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Whitepaper

Li-ion Battery Carbon Footprint within the Indonesian Context

Li-ion Battery Carbon Footprint within the Indonesian Context

A cradle-to-gate life cycle assessment of NMC622, NMCA and LFP lithium-ion batteries in the Indonesian context, modelled on a common cell and pack design across three raw material sourcing scenarios. The footprint converges at about 94 kg CO₂ eq. per kWh in the low-impact case, but can climb up to 3.6 times depending on raw material and energy sourcing.

A cradle-to-gate life cycle assessment of NMC622, NMCA and LFP lithium-ion batteries in the Indonesian context, modelled on a common cell and pack design across three raw material sourcing scenarios. The footprint converges at about 94 kg CO₂ eq. per kWh in the low-impact case, but can climb up to 3.6 times depending on raw material and energy sourcing.

Lydia Bridges

Lydia Bridges

Irdanto Saputra Lase

Irdanto Saputra Lase

Haley McKercher

Haley McKercher

IN SUMMARY

Sourcing, not chemistry, sets the footprint

Sourcing, not chemistry, sets the footprint

Indonesia is positioning itself at the centre of the global EV and Li-ion battery value chain, but moving downstream exposes producers to the EU Battery Regulation’s carbon footprint declaration. This whitepaper models NMC622, NMCA and LFP in Indonesia to show where emissions sit and where decarbonisation will count most.

  • Across the three chemistries, the low-impact footprint converges at about 94 kg CO₂ eq. per kWh (±3%). No chemistry is inherently more or less carbon intensive.

  • Over half of the climate impact comes from battery raw material sourcing. Nickel processing is the main hotspot for nickel-based batteries and Indonesia’s biggest decarbonisation lever.

  • Global averages hide the true impact. Raw material and energy sourcing alone can raise a single chemistry’s footprint by up to 3.6 times, so credible decarbonisation needs supply-chain-specific modelling, and acting early protects access to EU Battery Regulation markets.

Indonesia’s growing role in the battery value chain

Indonesia is the world’s largest nickel reserve holder and supplies more than 60% of global mined nickel. That endowment has driven a wave of downstream investment, including a joint venture between Indonesia Battery Corporation and CATL to produce 6.9 GWh of EV battery capacity, and BYD’s US$1 billion plant in Subang, West Java, with an annual target of 150,000 EVs.

Moving down the value chain brings exposure to tightening climate regulation. The EU Battery Regulation requires a carbon footprint declaration and a digital battery passport for rechargeable batteries above 2 kWh, covering EVs, industrial batteries such as battery energy storage systems, and batteries for light means of transport. For Indonesian producers, meeting these requirements is important for competitiveness and market access.

Battery supply chains are global and multi-tiered, and each chemistry has its own bill of materials, so embodied impacts can differ significantly. This whitepaper examines the product carbon footprint of three chemistries, NMC622, NMCA and LFP, across three raw material supply chain scenarios.

How the footprint was modelled

Minviro carried out a cradle-to-gate life cycle assessment following the principles of ISO 14040 and ISO 14044, using the Environmental Footprint (EF) 3.1 method in alignment with the EU Battery Regulation. The functional unit is one kWh of usable pack energy, from raw material extraction through to completed pack manufacturing in Indonesia. Use and end-of-life are outside the scope.

To isolate the influence of chemistry from manufacturer design choices, NMC622, NMCA and LFP were modelled on a common prismatic cell and pack architecture: 0.2 kWh cells, a 70.6 kWh pack and a 10% cell scrap rate. Chemistry-specific parameters were allowed to vary. Round-trip efficiency falls from 97% for LFP to 93% for NMC622 and 91% for NMCA, while LFP needs 7.01 kg of pack per kWh against 5.60 kg for NMC622 and 5.18 kg for NMCA.

Each chemistry was assessed across three raw material sourcing scenarios: low impact, high impact and very high impact (the last for NMC622 and NMCA only). The scenarios vary geography, ore type, processing technology, intermediate products and energy source. For nickel sulfate, the low-impact route is bioheapleaching in Finland, the high-impact route is high-pressure acid leaching (HPAL) in Indonesia, and the very high-impact route is the rotary kiln-electric furnace (RKEF) route in Indonesia. For cell and pack manufacturing, the low-impact scenario uses a 2035 grid prediction, while the others assume captive coal power.

The model was built in XYCLE, Minviro’s LCA software, and the results were compared against published literature and Minviro’s critical minerals database.

