The Big Business of Sustainable Energy Recycling

Published on 3 February 2024 at 20:42

The Big Business of Renewable Energy Recycling

As adoption of renewable energy rapidly scales up, proactive recycling efforts are crucial to manage the coming wave of end-of-life solar panels, wind turbine blades, batteries, and other components. This represents a massive business opportunity if recycling infrastructure and regulations are established. With the right strategies, renewable energy recycling could generate over $15 billion in annual revenue by 2030 while recovering valuable materials, reducing emissions, and supporting domestic green jobs. 



The global transition to renewable energy is accelerating, driven by falling technology costs and intensifying climate policies. The International Energy Agency (IEA) forecasts renewables will represent 90% of new power generation through 2025. While this growth is positive for decarbonization, it also means large volumes of solar panels, wind turbine blades, electric vehicle (EV) batteries, and other products will reach obsolescence in the coming decades. For example, JinkoSolar estimates their panels have a useful lifespan of 25-30 years. Proper end-of-life management of these components is crucial.


Fortunately, robust recycling represents an opportunity to recover valuable embedded materials in renewable technologies while also reducing environmental impacts. This report provides a comprehensive overview of the market segments and economics shaping the nascent but fast-growing renewable energy recycling industry.

Solar Panel Recycling 

Rapid growth of solar energy as an emissions-free electricity source has also led to a fast accumulation of end-of-life panels. IEA analysis shows global solar waste volumes will jump from 250,000 tons in 2020 to over 1.7 million tons by 2030, then triple by 2050. While often referred to as "solar panel waste," their materials and components make panels a valuable input for recycling.  


Typical crystalline silicon solar panels contain glass, polymer encapsulants, aluminum, and small amounts of silver and other metals. Up to 90% of these materials can potentially be recovered and resold through recycling. Polysilicon and silver are especially valuable at current market prices. Polysilicon accounted for nearly half the manufacturing cost of panels in 2010, although its share has decreased as production scaled up.


The EU estimates the value of recoverable materials from solar panels will be €450 million to €200 million in 2030 and 2050 respectively, even after processing costs are accounted for. Governments are also establishing solar panel recycling mandates to guarantee this recovery and prevent hazardous waste. The EU's Waste Electrical and Electronic Equipment (WEEE) Directive mandates panel recycling rates above 80% by 2025.


Early movers in panel recycling include Veolia (France), First Solar (USA), and Reiling GmbH (Germany). Commercial processes first manually dismantle panels then use mechanical shredding and advanced sorting to separate glass, silicon, and metals for resale. R&D efforts continue to develop improved techniques. The National Renewable Energy Lab (NREL) recently demonstrated a 95% efficient process combining crushing, heating, and airflow separation.  


Despite this progress, major challenges remain in profitably scaling up recycling. Panels installed decades ago lacked modern design features that ease dismantling, such as quick-release frames. Recycling costs can also still outweigh recovered material value, creating less incentive. Public policy measures like disposal fees on new panel sales could help bridge this price gap. 

Wind Turbine Blade Recycling

Similar to solar panels, installed wind energy capacity is projected for major growth in the coming decades, driving a concurrent rise in end-of-life blades. Current generation turbine blades average around 55 meters long and 10 tons. Fiberglass and other composite materials form the bulk of today's blades, with carbon fiber growing as a share. 


The sustainability nonprofit Circular Energy estimates over 720,000 tons of blade material will need recycling in the US and EU by 2030. WindEurope forecasts double that amount by 2050. While most installed blades have years of life left, early examples are now reaching obsolescence. The first major landfill disposal of blades (10,500 tons) occurred in Casper, Wyoming in 2019, highlighting the urgency for recycling solutions.


Thankfully, up to 85% of blade materials can be recycled into products like cement aggregate. Fiberglass has high value for reuse in auto parts manufacturing and other markets. Top companies in wind blade recycling include Global Fiberglass Solutions (USA) and Veolia (France). Their processes combine techniques like shredding, hammer milling, pyrolysis, and solvolysis to break down epoxy polymers binding the fibers. 


One key obstacle has been blades not being designed for recyclability from the start. Biobased resins and sustainably reinforced materials can create eco-friendlier blades that are easier to eventually repurpose. Leading OEMs like Vestas (Denmark) now have blade takeback programs for refurbishment and recycling. Policy measures creating Extended Producer Responsibility can also incentivize these closed-loop designs.  


As the most mature recycling segment, experts recommend wind power investments as a model for solar and batteries. Sufficient recycling facilities must be preemptively established before waste volumes surge. This helps avoids CO2 intensive options like landfilling or cement kiln incineration. 


Electric Vehicle Battery Recycling 


Finally, the fast growing electric mobility sector will be a major source of lithium-ion batteries requiring recycling. EV sales are projected to climb from 3 million worldwide in 2020 to 11 million by 2025. As these vehicles reach 10 years old, their degraded battery packs will become available for materials reclamation and reuse.


Lithium-ion batteries contain high value elements like lithium, nickel, cobalt, and graphite. These metals and minerals are expensive to mine traditionally. Recycling battery packs can yield metal at 10-20% the cost of fresh extraction. Lithium recovery rates from recycling now average 92%.


Consulting firm Circular Energy Australia calculates the global market for recycled battery materials will reach $11 billion per year by 2030. Leading EV automakers like Nissan and Renault have launched in-house recycling programs to reclaim old batteries. Third party recycling companies are also expanding rapidly, including Redwood Materials (USA) and Li-Cycle (Canada). 


Proactive policies will be important to build proper collection systems and prevent unsafe disposal of this hazardous e-waste. The EU recently passed battery regulations that mandate a minimum 65% recycling rate by 2025. Car and battery manufacturers are also optimizing new pack designs to simplify disassembly and material recovery. 


Conclusions & Recommendations 


In summary, renewable energy recycling has massive potential for economic value and reduced environmental impacts if the right strategies are followed: 


- National and state governments should establish mandates and incentives for responsible end-of-life management of solar panels, wind turbines, batteries, and other products. Disposal fees on new sales can help fund compliance. 


- Companies across renewable energy supply chains must design components with recyclability in mind, using safer and easily separable materials. 


- Investments should rapidly scale up recycling facilities and R&D efforts to bring down costs through innovation and economies of scale. 


- Public awareness campaigns can promote proper disposal and combat illegal dumping of hazardous e-waste.  


- International standards can define ethical handling of exports like used EV batteries sent abroad for recycling.


This proactive approach can ensure the renewable energy boom also sparks a new domestic recycling industry that generates jobs and returns materials back to the economy. By turning end-of-life components into economic inputs, companies can maximize resource efficiency while enabling the continued growth of clean energy.


- Informative Solar 


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