In Korea, SK On –the battery division of the South Korean company SK Innovation – has signed a ‘Business Agreement on Establishing Standards for EV Battery Status and Valuation’ with the Korea Automotive Inspection and Warranty Association (KAIWA).
The two parties agreed to establish evaluation standards and performance diagnosis methods to calculate the residual value of EV batteries. SK On and the standards association expect to vitalise the used EV market through this agreement, which they say should provide accurate evaluations to improve market transparency.
The Korea Automotive Inspection and Warranty Association is an organisation established under the Korean Ministry of Land, Infrastructure and Transport (MOLIT). The association has the goal of protecting consumers by inspecting used vehicles’ performance and condition and conducting investigations on their pricing.
These standards and processes should be important in not only improving battery manufacturing and performance standards, but also their further use in second-life applications before recycling.
With this agreement, the two parties are planning to complete establishing the standards for valuation and diagnosing EVs. The agreement should see KAIWA distribute a diagnostic device for used EVs, prepare for a general inspection standard on performance and condition of EVs, and “suggest system adjustment to MOLIT”, as SK On states.
Towards the end of last year, SK On launched a pilot battery diagnosis service to that drivers could check the battery status of an EV’s batteries themselves. From the pilot project, SK On said it hoped to use the experience and data gathered to offer other BaaS (battery as a service) models in the future.
“Performance diagnosis and residual value evaluations are the starting point of the virtuous cycle of battery resources,” stated Jeong Woo-seong, Head of e-Mobility Business Office, SK On. He added, “We will develop various business models that are eco-friendly while providing convenience for consumers in the future.”
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