragement of electric vehicles amounts to little more than tax cuts for the rich, or a cut-price second car. Many Norwegians on lower incomes can only dream of owning an electric car, and three out of four car purchases are on the secondhand market.

Bu – whose organisation represents consumers rather than producers – rejected this, arguing that “we have to change the cars we drive, and the only way to do that is to change the new cars. We can’t change used ones”. EVs will soon make up 10% of Norway’s passenger fleet, she said, and are slowly coming on to the used market. Advertisement

She said she was confident for the future of electric vehicles, even in countries without a big renewable power sector, and studies show that EVs running on power generated from fossil fuel are responsible for roughly the same level of overall CO2 emissions as petrol cars.

“As a society, we clearly have to do two things,” she said. “Produce more renewable energy and products – like cars – that can run on it,” she said. “We have to do both, as fast as possible. We can’t hang around until we’re producing 100% renewable energy.”

Electric cars are “never going to be truly environmentally friendly”, Bu said. “The main problem is making the batteries. We need clean battery producers in Europe. But look, we need transport. We need cars and vans, particularly outside our cities. And for us, electric is the answer.”

This story is a part of Covering Climate Now’s week of coverage focused on Climate Solutions, to mark the 50th anniversary of Earth Day. The Guardian is the lead partner in Covering Climate Now, a global journalism collaboration committed to strengthening coverage of the climate story.

SOURCE: https://www.theguardian.com/environment/2020/apr/19/norway-and-the-a-ha-moment-that-made-electric-cars-the-answer