Renault’s electric vehicle (EV) battery leasing program allows consumers to enter the market at a reduced price, since you only pay for the vehicle itself upfront and then pay a monthly fee for the battery. On March 21, Renault announced that they have now leased over 100,000 batteries. This has been spearheaded by the ZOE, Renault’s five-door all-electric supermini, which has been Europe’s top selling EV for the past two years running.
There are other advantages associated with Renault’s battery leasing program. Customers have the assurance of a lifetime, unlimited mileage warranty. If the battery fails, or ever degrades to below 75% its original storage capacity, it is replaced or repaired for free, for the life of the vehicle. Also, guaranteed battery performance can help maintain vehicle resale value, and also provides peace of mind for those in the market for a used EV.
Renault are now offering another sweetener for those leasing their EV’s battery. As of European spring 2017, owners of a ZOE with the old 22 kWh lithium-ion battery pack can upgrade to the latest, higher capacity Z.E. 40 battery, without changing their vehicle. If you live in the UK, the upgrade will attract a £10/month increase on your battery lease (see below). Depending on your ZOE’s year of manufacture, installing the latest 41 kWh unit could double the vehicle’s driving range — expect up to 186 miles (299 km) in summer and 124 miles (200 km) in winter.
In more good news, those who choose to lease a Z.E. 40 battery can take advantage of an improved pricing scheme. The no lock-in contract is available in two forms — pay-as-you-drive (Z.E. Flex) and unlimited mileage (Z.E. Relax). Customers are free to switch from one plan to the other, should their driving habits change. If they decide to sell their EV, their obligation ceases once the new owner takes over the agreement.
Battery leasing puts Renault in a unique position where they can optimise both the usage and end-of-life phases in a battery’s life cycle. Renault batteries are managed via a three stage, circular-economy approach:
- First Life: Renault ensures maximum battery life by monitoring an EV’s battery condition in real-time. Most defective batteries can be repaired.
- Second Life: If a battery falls below 75% charge capacity or is deemed unsuitable for powering an EV, it can still usually be used for less demanding energy storage purposes (e.g. solar and wind).
- Recycling: Once the battery has reached the end of its life, it is recycled. Firstly, a battery pack’s cells are removed and metals such as copper, cobalt, nickel and lithium are recovered. The remaining battery materials are either reused or recycled via conventional processes.
As the energy density of EV batteries increases over time, the ability to upgrade to the latest technology, without changing vehicles, is a very enticing prospect for consumers. It may go a long way in helping alleviate any “range anxiety” concerns associated with owning an EV.
Further, with the continued uptake of EVs, comprehensive recycling of their lithium-ion battery packs will become an essential part of keeping this new technology clean, and green. It will be interesting to see whether other EV manufacturers follow Renault’s lead.
Source/s: Renault, Group Renault, Renault UK.