The second-life battery market is no longer a fringe concept - it’s a central component of Europe’s green and digital transition. But for it to flourish, it needs more than ambition. It needs reliable data, clear regulation, and industry-wide collaboration. The Digital Battery Passport brings all three - and the BASE project is proving what’s possible when we treat compliance as the start of the journey, not the end.

As Europe accelerates toward a cleaner energy future, batteries are at the heart of the transformation. But the conversation is no longer just about production - it’s about what happens after a battery’s first life ends. The concept of ‘second-life batteries’ is gaining traction, offering a powerful way to extend the value of battery assets, reduce waste, and build a truly circular economy. 

At the same time, new regulations are reshaping what’s possible - and required. The EU Battery Regulation (2023/1542) introduces the Digital Battery Passport (DBP) as a mandatory tool for industrial and EV batteries above 2 kWh, effective February 2027. These passports will enable traceability and accountability throughout a battery’s lifecycle, ensuring more responsible reuse and recycling.

But beyond compliance, the DBP could become a key enabler of the second-life battery economy -  helping businesses unlock value while meeting their sustainability obligations. This is a fundamental shift, however, compliance is only part of the picture.

Second-Life Batteries: The Circular Economy’s Sleeping Giant - and What’s Holding It Back

Second-life batteries are increasingly seen as a practical solution for repurposing EV batteries that still retain substantial capacity. Instead of becoming waste, these batteries are reused in applications where performance demands are lower - such as energy storage, backup power, or even mobile charging stations.

Across Europe, second-life batteries are beginning to power stationary storage systems, EV charging infrastructure, and even off-grid rural energy solutions. The appeal is clear: batteries that no longer meet EV performance requirements may still retain 70–80% of their capacity, making them ideal for less demanding applications.

Several major automotive manufacturers are already showing what’s possible:

• Nissan has repurposed LEAF batteries to power streetlights in Japan
• Renault has partnered with energy companies to reuse EV batteries in stationary storage for buildings and grids
• BMW uses second-life batteries in charging infrastructure and renewable energy projects
• Audi and Volkswagen are exploring reuse for off-grid applications and industrial backup systems

Yet the transition ‘from waste to value’ is not seamless. Today’s market is held back by several barriers:

• Data gaps make it difficult to assess a battery’s true state-of-health
• Lack of standard certification creates uncertainty for buyers and insurers
• Safety risks and unknown usage histories reduce trust in reused batteries

This is where regulation and innovation must converge - and where the BASE project provides a blueprint.

BASE: Building the Infrastructure for Second-Life Trust

The BASE project – The Battery Passport for Sustainability and Circularity was designed to prepare industry for the realities of the Digital Battery Passport - and to go further by enabling new business models. With a focus on practical tools, technical architecture, and interoperability, BASE supports a seamless data journey from a battery’s first life into its second.

At the heart of this effort are features like:

• A semantic hub for harmonising data across systems and actors
• SoX indicators to track battery state-of-health and safety metrics
• Traceability frameworks to ensure the DBP is continuously linked, even in second-life scenarios

BASE acts as both an enabler (building the tools industry needs) and a catalyst (driving adoption across the ecosystem). By piloting real-world use cases, the project helps stakeholders move from data chaos to data confidence - a critical step for scaling second-life applications.

Turning Compliance into Competitive Advantage

It’s easy to view regulation as a burden. But in this case, the Digital Battery Passport creates a unique opportunity: to align economic value with environmental responsibility.

Forward-thinking companies aren’t waiting until 2027 to act. They are already exploring and adapting their business models in how the DBP can enable them to:

• Accelerate reuse and resale models
• Reduce insurance and safety risks
• Improve end-of-life decision-making and resource recovery

In this context, BASE isn’t just helping industry adapt - it’s helping reshape the rules of engagement for battery innovation in Europe and beyond.

Conclusion: A Future Built on Circular Data

The second-life battery market is no longer a fringe concept - it’s a central component of Europe’s green and digital transition. But for it to flourish, it needs more than ambition. It needs reliable data, clear regulation, and industry-wide collaboration.

The Digital Battery Passport brings all three, and the BASE project is proving what’s possible when we treat compliance as the start of the journey, not the end.

The batteries of tomorrow won’t just store energy - they’ll carry a digital identity that powers trust, traceability, and transformation.

BASE is a 3-year long project being under the call ”HORIZON-CL5-2023-D2-02-03: Creating a digital passport to track battery materials, optimise battery performance and life, validate recycling, and promote a new business model based on data sharing (Batt4EU Partnership).” This project has received funding from the Horizon Europe Framework Programme (HORIZON) Research and Innovation Actions under grant agreement No 101157200.