Geelong, Australia, 3 February, 2023 – Recharge Industries™ welcomes the announcement made by the Hon. Ed Husic MP, Minister for Industry and Science, regarding the Federal Government’s commitment to develop an Australian battery manufacturing industry.
Australia boasts renewable energy generation from solar, wind, pumped hydro and more, while energy storage – that would allow grid firming, electrification of vehicles and development of a green hydrogen sector – remains the missing link in our journey to net zero.
“With domestic demand forecast to grow from currently less than 1GWh deployed, to over 380 GWh by 2030, Australia needs to act decisively if we are to build a domestic value chain that provides globally resilient supply chains, supports sustainable economic growth and creates jobs,” according to Rob Fitzpatrick, CEO of Recharge Industries™.
“We need to do so in three major ways:
1. Foster precincts around battery cell manufacturing
High quality advanced manufacturing requires tight integration of raw material inputs to minimise contamination, production delays and support dynamic innovation.
Recycling must be integrated adjacent to manufacturing, allowing a circular economy mindset (reduced wastage) in operations, and recapture and reuse of ingredients from spent cells.
2. Act fast, at scale
One country dominates global battery supply. Through Covid, we’ve learnt the opportunity cost of such dependence. Only large-scale battery cell manufacturing - at multi gigawatt hour annual production volumes – provide the economic justification for refiners, materials processors and other players in the value chain to establish domestic operations.
We can’t afford to romanticise new and emerging chemistries. To capture the scale needed to justify a holistic supply chain, and capture our share of domestic and global demand, we must leverage known and commercially trusted chemistries – lithium-ion.
By definition, we must make cells, modules, packs and racks. Simply assembling imported cells from the dominant foreign supplier ensures supply chain participants will process raw materials overseas.
3. Rapid funding processes for aligned operations
Battery manufacturing is not cheap. Initial funding calls for ‘patient capital’ - a role governments are uniquely capable to play. That’s not grants or giveaways - though at times may call for such – it's structured funding to be repaid in spades.”
Funding should support revitalisation of formerly strong manufacturing heartlands, supporting communities with jobs, apprenticeships, new skills and direct connections with First Nations peoples.
Australian research is widely recognised and well-connected with the best in the world and has a critical role to play in the successful rapid acceleration of the battery energy storage solutions.
Leveraging the successful negotiation of free trade agreements with trading partners including the USA, UK and India, Australian manufacturers and supply chain partners have an extraordinary opportunity to generate substantial export income and wealth for the nation.”
As an active participant in Australia’s renewable energy future, Recharge Industries™, along with our parent company Scale Facilitation®, will actively participate in this consultation process with the Australian Federal Government, to help Australia act fast, at scale, as we collectively build an industrial capability to be proud of for generations.
About Recharge Industries™
Generating our green future, Recharge Industries™ is establishing onshore battery cell research and production. Using world leading artificial intelligence (AI) and multinational research partnerships, we are finding ways to make batteries better, safer, and longer lasting. We are powering the transition to a low emissions future by creating advanced battery cell manufacturing capabilities onshore. Recharge Industries™ is a portfolio company of Scale Facilitation®.
For more information on Recharge Industries™, please visit www.rechargeindustries.com or connect with Recharge Industries™ on Linkedin and Twitter.
About Scale Facilitation®
With its Global Headquarters in Manhattan and its Global Innovation Center in Geelong, Australia, Scale Facilitation® is working bilaterally to bring together research, advanced manufacturing, capital, supply chains and talent.
Scale Facilitation® is an investment firm with a novel approach de-risking projects by empowering innovators to maintain focus on their craft and facilitating the many critical services and capabilities required to deliver large-scale advanced manufacturing and innovation projects. Scale Facilitation® removes the many barriers to commercialization for innovators by giving access to the right strategic partners and collaborators who will adopt and scale their inventions.
For more information on Scale Facilitation®, please visit www.scalefacilitation.com or connect with Scale Facilitation® on Linkedin, Twitter, and Facebook.