Volvo Energy is partnering with Connected Energy to jointly develop second-life battery energy storage systems (BESS).

The two firms will explore building battery energy storage systems with batteries recovered from Volvo electric buses, trucks and machines

The two companies have signed a letter of intent to work together on building BESS with batteries recovered from Volvo electric buses, trucks and machines once they’re past their optimal use in mobile applications. These will get a second life with Connected Energy’s proprietary technology, delivering significant environmental and economic benefits.

Typically, EV batteries still have up to 80% of their original energy storage capacity when they reach the end of their optimal use in a mobile application. Connected Energy’s technology harnesses this remaining capacity and use it effectively in stationary energy storage applications.

BESS are increasingly used to store and optimise energy from renewable sources. They are also deployed to provide additional power for both commercial buildings and EV charging hubs in areas where there is not enough grid capacity to support banks of EV chargers. Turning to second-life batteries for such systems substantially reduces their carbon footprint, while also transforming EV batteries into longer-term, valuable assets.

The announcement builds on Volvo Energy’s investment into Connected Energy in 2022.

Matthew Lumsden, CEO of Connected Energy, said: “This is an exciting next step in our existing relationship with Volvo Energy with the potential to enable us to take our technology at scale into the European market. We’re proud to be engaging with Volvo Energy on the development of new second life energy storage solutions.

“In the coming years, the volumes of returning batteries from first life applications will substantially increase. This represents a key opportunity for OEMs like Volvo Group. Together we have the potential to develop and commercialise second-life energy storage systems that make electric vehicles even more sustainable.”