Retired electric car batteries cost 11 to 28% less than new ones at African mini grids, but the saving depends on lasting 7 years

CrossBoundary Advisory tested reused batteries against new ones at mini grid sites in South Africa, Nigeria and Democratic Republic of Congo and found the reused pack 11 to 28% cheaper to buy. A separate United States project measured retired Nissan Leaf battery modules at an average of just 71% of their original health when pulled from the car, near the top of what a buyer should expect rather than the middle.

11 to 28%3cheaper upfront than a new battery, tested at mini grid sites in South Africa, Nigeria and Democratic Republic of Congo
71%4average health of over 1,000 retired Nissan Leaf battery modules when tested for reuse in a United States project
462kilowatt hours of storage a modeled rural grain mill for 2,000 people needs

The test that actually measured it

A mini grid is a small power system that serves a village or a cluster of businesses without connecting to the national grid. CrossBoundary Advisory, a firm that finances and researches mini grids, tested reused electric vehicle batteries against new batteries at mini grid sites in South Africa, Nigeria and Democratic Republic of Congo. Buying a reused battery cost 11 to 28% less upfront than buying a new one.

Second life batteries represent smart resource optimization.

Tombo Banda, Managing Director and Innovation Lab Lead at CrossBoundary Advisory. Source 3.

Over the full life of a mini grid, CrossBoundary found the saving can reach 18%, but only if the reused pack lasts 7 years or more. A pack that instead needs replacing after 6 years erases much of that advantage, cutting the lifetime saving by 15 to 18% over 15 years.

Economics hinge entirely on how well batteries are managed in the field.

Charles Sweetland, Data Analytics Lead at CrossBoundary Advisory. Source 3.

Why the 7 year mark is not guaranteed

Whether a reused pack reaches 7 years depends on how much life was left in it when it left the car. A United States project tore down and tested more than 1,000 retired Nissan Leaf battery modules before building a working microgrid from them, and found their average health at retirement was 71% of original capacity. The team says 71% is likely close to the best a buyer should expect, not the middle, since much published work assumes packs retire around 80% health.

How long each battery type is modeled to last in a mini gridAt leastUp to
Second life lithium pack6 to 8 yearsLead acid battery3 to 5 years0246810years

These are modeled averages from 1 study, not measured lifespans. CrossBoundary Advisory treats 7 years as the point a reused pack must clear to keep its cost advantage over a new one.

Source 1.

Show the numbers
Second life lithium pack6 to 8 years
Lead acid battery3 to 5 years

A separate 2014 modeling paper put a reused lithium pack at 6 to 8 years of second life, meaning years of use after leaving the car, against 3 to 5 years for a lead acid battery doing the same job. Those are modeled averages, not measurements, and both sit above the 7 year mark CrossBoundary treats as the line a pack must clear to keep its cost advantage.

Whether one pack fits one mill

No source in this set has built and measured a mill running on a reused car battery, so sizing the job means comparing 2 models rather than reading 1 measurement. A 2025 engineering study modeled a grain mill, a machine that grinds cereal into flour, for 2,000 people, milling about 932 kilograms of grain a day over 7 hours, and found the best matched storage size to be about 46 kilowatt hours. The 2014 paper puts a reused electric car pack at 24 to 75 kilowatt hours when it leaves the vehicle. The mill need sits inside that range, supporting the idea that 1 reused pack could cover it, but nobody has actually built and measured that combination.

A modeled rural mill sits inside the size range of a reused car batteryReused car battery, modeled rangeRural mill, modeled storage need
02040608024Reused pack,low end46Mill, storageneeded75Reused pack,high endkilowatt hours

The pack range comes from a 2014 modeling paper, source 1. The mill figure comes from a separate 2025 modeling paper, source 2. This chart compares the 2 studies, it is not a measurement of 1 pack running 1 mill.

Source 1.

Show the numbers
Reused pack, low end24
Mill, storage needed46
Reused pack, high end75

What the power actually costs

The same mill study compared 4 ways to power it. Solar power backed by a battery cost 0.25 dollars a kilowatt hour, and a grid connection cost 0.19 dollars, both cheaper than a diesel generator at 0.56 dollars or a diesel engine driving the mill directly at 0.50 dollars. Solar and battery power also produced the least carbon dioxide of the 4, 3,191 kilograms a year against 14,484 kilograms for the diesel generator.

Cost of the energy used to run a rural grain mill, by power source
Diesel generator0.56Diesel engine, direct drive0.50Solar power and battery0.25Grid connection0.1900.20.40.6dollars per kilowatt hour

Modeled costs for a hammer mill serving 2,000 people. The study does not model a reused battery, only a lithium ion battery generally.

Source 2.

Show the numbers
Diesel generator0.56
Diesel engine, direct drive0.50
Solar power and battery0.25
Grid connection0.19

A new pack is also cheaper than it looks

The reused pack case is measured against a moving target. BloombergNEF measured the global average price of a new lithium ion battery pack at 108 dollars per kilowatt hour in 2025, down 8% from 2024 and down 93% in real terms since 2010. As new packs keep getting cheaper, a reused pack has to keep clearing that lower bar, and the unknown 7 years, to stay worth the risk.

Sources

  1. Driving rural energy access, a second life application for electric vehicle batteries. Hanjiro Ambrose, Dimitry Gershenson, Alexander Gershenson and Daniel Kammen, Environmental Research Letters, volume 9, article 094004. Published 2014-09-23. Accessed 2026-09-02.
  2. Investigative study on energy solutions systems for cereals milling in Sub Saharan rural areas based on an optimal design using multi objective NSGA II. Ruben Zieba Falama and Yanxia Sun, Engineering Research Express. Published 2025-02-17. Accessed 2026-09-02.
  3. Second life batteries offer up to 28 percent cost savings for mini grid storage while advancing Africa electrification goals. CrossBoundary Innovation Lab, CrossBoundary Advisory. Published 2025-07-30. Accessed 2026-09-02.
  4. Development and demonstration of microgrid system utilizing second life electric vehicle batteries. Joseph Lacap, Jae Wan Park and Lucas Beslow, Journal of Energy Storage, volume 41, article 102837. Published 2021-09. Accessed 2026-09-02.
  5. New record lows for battery prices. Colin McKerracher, BloombergNEF. Published 2025-12-19. Accessed 2026-09-02.

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