SET Plan Conference - EMIRI Side Event Key Elements & Extracts - - PowerPoint PPT Presentation

ENERGY MATERIALS INDUSTRIAL RESEARCH INITIATIVE

Bridging the Innovation Gap

EMIRI Side Event – Presentation of Dr. Egbert LOX

SET Plan Conference - EMIRI Side Event Key Elements & Extracts from the EMIRI Study on the EU Sector of Advanced Materials for Energy – The Case of Batteries

• Dr. Egbert LOX – Senior Vice-President Government Affairs of Umicore

EMIRI – Energy Materials Industrial Research Initiative Dr Fabrice Stassin - Managing Director fabrice.stassin@emiri.eu www.emiri.eu

ENERGY MATERIALS INDUSTRIAL RESEARCH INITIATIVE

Bridging the Innovation Gap

EMIRI Side Event – Presentation of Dr. Egbert LOX

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Challenge 1 Advanced Materials for Energy Efficiency Key Component 1 Key Component 2 Key Component 3 Key Component 4 Advanced Materials to increase the energy performance of buildings Advanced Materials to make renewable electricity technologies competitive Advanced Materials to enable energy system integration (energy storage, grids) Advanced Materials enabling the decarbonisation of power sector Advanced Materials for a "competitive, efficient, secure, sustainable & flexible energy system" Challenge 2 Advanced Materials as "key enablers" tackling EU Energy Challenges

EMIRI carrying out a first study on EU Industrial Sector

• f Advanced Materials for low carbon energy

Within each Key Component, the various technologies are considered with:

The brief technology overview The end-market and the EU dimension The value chain (EU versus North America vs Asia) The SWOT of EU The innovation needs for Advanced Materials The derived call topics

Study based on the 4 Key Components defined by Industry & Research in EMIRI No similar study known to us and to be provided to EU stakeholders & beyond Such a first study is needed to better orient & organize innovation funding at EU level & MS level and stimulate Industry participation

Some elements for Li-ion batteries with Umicore case

Today …

ENERGY MATERIALS INDUSTRIAL RESEARCH INITIATIVE

Bridging the Innovation Gap

EMIRI Side Event – Presentation of Dr. Egbert LOX

Better integration of renewables Improvement of overall power quality, smoothing out fluctuations in electricity transmission Support of weakly connected grids Increase of energy efficiency & flexibility Batteries are particularly suited for storage from KWh to MWh level (grid) & variable discharge times Li ion batteries = a promising technology

Next to low carbon energy harvesting, energy storage is essential in EU’s energy transition

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ENERGY MATERIALS INDUSTRIAL RESEARCH INITIATIVE

Bridging the Innovation Gap

EMIRI Side Event – Presentation of Dr. Egbert LOX

Energy Storage with Li-ion batteries is an opportunity for EU to create part or whole of a value chain

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2030

ENERGY MATERIALS INDUSTRIAL RESEARCH INITIATIVE

Bridging the Innovation Gap

EMIRI Side Event – Presentation of Dr. Egbert LOX

1. End-markets of low carbon energy applications strongly developing outside of EU 2. Manufacturing of Adv. Mat. for low carbon energy applications establishing outside of EU 3. Innovation in field of Advanced Materials for low carbon energy steadily following manufacturing with EU lagging behind on innovation, manufacturing & commercialization

EU is however facing growing global competition in Advanced Materials for Energy Storage

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1 2 3 1 2 3

ENERGY MATERIALS INDUSTRIAL RESEARCH INITIATIVE

Bridging the Innovation Gap

EMIRI Side Event – Presentation of Dr. Egbert LOX

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Advanced Materials for Stationary Energy Storage using Li-ion batteries EU Asia North America Share of Global Value Chain 5% BUT increasing 90% BUT decreasing 5% BUT increasing Cathode Umicore Belife Nichia Umicore Tanaka Sumitomo Toda Kogyo Corp JGC Catalyst Nippon Denko 3M BASF Dow Phostech/S-Chemie Anode SGL Imerys Hitachi chemicals MMS Mitsubishi chemicals Nippon Carbon Superior graphite Dow Separator Freudenberg Arkema Treopore Asahi Kansai Sumitomo Ube Mitsubishi Toray Celgard Current collector Circuit Foil Schlenk Hitachi LS Metron Targray Electrolyte, binder and others JSR Solvay Arkema Ube Tomyama Mitsubishi Chem. Panax/Etec BASF(Novolite) Specialty high tech additive Arkema Bayer (with CNTs) Various Various Battery (Litec) SAFT Gaia Pure Energy Leclanché Sony Sanyo SDI, LG Panasonic # China Enerdel (A123 ) Boston Power

