Six years after four engineering graduates began experimenting with used electric vehicle batteries in a British Columbia garage, their clean technology company has opened the largest second-life battery manufacturing plant of its kind. Moment Energy, founded in 2020 by Simon Fraser University graduates Edward Chiang, Gabriel Soares, Gurmesh Sidhu and Sumreen Rattan, has officially opened Megafactory 1 in the Vancouver region. The facility takes retired electric vehicle batteries that might otherwise end up in landfills and turns them into large-scale energy storage systems. The reused battery systems are now being used for backup power and energy storage at data centres, hospitals, manufacturing plants and remote microgrids across North America. The opening marks a major step forward for a company that began as a university spin-out project. According to SFU News, the team gained early financial support in late 2021 after raising $3.5 million in seed funding led by Version One Ventures. The company also received seed grants and support from Simon Fraser University’s Coast Capital Venture Connection incubator.
Turning used EV batteries into energy systems
Electric vehicle batteries are usually replaced once their capacity falls to around 70 to 80 per cent. While that level may no longer provide the driving range expected from a car, it can still provide enough power for stationary energy storage. Instead of sending these batteries straight to energy-intensive recycling facilities, Moment Energy checks, tests and combines the battery modules into modular storage systems. The company said its new plant became fully operational just six weeks after the project was publicly announced. According to information published on Moment Energy’s official website, its technology is designed to extend the useful life of batteries while offering lower overall cycling costs for businesses that need reliable power. “We announced this project six weeks ago. Today it’s operational,” Edward Chiang, co-founder and chief executive officer of Moment Energy, said in a statement announcing the plant’s opening. “Demand for energy storage is accelerating, and so is the supply of retired EV batteries. We show that the right technology can enable North America to re-onshore domestic manufacturing in weeks, not decades, creating thousands of jobs and economic prosperity.” The facility is expected to reach an annual production capacity of 1 gigawatt-hour of energy storage systems by 2030. Local officials estimate the plant will create more than 100 direct jobs and support more than 1,000 indirect jobs across British Columbia.
Safety approvals and government support
One of the biggest challenges in reusing electric vehicle batteries is meeting strict safety rules for commercial use. Reports by Sustainability Magazine and Connect CRE say Moment Energy became one of the first second-life energy storage companies to receive important safety certifications, including UL 1974 for battery repurposing and UL 9540 for complete energy storage systems. The company’s business model also depends on partnerships with major car manufacturers. A major agreement with Mercedes-Benz Energy created a supply system for retired electric vehicle batteries, giving Moment Energy a steady source of used battery packs directly from the automotive industry. The project has attracted major private and public investment. A $40 million Series B funding round took the company’s total capital raised to more than $100 million. Government support includes $4.9 million from Pacific Economic Development Canada, also known as PacifiCan. “This is exactly the kind of homegrown innovation we want to see in British Columbia,” Gregor Robertson, minister responsible for Pacific Economic Development Canada, said at the plant’s opening. “With PacifiCan’s $4.9 million investment, Moment Energy is expanding clean manufacturing, creating good local jobs, and finding smart solutions to global challenges.”
Helping meet rising power demand
The growth of second-life battery storage comes as electricity networks face rising pressure from grid upgrades, extreme weather and the huge amount of power needed for artificial intelligence and data centres. The technology is already being used in remote locations. At God’s Pocket Resort, an isolated diving destination off Port Hardy on Vancouver Island, Moment Energy installed an upcycled battery system that cut the resort’s reliance on diesel generators by 66 per cent. By placing second-life batteries near industrial sites, data centres and medical facilities, the company aims to help businesses reduce electricity costs during peak demand periods and provide backup power during emergencies without immediately relying on fossil-fuel generators. After expanding in Canada, Moment Energy is also developing a gigafactory in Taylor, Texas. The project has received a $20.3 million award from the United States Department of Energy and is expected to further expand second-life battery manufacturing across North America.