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Audit-Ready Carbon Reporting for Battery Manufacturers

Track battery manufacturing facility energy, raw material supply chain emissions, and product lifecycle carbon for lithium-ion and fuel cell production.

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The Industry Hotspot: Manufacturing Energy and Raw Material Supply Chains

Manufacturing energy and materials dominate

Battery manufacturing carbon footprints concentrate in production facility energy and upstream raw material supply chains. Lithium-ion cell production requires energy-intensive processes including electrode coating, calendering, cell assembly in dry rooms, formation cycling, and aging. Cleanroom environments maintain low humidity consuming substantial HVAC energy. Raw materials dominate lifecycle footprint with lithium, cobalt, nickel, and graphite extraction and refining generating upstream emissions. Mining locations and grid carbon intensity affect material embodied carbon. Battery production in coal-heavy grids results in higher manufacturing footprints than renewable-powered facilities. Packaging and transportation add distribution emissions. Use-phase impact depends on application with EV batteries enabling emission reductions versus combustion vehicles. End-of-life treatment through recycling or disposal determines material recovery and emissions. NetNada tracks manufacturing facility energy by process area, aggregates raw material supply chain emissions by battery chemistry, calculates production carbon intensity per kilowatt-hour capacity, and supports lifecycle assessment for EV and grid storage applications.

SASB Industry Definition

The Fuel Cells & Industrial Batteries industry manufactures energy storage systems including lithium-ion batteries for electric vehicles and grid storage, fuel cells for stationary and transportation applications, and industrial batteries for backup power. Manufacturing includes raw material processing (lithium, cobalt, nickel), electrode production, cell assembly, and pack integration. Battery production is energy-intensive requiring cleanroom environments and precision manufacturing. Raw material supply chains including mining and refining generate substantial upstream emissions.

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Industry-Specific Carbon Accounting

No generic solutions. Metrics, data sources, and reporting aligned to Fuel Cells & Industrial Batteries operations.

Battery Manufacturing Facility Energy

Lithium-ion production consumes electricity for electrode coating, drying ovens, calendering rolls, dry room HVAC, cell assembly equipment, formation cycling, and quality testing. Dry room maintains low humidity preventing moisture contamination. Track energy per kilowatt-hour battery capacity produced. Benchmark facilities by chemistry and format. Implement process efficiency improvements. Source renewable electricity reducing manufacturing carbon intensity substantially.

kWh per kWh capacity produced

Raw Material Embodied Carbon

Battery materials including lithium hydroxide, cobalt sulfate, nickel sulfate, graphite, and aluminum have distinct upstream footprints. Lithium extraction from brine or hard rock mining plus refining. Cobalt and nickel from mining operations often as by-products. Graphite synthesis or natural graphite purification. Material processing location grid carbon intensity affects embodied emissions. Track material bills of material by cell chemistry. Apply supply chain emission factors by material source region. Calculate material footprint per kWh capacity.

Material emissions per kWh

Manufacturing Grid Carbon Intensity Impact

Battery production facility location affects Scope 2 emissions through local grid carbon intensity. Manufacturing in regions with coal-heavy grids results in higher carbon intensity per kWh capacity than production in renewable-powered grids. Compare facilities in different regions accounting for grid factors. Report renewable energy procurement reducing manufacturing footprint. Model production carbon intensity under scenarios of grid decarbonization or facility renewable energy adoption.

Manufacturing emissions by grid

EV Battery Use-Phase Emissions Calculation

Electric vehicle batteries enable emission reductions versus internal combustion vehicles during use phase. Calculate avoided emissions from EV operation compared to conventional vehicle baseline accounting for: Electricity grid emissions for EV charging. Gasoline production and combustion for conventional vehicles. Vehicle efficiency and driving patterns. Battery capacity enabling EV range and adoption. Report lifecycle emissions comparing EV with battery versus conventional vehicle. Avoided emissions depend on grid carbon intensity and vehicle use.

Avoided emissions per vehicle

Battery Recycling and Material Recovery

End-of-life batteries contain valuable materials recoverable through recycling. Pyrometallurgical or hydrometallurgical processes extract lithium, cobalt, nickel, and other metals. Recycling reduces virgin material demand with associated mining and refining emissions. Track battery collection rates and recycling yields by material. Calculate avoided emissions from recycled versus virgin materials. Report material circularity rates. Invest in recycling infrastructure and technology improving recovery economics.

Recycling material recovery rate

SASB RR-FC Metrics Automation

Auto-generate disclosure including gross Scope 1 and 2 emissions, energy consumption, percentage renewable energy, production capacity by battery chemistry, percentage of cobalt from responsible sources, and product safety incidents. Footnotes cite manufacturing locations and battery applications.