Where the emissions sit

Under the low-impact scenario, the three chemistries converge at approximately 94 kg CO₂ eq. per kWh (±3%), so no chemistry is inherently more or less carbon intensive. Divergence grows in the high-impact scenario, where results vary by ±8% around a midpoint of 223 kg CO₂ eq. per kWh, with LFP lowest and NMC622 highest. Introducing RKEF-derived nickel raises the footprint of nickel-based packs to roughly 3.6 times the low-impact result.

Cathode and anode active material production accounts for approximately 50% of the total impact. That makes Scope 3 supply chain decarbonisation as important as lower-carbon cell, module and pack manufacturing.

The main hotspots

  • Nickel: in NMCA cathode active material, nickel is about 20% of the impact in the low-impact scenario and over 70% in the very high-impact scenario, where the absolute impact rises nearly seven-fold per kg of material. Indonesian RKEF nickel is nearly four times as carbon intensive as Indonesian HPAL and over twenty times more than Finnish bioheapleaching, with coal combustion the largest contributor.

  • Cobalt: in NMC622 cathode active material, cobalt rises from about 5% of the impact (Finnish bioheapleaching) to over 15% under Indonesian HPAL. Cobalt from HPAL has a climate impact nearly twenty times that of bioheapleached cobalt, driven by coal electricity.

  • Lithium: in LFP cathode active material, lithium carbonate rises from about 15% of the impact (Chilean brine) to over 25% (Chinese lepidolite), where the lithium chemicals have roughly five times the impact, largely from electricity for beneficiation.

  • Graphite: typically 5–15% of the pack impact. Inner Mongolian synthetic graphite made by the Acheson process is up to five times more carbon intensive than the North American natural route.

  • Energy: powering pCAM and CAM synthesis and cell and pack assembly is a consistent driver, and matters most in low-impact scenarios. The 2035 grid forecast cuts impact by over 35% against a coal-only baseline, but its renewable share is only about 30%.

Under the low-impact scenario, the three chemistries converge at approximately 94 kg CO₂ eq. per kWh (±3%), so no chemistry is inherently more or less carbon intensive. Divergence grows in the high-impact scenario, where results vary by ±8% around a midpoint of 223 kg CO₂ eq. per kWh, with LFP lowest and NMC622 highest. Introducing RKEF-derived nickel raises the footprint of nickel-based packs to roughly 3.6 times the low-impact result.

Cathode and anode active material production accounts for approximately 50% of the total impact. That makes Scope 3 supply chain decarbonisation as important as lower-carbon cell, module and pack manufacturing.

The main hotspots

  • Nickel: in NMCA cathode active material, nickel is about 20% of the impact in the low-impact scenario and over 70% in the very high-impact scenario, where the absolute impact rises nearly seven-fold per kg of material. Indonesian RKEF nickel is nearly four times as carbon intensive as Indonesian HPAL and over twenty times more than Finnish bioheapleaching, with coal combustion the largest contributor.

  • Cobalt: in NMC622 cathode active material, cobalt rises from about 5% of the impact (Finnish bioheapleaching) to over 15% under Indonesian HPAL. Cobalt from HPAL has a climate impact nearly twenty times that of bioheapleached cobalt, driven by coal electricity.

  • Lithium: in LFP cathode active material, lithium carbonate rises from about 15% of the impact (Chilean brine) to over 25% (Chinese lepidolite), where the lithium chemicals have roughly five times the impact, largely from electricity for beneficiation.

  • Graphite: typically 5–15% of the pack impact. Inner Mongolian synthetic graphite made by the Acheson process is up to five times more carbon intensive than the North American natural route.

  • Energy: powering pCAM and CAM synthesis and cell and pack assembly is a consistent driver, and matters most in low-impact scenarios. The 2035 grid forecast cuts impact by over 35% against a coal-only baseline, but its renewable share is only about 30%.

What it means for decarbonisation and market access

Decarbonising HPAL operations is the largest single process lever for nickel-based chemistries. A sensitivity analysis progressively replaced coal power in Indonesian HPAL production of nickel sulfate and cobalt sulfate with 25%, 50% and 75% renewable electricity. At 75%, the high-impact pack footprint falls by about 15% for NMC622 and 13% for NMCA, and across a 70.6 kWh pack this could abate up to 2.5 tonnes of CO₂ eq.