Lack of end-market development & innovation-oriented programs will put at risk a developing EU value chain

ENERGY MATERIALS INDUSTRIAL RESEARCH INITIATIVE

Bridging the Innovation Gap

EMIRI Side Event – Presentation of Dr. Egbert LOX

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Li-ion batteries with suitable cost & performance requires world-class innovation in Advanced Materials

Innovation should focus on optimizing Li Ion batteries for low cost ,high safety, long cycle life, extreme use & environmentally friendly storage stationary applications

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ENERGY MATERIALS INDUSTRIAL RESEARCH INITIATIVE

Bridging the Innovation Gap

EMIRI Side Event – Presentation of Dr. Egbert LOX

The case of batteries - Umicore in a nutshell

We are a global materials technology company

(14.600 people, 79 sites, > 50% sales in Europe, Turnover 2013 @ 9.8 B€)

material solutions Metals Application know-how Recycling Material solutions Chemistry Material science Metallurgy

Our mission is to make “materials for a better life” The majority of our growth comes from clean technologies We use application know-how to create tailor-made solutions in collaboration with customers We close the loop and secure supply by recycling production scrap and end-of-life materials

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ENERGY MATERIALS INDUSTRIAL RESEARCH INITIATIVE

Bridging the Innovation Gap

EMIRI Side Event – Presentation of Dr. Egbert LOX

Development and manufacturing of electrode materials for batteries is part of Umicore’s Advanced Materials technology portfolio

• Development and production of materials for primary batteries and 1st generation

secondary batteries was done in EU

• Development of materials for Li-ion batteries also done in EU and continues as such
• A Research & Technology Center and 2 Application Labs are established in Asia

For manufacturing of Li-ion battery materials Umicore had to comply with the logic of the value chain and the market (main battery materials plant in South Korea)

• Close to 90% of battery cell production is in Asia
• Powerful customers request their strategic suppliers to be located in their vicinity
• Short time-to-market met by fast processing of investment files by authorities in Asia
• Local public funding is also a factor
• Precursor production is maintained in EU

Case study from Umicore Cathode materials for Li-ion batteries (1/2)

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ENERGY MATERIALS INDUSTRIAL RESEARCH INITIATIVE

Bridging the Innovation Gap

EMIRI Side Event – Presentation of Dr. Egbert LOX

Will this lead to an exit of Umicore’s battery materials innovation from EU?

• Whenever possible Umicore continues to innovate in Europe

(Lithium Iron Phosphate pilot line in JV with Prayon, partially based on CEA-technology)

• Innovation without proximity to industrial production difficult to maintain in the long term

Is the move of battery materials manufacturing to Asia reversible?

• Launch of electric vehicle manufacturing in Europe, development of stationary energy storage

provide (last) opportunities (in some cases, downstream value chain players could prefer working with proximity-suppliers)

• Europe needs to prepare itself now to seize this opportunity
• 1. Make sure that development in EU of next generation materials and battery cells is at an

advanced stage (also higher Technology Readiness Levels)

• 2. Public funding is a factor (less fragmentation, more clarity, more predictability …)

but less red tape will be equally important for establishing and running pilot lines and later industrialize

Case study from Umicore Cathode materials for Li-ion batteries (2/2)

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ENERGY MATERIALS INDUSTRIAL RESEARCH INITIATIVE

Bridging the Innovation Gap

EMIRI Side Event – Presentation of Dr. Egbert LOX

EU is tackling challenges in the frame of the Key Enabling Technologies (KET) & the SET Plan

Advanced Materials are recognized as a KET by EU Advanced Materials are given some attention in SET Plan Integrated Roadmap A market-oriented, industry-led strategy is now needed for Advanced Materials in EU for

various applications including for low carbon energy

Strong & clear recommendations were put forth by the KET High-Level Group 1st elements contributed to shaping the Horizon 2020 work program but more

recommendations need to be transformed into actions at EU level if industrial presence

• n Advanced Materials in EU is to be maintained and hopefully developed

In field of Advanced Materials for Energy, Umicore & 60+ organizations are teaming

up within EMIRI advocating for reinforced public private interactions for a more effective & efficient innovation program of value for the Industry developing, producing, using Advanced Materials

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