Tesla Batteries Recycled for Grid Stabilization

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Facts

Problem owner

Project period

-

Total budget

1,549,815 kr.

Support amount

850,440 kr.

Partners

About the project

The Second-Hand Tesla Battery for Grid Connected Energy Storage project has successfully repurposed damaged Tesla batteries to develop a sustainable energy solution that stabilizes the grid and optimizes energy consumption. By integrating the batteries into a solar system, the project has reduced peak demand and enabled energy arbitrage, making the solution both economically and environmentally beneficial.

The Challenge

Lithium batteries play a central role in the future energy system, which is increasingly based on renewable energy sources such as wind and solar. There is a significant need for flexibility in energy production to ensure grid stability and frequency control. A major challenge is the high cost of batteries. Recycling scrapped Tesla batteries offers both an economic and environmental advantage, as it extends the batteries' lifespan while reducing the need for new batteries.

The Solution

The project has successfully repurposed batteries from damaged Tesla vehicles and integrated them into the grid, where they provide critical services such as buffering, grid stability, and frequency control. By utilizing existing hardware solutions and advanced battery management technology, the project has optimized the batteries' charging and discharging in response to fluctuating electricity prices and solar energy production. The system has been tested in practice, successfully reducing peak demand and optimizing energy consumption via the solar system.

Result

The recycled Tesla batteries have been given a new life as an effective energy solution on Samsø, where they help stabilize the grid and reduce consumption during peak times. The recovered energy is used for energy arbitrage by charging the batteries when electricity is cheap and discharging them during periods of high demand. The technology has achieved TRL 7 status, meaning it now operates effectively in a dedicated environment.

The circular approach to used electric vehicle batteries has attracted significant attention both in Denmark and across Europe, says Jesper Østergaard from 4-Leaf Consulting, who also chairs the Battery Working Group at the Danish Centre for Energy Storage (DaCES). According to Østergaard, the market is still in its early stages, with around 1 GWh of batteries available today, but it is expected to grow to 17 GWh by 2030 and 99 GWh by 2035. This growth will play a crucial role in supporting a grid system based on renewable energy such as solar and wind.

The project thus demonstrates the potential of using scrapped batteries to create more sustainable and flexible energy solutions, supporting the green energy transition.

The market is still in its infancy, with around 1 GWh of batteries available right now, but by 2030, approximately 17 GWh is expected – and by 2035, about 99 GWh. This battery capacity could make a significant difference in supporting an electricity system based on solar, wind, and batteries,

Jesper Østergaard

owner of 4-Leaf Consulting and chairman of the Battery Working Group at the Danish Centre for Energy Storage – DaCES.

Project in the media

Articles

Want to learn more?

Mette Straarup Jespersen

CFO

Esbjerg+45 4214 9170msj@energycluster.dk
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