The routes need different levers. For HPAL, the focus is renewable power in place of coal and lower-carbon petrochemical inputs. For RKEF, where coal is used as a reductant and fuel and releases CO₂ directly, it is lower-carbon reductant alternatives alongside renewable energy.

Nickel has over 15 production routes, and the same route-specific thinking applies to other critical minerals, so decarbonisation strategies need to be commodity- and technology-specific. Switching procurement to lower-carbon sources, such as from HPAL to bioheapleaching, is a major Scope 3 opportunity. With about half of the impact in raw materials and half in cell, module and pack manufacturing, both need attention.

As the EU Battery Regulation’s carbon footprint declaration and digital battery passport take effect, a battery’s embodied impact becomes a direct determinant of market access. A carbon footprint threshold has been indicated for the coming years. Indonesia’s battery sector is early but expanding quickly, leaving a narrow window to embed low-carbon choices before high-carbon assets lock in. A credible benchmarking exercise against European and Chinese supply chains would help show both the risks and the competitive position.

Decarbonising HPAL operations is the largest single process lever for nickel-based chemistries. A sensitivity analysis progressively replaced coal power in Indonesian HPAL production of nickel sulfate and cobalt sulfate with 25%, 50% and 75% renewable electricity. At 75%, the high-impact pack footprint falls by about 15% for NMC622 and 13% for NMCA, and across a 70.6 kWh pack this could abate up to 2.5 tonnes of CO₂ eq.

The routes need different levers. For HPAL, the focus is renewable power in place of coal and lower-carbon petrochemical inputs. For RKEF, where coal is used as a reductant and fuel and releases CO₂ directly, it is lower-carbon reductant alternatives alongside renewable energy.

Nickel has over 15 production routes, and the same route-specific thinking applies to other critical minerals, so decarbonisation strategies need to be commodity- and technology-specific. Switching procurement to lower-carbon sources, such as from HPAL to bioheapleaching, is a major Scope 3 opportunity. With about half of the impact in raw materials and half in cell, module and pack manufacturing, both need attention.

As the EU Battery Regulation’s carbon footprint declaration and digital battery passport take effect, a battery’s embodied impact becomes a direct determinant of market access. A carbon footprint threshold has been indicated for the coming years. Indonesia’s battery sector is early but expanding quickly, leaving a narrow window to embed low-carbon choices before high-carbon assets lock in. A credible benchmarking exercise against European and Chinese supply chains would help show both the risks and the competitive position.

FAQ

Li-ion battery carbon footprint: your questions answered

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Answers to common questions about the carbon footprint of Li-ion batteries in the Indonesian context and what drives it.

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The team behind your insights

Lydia Bridges

Lydia Bridges

Senior Sustainability Consultant

Lydia Bridges is a Senior Sustainability Consultant at Minviro, working with clients across the raw materials and technology sectors to deliver life cycle assessment studies and environmental impact analysis. She holds an MGeol in Geology and has a background in geology, geochemistry and mineral processing development.

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Irdanto Saputra Lase

Irdanto Saputra Lase

Senior Sustainability Scientist

Irdanto is a Senior Sustainability Scientist at Minviro, holding a joint PhD from Ghent University and Maastricht University specialising in sustainable recycling systems. With experience as a visiting scientist at the Joint Research Centre of the European Commission, he has provided advisory services for policymaking. At Minviro, he focuses on waste-LCA recycling methodology research, develops Li-ion battery recycling models, and contributes to Carbon Capture Storage & Utilisation initiatives.

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Haley McKercher

Haley McKercher

Sustainability Consultant

Connect

Lydia Bridges

Lydia Bridges

Senior Sustainability Consultant

Lydia Bridges is a Senior Sustainability Consultant at Minviro, working with clients across the raw materials and technology sectors to deliver life cycle assessment studies and environmental impact analysis. She holds an MGeol in Geology and has a background in geology, geochemistry and mineral processing development.

Connect

Irdanto Saputra Lase

Irdanto Saputra Lase

Senior Sustainability Scientist

Irdanto is a Senior Sustainability Scientist at Minviro, holding a joint PhD from Ghent University and Maastricht University specialising in sustainable recycling systems. With experience as a visiting scientist at the Joint Research Centre of the European Commission, he has provided advisory services for policymaking. At Minviro, he focuses on waste-LCA recycling methodology research, develops Li-ion battery recycling models, and contributes to Carbon Capture Storage & Utilisation initiatives.

Connect

Haley McKercher

Haley McKercher

Sustainability Consultant

Connect

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