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LCQ3: Handling of retired electric vehicle batteries
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     Following is a question by the Hon Frankie Yick (the Hon Paul Tse to ask on his behalf) and a reply by the Secretary for the Environment, Mr Wong Kam-sing, in the Legislative Council today (June 8):
 
Question:

     The Government has been actively promoting the popularisation of electric vehicles (EVs) in recent years. The current number of registered EVs accounts for 3.4 per cent of the total number of registered vehicles, and the number is expected to increase continuously. As EV batteries need to be replaced at an interval due to wear and tear, retired batteries that are not handled properly will cause serious pollution and harm to the environment. In this connection, will the Government inform this Council:
 
(1) how the authorities handled retired EV batteries (retired batteries) in the past five years, including the respective numbers of those reused and disposed of after being dismantled and treated;
 
(2) given that retired batteries can still store power, and the materials obtained after dismantlement are also of value, it is learnt that some countries have set up research centres to promote the reuse of batteries and support the battery recovery industry, of the Government's long-term policy on developing the retired battery recovery industry; and
 
(3) whether the Government will consider establishing a tracking system for EV batteries for the relevant government departments to track the whereabouts of batteries, thereby avoiding pollution caused to the environment due to improper handling of retired batteries; if so, of the details; if not, the reasons for that?
 
Reply:
 
President,
 
     My reply to the Hon Yick's question is as follows:
 
(1) Retired electric vehicle (EV) batteries (or waste EV batteries) are chemical waste regulated under the Waste Disposal Ordinance (Cap. 354) and its subsidiary Waste Disposal (Chemical Waste) (General) Regulation (Cap. 354C). Having to register as chemical waste producers (CWPs) with the Environmental Protection Department (EPD), battery waste producers must arrange for the appropriate packaging, labelling and storage of waste batteries, as well as the hiring of licensed chemical waste collectors to collect and deliver waste batteries to licensed chemical waste disposal facilities for proper disposal. All movements of chemical waste are required to be accompanied by completed "trip ticket" for monitoring and record purposes.
 
     As at now, a total of 15 EV retailers have registered as CWPs with the EPD, and they are required to engage licensed collectors to collect batteries retired from EVs under their brands. These retired EV batteries undergo proper preliminary treatment (e.g. sorting, discharging and insulating) and packaging at licensed chemical waste disposal facilities before their export to appropriate treatment facilities overseas, e.g. those in South Korea or Belgium, for recycling.
 
     In Hong Kong, there are currently seven chemical waste collectors licensed for the collection and delivery of retired EV batteries to four waste disposal facilities licensed for the treatment of waste EV batteries. The four licensed waste disposal facilities have an aggregate disposal capacity of about 12 000 tonnes waste EV batteries per year.

     For the past five years from 2017 to 2021, an annual average of some 24 tonnes of lithium batteries from vehicles were collected by licensed disposal facilities in Hong Kong and then exported to suitable facilities overseas for recycling.

     The EPD has conducted blitz inspections on the above-mentioned EV retailers, licensed collectors, and licensed disposal facilities and has collected waste EV batteries disposal data from them to ensure proper disposal of retired EV batteries. No irregularity was found so far. Furthermore, the EPD has conducted about 7 500 inspections at garages in the past five years and no illegal handling of retired EV batteries was detected. Also, the EPD has not received any public complaints against illegal disposal of waste EV batteries so far.
 
(2) The Environment Bureau announced the Hong Kong Roadmap on Popularisation of Electric Vehicles in March 2021 that set the policy direction of the introduction of a producer responsibility scheme (PRS) to further ensure the proper collection and handling of retired EV batteries. We are making reference to the international approach to prepare for the legislation of PRS.
 
     The development of second-life applications of retired EV batteries involves complex technologies, including different battery management systems for different types and brands of EVs, and different compositions and designs of EV batteries. At present, such technologies are still in the research or testing stage in different regions. The Government will closely monitor and make reference to international development so as to incorporate those arrangements that suits local context into the PRS in future which helps promote the recycling and second-life applications of retired EV batteries.

     To encourage the local development of relevant technologies, the Government's Green Tech Fund and Recycling Fund have granted a total funding of about $10 million to three projects related to second-life applications and recycling of retired EV batteries. These projects cover the development of a system for testing and evaluating the performance of different types of retired EV batteries, applications of retired EV batteries on power-grid stabilisation, and recycling of precious heavy metals from retired EV batteries. 
 
(3) We have kept abreast of the latest international proposals and policies in relation to the traceability of EV batteries. For example, under the Interim Measures for the Administration of Recycling Traction Batteries of New Energy Vehicles promulgated by the Mainland government, interim provisions on traceability management of traction battery recycling for new energy vehicles have been issued. They have proposed the establishment of an electronic integrated management platform to record all battery-related information such as sources, types, compositions, serial numbers of battery packs and owners' particulars, with a view to enhancing the traceability of the batteries. The European Union is also consulting its Member States on similar proposals for their subsequent incorporation into the relevant producer responsibility ordinances. We will continue to monitor closely the development in this aspect and consider incorporating those arrangements that suits the local context into our PRS in future.
 
     Thank you, President.
 
Ends/Wednesday, June 8, 2022
Issued at HKT 15:05
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