Qtron refurbishes 100 EV batteries

January 22, 2025

From the newsletter

Kenyan battery company Qtron Industries has refurbished 100 EV batteries to extend their life. Kenya is one of the fastest growing EV markets in Africa, with the number of electric vehicles growing to around 5,000. Demand for EV batteries is high, but prices of new batteries remain prohibitive. 

  • The battery is the most expensive component of an EV. Its price often accounts for more than half of the price of the vehicle . EV owners have been struggling with the issue of faulty or depleted batteries.  

  • Once refurbished, the batteries are integrated into electric buses, motorbikes, and charging infrastructure. Repaired batteries cost about $1,500 compared to $10,000 for new ones, making them a popular choice for EV owners facing breakdowns. 

More details

  • Qtron Industries, established in 2016, specializes in repairing and refurbishing batteries for vehicles and motorcycles to extend their life. The company uses advanced diagnostic equipment to restore batteries at a low cost.

  • The company ventured into EV battery refurbishing to address the growing issue of discarded batteries littering Kenya's landfills. It plans to expand operations due to increased demand for battery repair.

  • However, EV battery prices have been dropping. In 2022, the cost of a lithium-ion battery was around $166 per kWh before dropping to an all-time low of $144 per kWh in 2023. The price is expected to reduce further to around $74/kWh by 2026.

  •  EV batteries are expected to last 100,000 to 200,000 miles, or about 15 to 20 years. However, the battery's capacity degrades over time. This leads to reduced performance of the EV, necessitating a battery replacement.

  • Once the battery capacity falls below 80%, drivers may start to notice a fall in the range and performance of the battery. When an EV battery loses its capacity to power a vehicle, it can be used to power a home or building by contributing to a battery storage system.

  • Africa has a huge market for EV batteries due to the rising demand for EVs. Fastest growing EV markets such as South Africa, Nigeria, Egypt, Kenya and Ghana are leading the demand for EV batteries.

  • The Africa EV battery market is projected to grow at a CAGR of 6.55% to reach $6.82 billion by 2030. The market is expected to reach $4.97 billion this year alone.

  • Lithium-ion batteries dominate the EV market and represent about 49% of the global rechargeable battery market.

  • The African continent has been racing to build their own EV battery manufacturing plants. Morocco signed in June 2023 a $6.4 billion agreement with Chinese battery manufacturer Gotion High-Tech Co, for the construction of a factory to manufacture EV batteries in Rabat-Salé-Kénitra region.

Our take

  • More EV owners should consider refurbishing their EV batteries once they are worn out. This will extend the life of their battery and save them the cost of buying a new battery.

  • Advancements in technology have made it easier to identify and address defaults in EV batteries. This will only get better as the technology improves. It will reduce the cost of batteries and therefore enhance the adoption of EVs.

  • Local innovation, coupled with global knowledge, is key in tackling emerging issues in electric mobility. Such innovations should be nurtured to smoothen the transition to EVs.