Environmental and economic assessment of battery energy storage system disposal and recycling treatment in the Czech republic

As global energy systems transition towards decarbonization and increased reliance on renewable resources, effective lifecycle management of energy storage systems is critical. Battery energy storage systems (BESSs) are key for grid stability and integrating intermittent renewables. However, their widespread adoption faces environmental and economic challenges, especially concerning end-of-life (EOL) management of lithium-ion batteries (LIBs). This work presents an environmental and economic evaluation of a 2.8 MWh/2.5 MW BESS case study, focusing on EOL treatment strategies. The study employs a comprehensive life cycle assessment (LCA) to meticulously examine innovative recycling pre-treatment processes for the battery, alongside EOL treatment of cooling/extinguishing systems, inverters, and beneficial reuse of BESS containers/substations. The LCA reveals that recycling pre-treatment processes contribute to one-third of the overall environmental gains, particularly from recovering secondary aluminium and copper. The economic analysis projects potential profits of around €69,000 per unit, highlighting significant financial incentives for local sourcing of critical raw materials. Beyond direct financial and environmental implications, this study critically underscores the importance of robust, sustainable recycling practices. The findings are crucial for fostering a circular economy for LIBs by enhancing self-sufficiency in critical materials, guiding future research, policy, and industry practices.