The economic and environmental impacts of shared collection service systems for retired electric vehicle batteries

Abstract

One of the impending consequences of the rapid penetration of electric vehicles (EVs) is that a substantial amount of expired EV batteries will present an increasing waste collection and management problem, particularly in the urban context. Motivated by a lack of research on this issue, this paper comprehensively evaluates the relative benefits of shared versus non-shared collection systems, where the service outlets are not exclusive to specified automakers. Using a mixed-integer optimization model, the analysis features spatiotemporal and multiple stakeholder complexities. Based on the historical monthly EV sales data from 2016 to 2021, a representative case study of Beijing, China is conducted, including 16 district centers, 32 major automobile manufacturers, 153 collection service outlets and 4 disposal centers. The results show that a shared collection service system leads to higher profitability, higher collection rates, increased environmental benefits and improved facility utilization. Consequently, this research contributes to supply chain liberalization to foster the efficient waste management of EV batteries. With a further model extension, it can also provide decision support for the policy-making of more countries.