SASB RR-FC compliant

Product Features for Fuel Cells & Industrial Batteries

Use Carbon Data Uploader to import manufacturing utility bills, material sourcing data, production volumes, and bill of materials for automated battery manufacturing emissions. Learn more →

The Activity Calculator applies emission factors for electricity, lithium, cobalt, nickel, and graphite—calculating comprehensive battery manufacturing carbon intensity per kWh. Learn more →

Related Solutions

See our Carbon Accounting solution for end-to-end battery manufacturing emissions tracking from raw material supply chains through production and lifecycle impacts.

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Fuel Cells & Industrial Batteries Case Studies

How entities in this industry use NetNada to solve carbon accounting challenges.

EV Battery Manufacturer (Lithium-ion cells and packs, Automotive customers, Expanding production capacity)

Challenge

Automotive OEMs required battery carbon footprint disclosure for vehicle lifecycle assessments. Manufacturing emissions data tracked at facility level without product allocation. Raw material supply chain emissions uncertain with materials from diverse global sources. Customers comparing battery suppliers on carbon intensity.

Solution

Implemented product-level carbon accounting allocating facility energy to battery capacity produced. Engaged material suppliers requesting upstream carbon data for lithium, cobalt, nickel, and graphite. Applied region-specific supply chain factors where primary data unavailable. Calculated carbon intensity per kWh capacity including materials and manufacturing. Assessed renewable energy procurement reducing manufacturing footprint.

Result

Generated battery carbon intensity metric per kWh enabling customer lifecycle assessments. Obtained supplier carbon data for majority of material spending. Identified manufacturing electricity and cathode materials as largest footprint contributors. Signed renewable energy PPA for major production facility reducing battery carbon intensity substantially. Differentiated product offering through documented lower-carbon batteries supporting OEM climate targets.

Grid Storage Battery Developer (Stationary energy storage systems, Utility and commercial customers, Renewable energy integration)

Challenge

Utility customers evaluating storage projects requested lifecycle carbon accounting. Needed methodology demonstrating emission benefits from enabling renewable energy integration. Manufacturing footprint required quantification. Recycling plans for end-of-life batteries needed environmental validation.

Solution

Deployed lifecycle carbon accounting for grid storage products. Calculated manufacturing footprint from cells through pack assembly. Modeled use-phase impact of storage enabling renewable energy firming and fossil plant displacement. Assessed recycling pathways and material recovery benefits. Generated project-level carbon accounting for utility procurement.

Result

Established battery manufacturing carbon intensity per kWh capacity. Demonstrated net carbon benefit of storage projects through avoided fossil generation emissions exceeding manufacturing footprint over system lifetime. Provided utilities with project carbon assessments supporting clean energy procurement. Launched battery take-back program with recycling partners ensuring material recovery. Marketed storage systems with documented lifecycle carbon benefit supporting utility decarbonization targets.

SASB Disclosure Topics for Fuel Cells & Industrial Batteries

Material sustainability topics beyond emissions that investors and stakeholders expect disclosed per SASB standards.

Greenhouse Gas Emissions

environment

Track Scope 1 from manufacturing facility fuel combustion and process emissions. Report Scope 2 from electricity for production cleanrooms and equipment. Calculate Scope 3 from raw materials (lithium, cobalt, nickel, graphite), components, and distribution. Report emissions per kWh battery capacity produced.

Energy Management

environment

Monitor manufacturing facility energy intensity per kWh capacity. Report percentage of renewable energy in production. Disclose energy efficiency improvements and process optimization.

Raw Material Sourcing

social

Track percentage of cobalt from responsible sourcing programs. Monitor lithium and nickel supply chain audits. Disclose conflict mineral compliance and human rights due diligence.

Product Safety and Quality

social

Report battery safety incidents including thermal events and recalls. Disclose quality control testing protocols. Monitor warranty claims and performance degradation rates.

Recycling and Circularity

business model

Track battery recycling rates and material recovery percentages. Report take-back program participation. Disclose investments in recycling technology and infrastructure.

Product Lifecycle and Use-Phase

business model

Report battery energy density and cycle life performance. Disclose use-phase emissions from efficiency losses. Calculate avoided emissions from enabling EV adoption versus combustion vehicles.

NetNada tracks all SASB material topics, not just emissions. Our platform supports disclosure across environmental, social, governance, and business model topics relevant to your industry.

