Friday, October 13, 2017

Technology's Hard Sell and the Public's Role in the Lithium-Ion Battery Industry

New technologies require public acceptance and industry risk takers. What if consumers had refused to bring nuclear-powered microwaves into their homes or to let doctors use lasers to cure diseases? I've gained new respect for the physics teacher I had who assigned students to weekly reports on journal articles describing break-through scientific advances. Unless a country enters the world's economy late or a hurricane or earthquake destroys infrastructure, it is an uphill slog for a new technology to compete with entrenched technologies.

     Top executives recognize the challenge of creating a corporate culture, much less a public culture, attuned to welcoming technological change. At a recent conference, CEOs of 100 leading companies in 17 different industries concluded it is easier to incorporate rapidly changing technology into an existing system than it is to create a corporate culture willing to embrace technological changes.

     Consider the introduction of lithium-ion batteries. In the United States, electric cars using these batteries need to compete with existing cars, and they require charging stations to replace gas stations. As a clean energy source, huge lithium-ion battery packs that provide power to electricity grids need to compete with coal and natural gas. When a leak at California's Aliso Canyon natural gas facility forced the San Diego Gas & Electric company and Southern California Edison to try to provide Los Angeles and San Diego with electricity from grid-scale batteries, AES Energy Storage built a lithium-ion battery installation in under six months, compared to the years it takes to obtain permits to construct polluting power plants near heavily populated urban areas.

     Logic suggests car manufacturers and electric companies avoid "marketing myopia" by seeing themselves with a wide lens that positions them in transportation and energy industries that need to invest in up-and-coming alternatives. Companies are beginning to do just that. AES and Siemens now have a joint venture. California Edison is working with Tesla, known for manufacturing electric cars, and Mercedes-Benz and BMW also are involved in stationary power storage projects with utilities.

     Nonetheless, reliance on private investment limits the development and use of lithium-ion battery technology. Again, there is a role for teachers and students who take a realistic view of what fosters technological advances. Denying the effect of fossil fuels on climate change does nothing to encourage government investment in clean energy from lithium-ion batteries or tax relief for battery manufacturers. And how about government support for lithium exploration (top producers are Australia, Chile, Argentina, and China) and safe disposal of used lithium or, better yet, support for efforts to "mine" recycled lithium?

     In fact, Elon Musk claims all the nickel used in his Tesla electric car batteries is reusable at the end of a battery's life. If true, that is good news, because nickel mining, mainly in Australia, Canada, Indonesia, Russia, and the Philippines, kicks up sulphur dioxide and pollutes rivers with oxidized nickel waste. Dr. David Santillo at Greenpeace's research laboratories reports crushing and transporting nickel produces dust containing copper, cobalt, and chromium, as well as nickel, that causes respiratory problems and cancer. Rather than continue to mine poorer and poorer strains of nickel, Santillo suggests an effort to recover and reuse nickel already extracted.

     Wise young people need to focus on the new career opportunities new technologies present.

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