Hyundai Considers Battery Leasing & Reuse Strategy To Reduce EV Prices

Electric cars are still very new, and there are many emerging strategies to make them more compelling and affordable.

Hyundai is one of many companies promising a surge of electric cars in the future. The automaker has already proven it can make compelling EVs, though it hasn’t worked to sell them in large volume, especially on our shores. Now, the South Korean automaker is looking into a battery leasing and reuse plan that could make EVs more affordable, as well as more environmentally friendly.

According to a report by Green Car Reports, Hyundai provide the South Korean government with a “memorandum of understanding” highlighting a potential electric car battery ecosystem. The plan would involve partners, such as KST Mobility, which could lease batteries from Hyundai to use in a fleet of electric taxis.

Hyundai says this future plan could reduce the high upfront costs associated with electric vehicles. However, arguably more important is the reduced environmental impact that would come as a result of such a plan.

Essentially, KST would pay a monthly fee to lease a battery. After a long period of use, Hyundai will take the batteries back and use them in an energy storage system that it plans to use for EV fast-charging. The fast-charging systems with the repurposed batteries would be specifically designated to charge the EV taxi fleets. LG Energy Solution will reportedly convert the used batteries for use in the energy storage systems.

Hyundai didn’t provide many specifics about the future endeavor, though it did reveal that it has already acquired a patent. Per Green Car Reports, Hyundai says the patent is “for a container that can efficiently transport large quantities of used batteries.”

This isn’t the first we’ve heard of battery leasing, battery swapping, and battery recycling. Nio is also considering battery leasing in the future. It only makes sense that if these plans are successful, other EV makers could follow suit.

Source:Green Car Reports

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