Duke Energy and ITOCHU to Develop Strategies for Reusing Electric Vehicle Batteries
November 23, 2010
CHARLOTTE, NC – November 23, 2010 – Duke Energy and Tokyo-based ITOCHU Corp. signed an agreement today tocollaborate on advanced energy technologies, starting with the evaluation andtesting of second-life applications for electric vehiclebatteries.
According to someauto industry estimates, electric vehicle (EV) batteries that can no longercharge to approximately 80 percent of their original capacity may be candidatesfor replacement. Duke Energy and ITOCHU believe batteries that become unsuitablefor use in EVs could live on in other applications. Reuse possibilities forthese batteries include providing a supplemental home energy supply, storingrenewable power and providing a fast-charging power source forEVs.
To determine thetechnical feasibility and commercial viability of these second-lifeapplications, Duke Energy and ITOCHU will first gather and analyze data from atleast 2,000 kilowatt-hours of Ener1 lithium ion batteries deployed in a fleet of approximately 80 Th!nkplug-in EVs. Initial testing willoccur in Duke Energy’s Indiana service territory.
Duke Energy and ITOCHU’s pilot program builds upon their involvement in Project Plug-IN, a large-scalepublic/private EV initiative based in Indianapolis.
The companies willassess how EV batteries perform in their “second lives,” including stationaryapplications in homes, neighborhoods and commercial buildings. This pilotproject will help Duke Energy and ITOCHU validate potential business models forfuture commercialization. In addition, the companies believe increasing thetotal lifetime value of batteries through second-life applications could helpreduce initial battery cost.
Duke Energy willprovide engineering design support for battery installations, as well as supplytest sites and personnel. ITOCHU will provide its stationary energy storageinfrastructure expertise to enable the reuse of automotivebatteries.
Both companies haveserved in leadership roles as the world prepares for the potential widespreadadoption of EVs.
Duke Energy has beenworking closely with auto manufacturers, charging infrastructure companies,other electric utilities and the Electric Drive Transportation Association forseveral years to understand and influence the development of the EV customerexperience, as well as impacts to the power grid.
In January 2010,ITOCHU became the first international board member of the Energy SystemsNetwork, the Indianapolis-based organization behind Project Plug-IN. In May2010, ITOCHU launched the Green Crossover Project in the Japanese city ofTsukuba. The purpose of this initiative is to develop an EV battery reusebusiness model; enhance energy management; and build the infrastructurenecessary to enable EV quick-charging and streamlined customer billingtransactions.
About DukeEnergy
Company Name: Duke Energy Corporation (NYSE:DUK)
Headquarters: Charlotte,North Carolina
Chairman & CEO: James E. Rogers
Revenues: $12.7 billion (for year ended Dec. 31,2009)
Total Assets: $57billion (as of Dec. 31, 2009)
Employees: Approximately 18,680 (as of Dec. 31,2009)
Business: Duke Energy is one of the largest electric power holding companies in the UnitedStates. Its regulated utility operations serve approximately 4 million customerslocated in five states in the Southeast and Midwest, representing a populationof approximately 11 million people. Its commercial power and internationalbusiness segments own and operate diverse power generation assets in NorthAmerica and Latin America, including a growing portfolio of renewable energyassets in the United States. Headquartered in Charlotte, N.C., Duke Energy is aFortune 500 company traded on the New York Stock Exchange under the symbolDUK.
About ITOCHU Corporation
Company Name: ITOCHU Corporation
Headquarters: Tokyo,Japan
President & CEO: MasahiroOkafuji
Revenues: $36.7 billion (for year ended March 31,2010)
Total Assets: $58.9 billion (as of March 31, 2010)
Employees: Approximately 4,368 (as of Dec. 31,2009)
Business: With approximately 150 offices in 74 countries, ITOCHU Corporation engages in trading and import/export of various products such as textile, machinery, information and communications technology, aerospace, electronics,energy, metals, minerals, chemicals,forest products, general merchandise, food, finance, realty, insurance, and logistics services, as wellas business investment in Japan and beyond. ITOCHUCorporation has been diversifying its renewable energy portfolio, and is astrategic equity partner of leading lithium-ion battery manufacturer, Ener1(NASDAQ: HEV) and EV manufacturer, Th!nk.
Internet: http://www.itochu.co.jp/en/
