Israel’s First Lithium Battery Recycling Plant Tackles Toxic Battery Waste
A new lithium battery recycling plant in southern Israel aims to solve the environmental problem posed by electric vehicle batteries packed with toxic materials. The facility, known as Batte-Re, is Israel's first electric vehicle battery recycling operation and has been established in Rotem Industrial Park near Dimona.
Founded two years ago by four entrepreneurs, Batte-Re is already processing batteries and turning them into a valuable black powder composed of nickel, manganese, cobalt, and lithium—essential metals for manufacturing new batteries. This black powder, which looks nondescript but is highly valuable, can fetch thousands of dollars per ton depending on its purity. It is considered a crucial resource that may rival oil as the next "black gold" due to its growing significance in the production of electric vehicle batteries.
The plant’s production line, which resembles a pharmaceutical lab, is designed to recover every bit of metal and dust. According to Tomer Aharon, Chief Operating Officer of Batte-Re, the recycling process is meticulous: “This is both because it’s valuable and because we don’t want to breathe it.” The plant processes batteries of all types—from scooters and e-bikes to large electric car and bus batteries.
“Every year, around 350,000 new vehicles hit the roads in Israel, and about 200,000 are taken off,” said Batte-Re CEO Ofir Avidan. Avidan explained that the current rate of recycling for traditional cars is insufficient, and with the shift towards electric vehicles, a different approach is necessary. Avidan emphasized that recycling must be professional and controlled to neutralize the dangers of toxic metals and convert these batteries from a burden into a valuable resource.
The company has chosen to focus initially on recycling batteries, although it plans to open a vehicle recycling facility in the future. Currently, Israel has around 100,000 electric vehicles on the roads, with the number expected to rise to one million by the end of the decade. Batte-Re believes that efficient battery recycling can make a significant contribution to Israel's circular economy.
The recycling process itself is purely mechanical and physical, with no chemicals involved. The plant is capable of separating the various components, yielding black powder, copper, aluminum, and plastic. All metals are sold, except for plastic, which has little market demand. The knowledge needed to dismantle and process electric vehicle batteries is different from that required for smaller devices, and Batte-Re is leading the way in developing these new skills.
However, the industry faces regulatory challenges. Avidan pointed out that while electric cars are excluded from Israel's electronic waste law, there is currently no law requiring battery recycling, unlike in many Western countries. “Right now, no law in Israel requires anyone to do anything,” Avidan said. He remains hopeful that regulations will be established soon to mandate proper recycling of electric batteries and vehicles. Until then, companies like Batte-Re are operating in what Avidan calls a "dangerous Wild West" of battery waste management.
The plant was officially inaugurated this summer, with Environmental Protection Minister Idit Silman in attendance. Batte-Re is optimistic about the future and anticipates competition as the market for electric vehicles grows and regulations tighten. “We know competition will come, and we’re ready for it,” Avidan said, explaining that the company aims to initially hold a 30% market share, eventually settling at around 10%, which will still be profitable.
