Dec 11, 2023

LOHUM announces partnership with Ministry of Energy & Infrastructure, UAE and BEEAH for UAE’s First EV Battery Recycling Plant

Press Release

New Delhi, December 11, 2023: – LOHUM Cleantech, India’s leading producer of sustainable energy transition materials, is excited to announce its expansion into the UAE market to build the UAE’s first EV Battery Recycling plant through a partnership agreement with the Ministry of Energy & Infrastructure, UAE, and BEEAH, the Middle East’s sustainability and digitalisation pioneer. The partnership comes in light of UAE’s COP28 agenda and aligning with the UAE’s Net Zero by 2050 Strategic Initiative, Circular Economy Policy and supporting emissions-free mobility with future-ready solutions.

The venture will entail the setting up of an 80,000 sq ft refurbishing & recycling Lithium batteries facility, in UAE. The facility will annually recycle 3000 tons of Lithium-ion batteries, and repurpose 15MWh battery capacity into sustainable Energy Storage Systems (ESS) per annum. This is expected to account for more than 80% of the current expected EV batteries management demands.

This Joint Development Framework Agreement is a milestone in sustainability, reflecting the UAE’s role as a responsible energy supplier and accelerating the nation’s transition to clean resources, materials, and technologies. The UAE has declared its intention to achieve net zero emissions by 2050, and LOHUM’s facility will help the nation save 30,000 tons of GHG emissions annually. The development aligns with the UAE Circular Economy Policy 2021-2031, the UAE Energy Strategy 2050, and the UAE’s COP28 commitments.

In line with the National Electric Vehicles Policy, the MoEI launched the “Global EV Market” transformational project earlier this year, aiming to turn the UAE into a global market for electric vehicles and increasing the share of EVs to 50 per cent of total vehicles on the roads by 2050. The EV market in the UAE is already seeing rapid growth. A 2023 study showed that 70% of UAE respondents were considering the switch to electric vehicles. Nationally, a fifth of government agency vehicles are already electric.

This strategic move marks a significant milestone in LOHUM’s global growth strategy and reinforces its commitment to advancing sustainable battery technology worldwide. LOHUM will debut as the first battery lifecycle management company in the UAE that undertakes integrated recycling, reuse or repurposing, and cell manufacturing under one roof.

Speaking on the agreement, Rajat Verma, Founder & CEO of LOHUM, said: “This Joint Development Framework Agreement between government, public-private, and global enterprise is a turning point for sustainability in the UAE, as the development will lead to a circular domestic supply of clean energy transition materials. We are thrilled to partner with the MOEI, UAE and BEEAH to drive low-CO2e battery waste management in the UAE and create a parallel battery materials supply chain globally. Through LOHUM’s high-yield NEETM™ recycling technology, we support the UAE in their commitment to environmental responsibility. This partnership aligns with our goal to help nations and companies reduce their carbon footprint not just in India, but globally, and across all segments of the clean energy transition ecosystem.”

Sharif Al Olama, Under-Secretary for Energy and Petroleum Affairs at MoEI, said, “The Ministry will provide the support needed for the plant to succeed as part of our Global EV Market initiative that aims to increase the share of EVs to 50 percent of all vehicles on our roads by 2050. As we anticipate substantial growth in the number of EVs, the project will provide local car dealers and manufacturers with a sustainable, eco-friendly solution for EV batteries at the end of their life. It will help address the environmental and logistical challenges of expired or damaged EV batteries. The UAE aims to ensure a regulatory framework of flexible and conducive policies and put in place a suite of economic, environmental, and social incentives to encourage public and private entities to invest in this sector. This step contributes to the objectives of the UAE Net Zero by 2050 Strategic Initiative, integrates circular economy principles, and increases EV penetration. This will support our national economy and lower the carbon footprint of the transport sector – a target sector for our decarbonisation drive and of the National Energy and Water Demand Side Management Program.”

As EVs continue to play a role in the decarbonisation of the transport sector and contribute to net-zero emissions targets, it is important that we deploy circular solutions proactively. In partnership with the Ministry of Energy and Infrastructure, BEEAH is pursuing a partnership with LOHUM to addresses this challenge. Our EV Battery Recycling plant will reintroduce valuable minerals and materials back into the circular economy, keep waste out of landfills and support the long-term sustainability of transitions to EVs,” said Khaled Al Huraimel, Group CEO of BEEAH.

This vital expansion into the UAE market will not only contribute to LOHUM’s growth but also bolster the UAE’s energy security by building a low-carbon supply of recycled battery materials for the clean energy transition. LOHUM remains dedicated to driving innovation in the battery industry and delivering environmentally friendly solutions to sustain the widespread adoption of electric vehicles (EVs) and renewable energy transition applications.

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