What is battery swapping?
Battery swapping is a process where an electric car’s depleted battery is exchanged for a fully charged one. Most swapping stations use robots to automate the entire process, with depleted batteries recharged either onsite or at a central facility. Typically the EV driver does not own the battery, but it belongs to the car manufacturer or a battery-swap company, effectively transforming batteries into a service. Customers pay a monthly service fee to exchange batteries at all swapping stations across the country.
Types of battery swapping
The method of battery swapping depends on the vehicle’s design and the station's technology. Buses and other big vehicles tend to make use of “top” swapping, cars are generally suitable for “bottom” swapping. Robotic arms are used to raise the car to a platform then the battery is extracted and exchanged with a fully charged one.
History
Although robotic arms did not exist in the early 1900s, the idea of swapping batteries dates back over a century. In the US, companies like General Electric teamed up with Hartford Electric Light Company to allow EV owners to lease their batteries and swap them out for fully charged ones. By the 1920s, electric vehicles had largely faded from the mainstream market, and projects like the GE-Hartford initiative were shelved as the automotive industry consolidated around internal combustion engines. Learn more about the early history of electric vehicles and its resurgence later in the 1900s in our previous articles.
Video of 1943 battery swap station
Chinese interest in battery swapping picks up
Battery swapping in China has been significantly influenced by government policies and industry innovations. The Chinese began demonstrating their commitment to this technology as early as 2008 when they unveiled a fleet of 50 electric buses with swappable batteries during the Olympics. China seeks to have 26,000 operational electric car battery swapping stations by 2025.
NIO: China to Europe
NIO, a leading EV manufacturer in the Chinese market, has been at the forefront of this innovation, with significant financial backing from the Chinese government. After establishing a strong presence in China, NIO ventured into Europe, bringing along their innovative technology. The initial launch took place in Norway due its advanced EV market, followed by the Netherlands and Germany. In 2023, NIO expanded its total European presence to 30 swapping stations, adding Denmark and Sweden to its countries of operation.
NIO customers have the option of purchasing NIO cars with battery-as-a-service. This means that customers pay an upfront price for purchasing the NIO car and a monthly subscription for the battery lease allowing for 4 monthly swaps. In Germany, for example, customers can purchase the NIO ET5 and choose between two monthly subscriptions: a 75 kWh pack (395 km Real Range) for 169 Euros or a 100 kWh pack (500 km Real Range) for 289 Euros. For frequent travellers, each additional swap from the 5th onwards will cost an extra 30 Euros.
NIO's UK Presence
The expansion of NIO into the UK is part of a larger vision to become a key player in the global EV market. Hui Zhang, NIO’s European CEO, has highlighted the prominence of the UK as a critical market, citing plans to be present in over 25 countries worldwide by 2025. The UK, with its robust automotive sector, is a strategic choice for NIO.
NIO will face unique challenges when trying to establish a foothold in the UK. The process of securing locations for swapping stations and getting permits is more complicated than in China. The company is approaching the UK not only aiming to install battery swap stations for their own vehicles but also to integrate their stations into the broader charging network in the hope that battery swapping will one day become a standard technology adopted by other EV manufacturers.
NIO’s battery-swapping stations have improved throughout the years. Current third-generation stations can change the used battery in approximately 2 minutes and 30 seconds with previous second-generation stations changing at 4 minutes 40 seconds. Storage capacity has also increased, with current generation sites being able to hold up to 21 batteries at once compared to 14 with second-generation stations.
Is battery swapping really the future of electric cars?
Despite advancements in technology and the expansion plans of companies like NIO, several challenges need to be overcome for battery swapping to become universally adopted:
- Infrastructure costs and spatial requirements: Building battery swap stations comes at a significant investment of about $420,000 per station. These facilities require ample space - often equivalent to three parking lots - and the construction and maintenance costs can be substantial. This financial and spatial demand may limit the feasibility of widespread deployment of stations, particularly in densely populated urban areas.
- Compatibility and standardisation issues: A high level of industry standardisation is required to make battery swapping effective across different EV manufacturers. Given the level of differentiation, achieving this may pose a significant challenge.
- Increased production costs: Producing EVs compatible with battery swapping often presents additional engineering challenges and incurs additional costs for manufacturers to accommodate easy removal.
- Availability and proximity of swapping stations: The battery swapping itself might be fast, but only when there’s no queue at the swapping station. Battery swapping stations must be strategically placed with a dense network of available stations for the full potential of battery-as-a-service.
Conclusion
In conclusion, while battery swapping presents an innovative solution to some of the challenges facing the electric vehicle (EV) market, its future as a universally adopted method remains uncertain. This technology offers significant advantages, such as reduced downtime for charging and the potential for easing range anxiety, making it particularly appealing in countries with burgeoning EV infrastructure like China. However, the practical challenges of high infrastructure costs, the need for widespread standardisation, and the logistical hurdles of station placement and queue management pose significant barriers. For battery swapping to become a viable mainstream option worldwide, these issues must be addressed through industry collaboration, technological advancements, and supportive government policies. As the landscape of electric vehicles continues to evolve, battery swapping could play a crucial role in shaping the future of transportation, provided it can successfully navigate these complex challenges.
