The Australian Government has announced AUD$1.49 million (£840,000) in funding to a project that gives old electric vehicles (EVs) batteries a second life as energy storage assets.
The funding from the Australian Renewable Energy Agency (ARENA) will see the AUD$3.3 million (£1.8m) project of the Melbourne-based battery technology company Relectrify use retired batteries to electrify commercial and industrial applications.
The venture aims to show the capability of this technology to extend the lifetime of batteries and reduce battery cost further.
The commercial-scale battery is believed to be roughly ten times the size of a Tesla Powerwall 2.
Relectrify’s battery technology could be rolled out in a range of applications such as solar integration, providing backup power on farms and to microgrids, deferring the need for network upgrade and replacing diesel generators.
ARENA Chief Executive Officer Darren Miller said: “Battery storage is already playing a crucial role in supporting the transition to renewable energy within the industry, however, we need to do more to make it commercially viable.
“Second life batteries have significant potential to drive down costs, and Relectrify’s battery management and inverter technology can provide what is needed to transform them into valuable assets for businesses looking to make the switch.”