Fuel Cells & Industrial Batteries FAQs

Common questions about carbon accounting for this industry

How energy-intensive is lithium-ion battery manufacturing?
Battery cell production requires substantial electricity for processes maintaining quality and precision: Electrode coating and drying apply active materials to current collectors with thermal treatment. Dry room manufacturing maintains low humidity preventing moisture contamination requires continuous HVAC. Cell assembly including stacking or winding, electrolyte filling, and sealing. Formation cycling charges and discharges cells activating materials. Aging and testing verify performance and safety. Energy per kWh capacity varies by: Cell chemistry and format (pouch, cylindrical, prismatic). Manufacturing scale and efficiency. Cleanroom environmental controls. Grid carbon intensity affects Scope 2 emissions from electricity. Renewable energy procurement reduces manufacturing carbon footprint substantially without process changes. Track energy per kWh capacity as efficiency metric. Report renewable energy percentage.
Why are raw materials significant for battery carbon footprint?
Battery materials often represent largest portion of manufacturing footprint: Lithium extraction from brine evaporation or hard rock mining plus refining to battery-grade compounds. Energy-intensive processing. Cobalt and nickel mining often as by-products from copper or nickel ore. Refining to sulfates or hydroxides. Graphite either synthetic production from petroleum coke or natural graphite purification. Aluminum and copper for current collectors from metal production. Material processing locations affect embodied emissions: Lithium refining in coal-heavy grids versus renewable-powered facilities. Cobalt from Democratic Republic of Congo with specific supply chain emissions. Track material sourcing by origin and supplier. Apply region-specific emission factors. Reduction strategies: Recycled material content reducing virgin material demand. Material efficiency reducing cobalt content per kWh. Alternative chemistries using abundant materials.
Do batteries reduce net emissions despite manufacturing footprint?
Lifecycle analysis comparing battery-enabled technologies versus alternatives shows net benefit: Electric vehicles: Manufacturing footprint higher than conventional vehicle production. Use-phase emissions from grid electricity typically lower than gasoline combustion even with fossil-heavy grids. Breakeven mileage where EV total emissions equal conventional vehicle varies by grid but typically achieved within vehicle lifetime. Grid storage: Manufacturing footprint offset by enabling renewable energy integration. Storage allows solar and wind to displace fossil generation. Avoided emissions from displacing gas or coal plants exceed manufacturing footprint over system lifetime. Net impact depends on: Battery manufacturing grid carbon intensity and renewable energy use. Use-phase grid emissions or avoided fossil generation. Battery lifetime and degradation affecting total energy throughput. Report lifecycle comparisons showing technology-enabling benefits. Manufacturing footprint reduction through renewable energy and recycling important but use-phase benefit typically dominates for climate technologies.
Can battery recycling significantly reduce manufacturing emissions?
Battery recycling offers material recovery reducing virgin material demand: Recovery rates: Pyrometallurgical processes recover cobalt and nickel with lithium losses. Hydrometallurgical methods recover broader material set including lithium. Direct recycling aims to reuse cathode materials with minimal processing. Emission benefits: Recycled materials avoid mining and refining emissions from virgin production. Recycling processes have energy requirements but typically lower than virgin material production. Net benefit depends on recovery efficiency and recycling process energy. Challenges: Current recycling rates low due to limited end-of-life battery volumes. Economics depend on material prices and recycling costs. Collection infrastructure developing. Report: Material recovery rates by recycling pathway. Recycled content in new batteries. Avoided emissions from recycled versus virgin materials. Industry growth increasing end-of-life battery volumes improving recycling economics. Circular economy potential significant as battery production scales.
Should battery manufacturers report Scope 3 use-phase emissions?
Scope 3 Category 11 (Use of Sold Products) includes battery use-phase impacts with different considerations by application: EV batteries: Use-phase emissions from grid electricity for vehicle charging. Varies by regional grid carbon intensity and vehicle efficiency. Typically much lower than avoided gasoline combustion from displaced conventional vehicles. Report as lifecycle comparison showing net benefit. Grid storage: Use-phase efficiency losses from charge-discharge cycling. Minimal compared to enabled renewable energy integration benefits. Avoided emissions from displacing fossil generation. Backup power: Standby losses and maintenance charging. Displacement of diesel generator use in outages. Most manufacturers report: Lifecycle comparisons showing technology benefits versus alternatives. Avoided emissions from enabling decarbonization. Use-phase efficiency metrics. Calculation complexity and double-counting concerns: Storage enabling renewable energy benefits claimed by generator or storage provider? Customer electricity use already in their Scope 2. Focus disclosure on product carbon intensity and lifecycle enabling benefits.

Track Battery Manufacturing, Material Supply Chains, and Lifecycle Emissions

See how battery manufacturers calculate carbon intensity per kWh, monitor material sourcing, and generate SASB-aligned disclosures—automated from production and supply chain data.

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