- Malaysia plans an Extended Producer Responsibility (EPR) scheme to manage nearly 900,000 EV batteries by 2050.
- EV makers will be required to collect, recycle, or repurpose end-of-life batteries.
- The government may offer tax breaks and grants to boost recycling tech and build a circular economy.
The quantity of electric vehicles (EVs) in Malaysia is increasing, yet worries about the disposal of EV batteries may threaten the environment and public health. In this regard, the government is starting talks with EV producers to tackle the expected buildup of close to 900,000 exhausted lithium-ion batteries by 2050.
Nik Nazmi Nik Ahmad, Minister of Natural Resources and Environmental Sustainability, revealed plans to implement an Extended Producer Responsibility (EPR) program for electric vehicle batteries. Under this plan, EV manufacturers would be responsible for managing their batteries at the end of their life, encompassing collection and recycling procedures.
"If you manufacture EVs, you will also be responsible for the batteries at the end of their lifespan," Nik Nazmi stated during a recent interview. This involves collecting the batteries for recycling or other purposes, and he stressed the importance of tackling the problem, pointing out that the quantity of EVs in the nation is anticipated to rise dramatically soon.
Environmental advocates also proposed setting up local recycling centers and adopting an EV battery passport system. The purpose of the battery passport is to track key battery information to improve resource management while ensuring batteries are reused, repurposed, or disposed of properly.
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The government is exploring possibilities for incentives, such as grants or tax credits, for companies that invest in recycling technologies or that utilize recycled content. There is also some push for manufacturers to have their recycling plants or work with local recyclers to enhance the circular economy ecosystem in Malaysia.
With Malaysia’s ongoing support for EV adoption, implementing comprehensive battery recycling and repurposing initiatives will be critical for limiting environmental threats and promoting development sustainably in this sector.