Business Models for Sustainability: The Case of Second-life Electric Vehicle Batteries

Repurposing retired electric vehicle (EV) batteries provides a potential way to reduce first-cost hurdle of EVs. Embedded in energy storage systems for renewables, second-life batteries could make EV technology more sustainable in terms of cleanliness of charging source and simultaneously alleviating environmental concerns over end-of-life battery disposal. This paper presents business models of different EV stakeholders that facilitate battery reuse. Based on interviews with different EV sectors, industrial reports and academic literature, we analyze how battery reuse could facilitate business model innovation for sustainability in the EV industry. Findings emphasize the importance of battery ownership, inter-industry partnerships and policy support on battery secondary use. The results also suggest the potential of battery reuse as a linkage between the transport and energy sector, and a catalyst for EV business model reconfiguration