Electric Vehicles
2025 was a record year for renewables in Great Britain, but much of that renewable potential went unused, slowing progress toward net-zero targets. To fully unlock the benefits of renewable energy, the grid needs to become more flexible. That’s where battery energy storage comes in. The International Energy Agency estimates that investment in batteries under the Net Zero Emissions scenario will reach $800 billion by 2030, a fourfold increase on 2023 levels. The message is clear: more batteries are needed, but simply increasing supply carries significant environmental and economic consequences.
Batteries to unlock renewable potential
Wind and solar power are examples of non-dispatchable generation. This means they cannot be turned up or down at will by grid operators, because even they cannot decide when the sun shines or the wind blows. Solar is at least somewhat predictable, with the sun appearing once a day, but wind is far less certain. Despite this variability, one thing is for certain: the grid must remain balanced at all times. That is why, when generation exceeds demand, renewables are curtailed, in other words, switched off. This not only wastes energy that could be captured, but also adds costs. Grid operators often have to pay generators for curtailment, and these costs are ultimately passed on to consumers, raising energy bills. According to Octopus Energy, Great Britain spent a staggering £1.46 billion in 2025 on switching off wind turbines. Without increased storage, renewable energy is wasted, and over time this can discourage further investment in the sector.
This is where battery energy storage systems (BESS) can change the game. During periods of high generation, excess electricity can be stored as chemical energy and discharged later when demand rises. Solar provides a simple example: batteries charge during the day and discharge after sunset. With storage, intermittent energy becomes more reliable and grid operators can better balance supply and demand.
Lithium’s dominance and its costs
Lithium-ion batteries remain the standard for both electric vehicles and grid storage with lithium iron phosphate (LFP) batteries accounting for 40% of EV sales and 80% of new energy storage installations in 2023. Yet, lithium mining comes with serious consequences. Producing just one tonne of lithium can require more than 2.2 million litres of water. In Chile, the world’s second-largest lithium producer after Australia, lithium and copper extraction has consumed over 65% of the local water supply, impacting both farmers and fragile ecosystems. And water is just the beginning of the environmental impact. According to CarbonChain, greenhouse gas emissions from lithium carbonate can reach up to 18 tonnes of carbon dioxide equivalent per tonne. To put that in perspective, that is roughly the same as the emissions from driving a typical petrol car for 80,000 miles, or the annual electricity use of about three average UK homes.
EV batteries get a second life
Imagine your electric vehicle warning that it can no longer make long trips without frequent charging. That’s how drivers feel when their battery capacity drops to 70–80% of its original rating, which is typically when a car battery is considered to have reached the end of its first life. Range anxiety sets in, and many replace their car batteries long before they are truly spent.
But here’s the twist: for grid storage, that “old” battery is still remarkably useful. A 30% reduction in capacity might limit a car’s range, but when combined with other EV cells, it is more than enough to store surplus renewable energy and release it when demand is high. In other words, a battery that feels worn out on the road can still play a starring role in the transition to net-zero. One company putting this quite literally to the test is Connected Energy, which is developing the UK’s most advanced second-life EV battery testing facility at Scottow Enterprise Park in Norfolk. The site will test batteries from multiple manufacturers and operate a 5MWh energy storage system, with operations expected in 2026.
“Having successfully shown how second-life BESS can work on a commercial scale, we are now moving to owning and operating grid-scale storage sites, with our first site also functioning as an advanced test facility.” – Matthew Lumsden, CEO, Connected Energy
Why circularity matters
The need for batteries is undeniable, but so is the environmental cost of mining. With over 100 million electric vehicle batteries expected to be retired in the next decade, reusing EV batteries for storage is a no brainer. It maximises renewable energy, extends the life of existing materials, and reduces pressure on new lithium extraction.
In the drive to net-zero, a circular approach to batteries is not just practical, it’s essential. By giving EV cells a second life, we can store more clean energy, reduce environmental impact, and make the transition to sustainable power faster and more cost-effective.
