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Optimizing the Supply Chain for Recycling Electric Vehicle NMC Batteries Kasy, Fransisca Indraningsih; Hisjam, Muhammad; Jauhari, Wakhid Ahmad; Syed Hassan, Syed Ahmad Helmi
Jurnal Optimasi Sistem Industri Vol. 23 No. 2 (2024): Published in January 2025
Publisher : The Industrial Engineering Department of Engineering Faculty at Universitas Andalas

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (548.594 KB) | DOI: 10.25077/josi.v23.n2.p207-226.2024

Abstract

The rapid growth of electric vehicle production has led to increased waste batteries that can no longer be used. This increase causes environmental and economic challenges. Lithium-ion battery waste harms the environment as it contains toxic and flammable chemicals. New raw materials need to be procured economically due to the need for more infrastructure and a circular economy. Therefore, the solution to overcome the impact of the accumulation of lithium battery waste is to recycle the battery. Recycling end-of-life batteries is necessary to mitigate material supply risks, reduce demand for new materials, and mitigate harmful environmental and health impacts. This study aims to provide a conceptual model for the supply chain network design of electric vehicles' Nickel Manganese Cobalt (NMC) battery recycling process. We developed a mathematical model to determine the allocation of multi-product recycling products from multi-suppliers and other related entities such as manufacturers and landfills over multiple periods. The analysis method utilizes techno-economic investment feasibility analysis and load distance method. The problem in the recycling process supply chain network is formulated in a Mixed Integer Linear Programming (MILP) model. The MILP optimization results show that the proposed model produces a globally optimal solution for allocating NMC batteries. The application of this study is to provide a solution to the treatment of waste batteries from electric vehicle end-users in Java Island, Indonesia. In addition, it can develop economic opportunities in the waste battery recycling business in the electric vehicle industry. It is building a contribution to a sustainable electric vehicle battery management system by reducing the dependence on demand for new materials from mining and analyzing the sustainability of the NMC electric vehicle battery recycling process.