Written evidence from ZPN Energy Limited (BEV0007)

BEIS Committee

Call for evidence – Batteries for electric vehicle manufacturing

Background to ZPN Energy

  1. ZPN Energy (“ZPN”) is a leading provider of energy solutions mainly to the commercial and institutional sectors. ZPN has developed from a business creating battery-backed EV charging systems to a company which offers an overall turnkey solution to energy management requirements. 
  2. With its expertise in battery-backed EV charging ZPN understands how battery storage can be integrated into wider energy management solutions to allow: 

a)      Operation in grid constrained areas 

b)      The use of lower cost renewable energy sources 

c)       The use of cheaper off-peak grid power 

d)      The opportunity to generate additional EV charging income 

e)      Greater energy resilience and independence 

  1. ZPN’s product offering falls into 5 core areas: 

f)        Rapid and ultra-rapid battery integrated EV chargers 

g)       High power energy storage 

h)       Rapid and ultra-rapid mobile EV chargers 

i)         Grid enablement 

j)         Business and home energy management systems 

 

ZPN’s battery requirements

  1. ZPN requires batteries to provide storage for its charging units as well as for the wider “solutions” which involve renewable generation, storage, EV charging and business power usage. These “solutions” are provided to corporate and other customers to allow them to manage their energy provision.
  2. Currently ZPN’s batteries are provided by capable Chinese suppliers  as there is no UK supply and other European supply is significantly more expensive.
  3. A UK based, competitively priced battery supplier would be of significant benefit from a logistical and well as geopolitical angle.

Non-automotive uses for batteries

  1. As can be seen above ZPN’s use of batteries is not directly on vehicle but supports EV roll out. In addition our use of battery storage supports the increased use of renewable energy generation by allowing that renewable energy to be used when required not just at the time of generation. Our solutions can provide commercial businesses with localised power generation and storage giving them greater energy security as well as reducing the cost per kw.
  2. We see increased demand for battery storage from the commercial sector over the next 10 years.

Home energy systems

  1. ZPN can also offer systems to the domestic housing market where battery storage would allow significant increases in solar energy generation capacity on most houses thereby reducing the domestic demand on the grid as well as providing increased opportunity for rapid (rather than the current slow) charging of EVs at home. These systems will require battery storage which could be new batteries or “second life” batteries from EVs or elsewhere.
  2. We see increased demand for battery storage from the domestic sector over the next 10 years.

Military battery use

  1. We have received a number of potential opportunities with parts of the UK military looking to EV charging, battery storage and energy management solutions. One of the key requirements we understand is for limited or nil Chinese sourced components.
  2. The lack of UK based, competitively priced battery supply will mean that the UK military is dependent on no UK supply which is likely to be at a significantly higher price.

Consequences of lack of UK manufactured battery storage

  1. In our view the consequences of having no battery manufacturing in the UK will be as follows:

k)      Increased dependence on China and far eastern supplier

l)        Greater geo political risks

m)    Greater supply chain risk – Suez canal blockages, port blockages, etc

n)      Increased prices due to demand outstripping supply