8 minute read
INTERVIEW
As latest analysis shows the lead battery industry is a key economic driver for Europe, Hoppecke CEO Marc Zoellner tells John Shepherd about his company’s investment in a new batteries brand, a production line in Poland and why the EU may be…
Learning to love lead
The ‘eurocrats’ who set the European Union’s energy and environmental policies in Brussels have not always looked kindly on lead batteries.
It is often overlooked that lead battery technology is, quite literally, the driving force in the cars that transport politicians and other officials to and from their places of work in the various EU institutions each day. But you would not think that when lithium battery tech is all that appears to be trumpeted across the EU corridors of power in citing ‘sustainable mobility’ achievements.
But is the EU now learning to love lead? It certainly should — in terms of economic value to the bloc alone.
The latest investment boost for the sector has come from Hoppecke, one of Europe’s oldest, independent lead battery manufacturers and its CEO, Marc Zoellner, is more than optimistic about the future of the technology within and beyond European shores.
In the spring, Hoppecke launched production of a new line of pure lead AGM batteries at a newly-built plant in Poznan, Poland. The pace of the project was impressive, considering the decision to build the facility was only taken less than two years ago.
Speaking to Batteries International for this interview just weeks before going to press, Zoellner said: “We are in the process of starting up production and beginning to deliver the first batteries to our customers.
“We are proud that we took the brave decision while still in the Covid period to build a new plant, despite the travel and other restrictions that were in place at that time.”
The target market for the new ‘grid | Xtreme VR’ batteries line — which Hoppecke says represents “the highest level of development of today’s lead acid storage technologies” — are UPS systems in data centres and for backup power in telecom applications. The batteries are designed as top and front terminal versions.
“The market we have identified is already growing, we can see that with the increased use of digital technologies, so our foresight and work is already paying off. Data centres and telecoms infrastructure in particular depend on high performance batteries and Poznan will supply those sectors,” Zoellner says.
“Digitalisation is one of the major trends that can have a positive impact on our industry and another big trend is the increasing need for the storage of data and communications, which
DO IT CARL!’ — THE HOPPECKE LEGACY
Earlier this year saw the launch of the Battery Council Internationalbacked Women in the Global Battery Industry — an organization of professionals founded to promote and develop the growth of women in the battery industry.
And it was the efforts of a woman nearly a century ago that led to the launch of one of Europe’s best known battery manufacturers, Hoppecke.
The company credits the start of its more than 90 years of history to a “strong woman” — Auguste Zoellner.
In 1927, Auguste urged her 62-year-old husband, Carl, who was a major merchant from Cologne, to channel his efforts into boosting the economic prospects of the region and in turn helping those affected by unemployment with the words: “Do it, Carl!”
Carl chose two fir trees as the company’s logo, with their trunks linked by a crossbeam to form the letter ‘H’ and to show the connection to the region of Hoppecke, where the company was founded.
Four generations later and there is still a family member at the helm — Marc Zoellner. His great grandfather, grandfather and father were his predecessors, all as CEO and company shareholders.
“We are proud to be one of the remaining private battery companies in Europe. There were around 25 in the days of my predecessors, my father for example, but the sector is a smaller industry now,” Zoellner says.
“However, there are some privatelyowned battery companies and supplier companies around, so it really is still a strong industry and there are a lot of initiatives from those private companies that keep this industry thriving. We also have very good integration in working with the big internationals and other companies through associations like EUROBAT.”
In 1927, Auguste urged her 62-year-old husband, Carl, who was a major merchant from Cologne, to channel his efforts into boosting the economic prospects of the region and in turn helping those affected by unemployment with the words: “Do it, Carl!” will become only more important in the future with the use of artificial intelligence (AI) and electromobility.
“We see big demand ahead for lead batteries such as ours in what is a growing market. AI is just at the starting point, there will be many applications and we want to serve a part of that market.
“All these will require an energy infrastructure that is safe and secure in ensuring the transmission and storage of date and that is just one area where batteries such as ours will be needed.”
“From our point of view, the back-up power market will outgrow other battery markets and that’s why we thought we should come out with a new product, offering better performance, a longer lifetime and better economics in terms of production and operation.”
Meanwhile, Zoellner says the company has developed a “whole new range of products” based on pure lead technology and is continuing to manufacture its standard battery products at its sites in the villages of Hoppecke and Bremecketal in western Germany.
Zoellner, who is also president of EUROBAT, the European association for manufacturers of automotive, industrial and energy storage batteries, is philosophical when asked about the EU’s apparent ‘problem’ with seeking to regulate against lead batteries while encouraging greater investment in lithium and other technologies.
“I think this perspective is changing. The single biggest political importance in the EU today is the ‘Green Deal’ and its policy objectives (such as reducing climate change and enhancing circularity). The Green Deal requires increased reliance on renewables and the storage of electricity — and for that you need electrochemical storage.
“That in turn broadens the view from a policy perspective, because you are then not only looking at specific elements of materials, but at storage technologies themselves. In terms of lead batteries, you are looking at an industry that has been established for a very long time and one that manages the circular economy well. In fact, it has the highest recycling rate of a metal globally, so this technology has many good things to offer.
“I think that in the past, from a political point of view, lead was looked at more in terms of the materials it used and the potential hazards associated with that.
“But now, I think politicians and
others are looking at lead batteries more as electrochemical storage facilities that do the job they are designed to do well. They also see these batteries as a probable blueprint for developing new technologies, too. So, I personally, as an entrepreneur, see a bright future for lead batteries.”
Although predominantly a lead battery manufacturer, Hoppecke added lithium to its portfolio nearly 20 years ago to supply industrial trucks, rail and bus systems and largescale storage systems.
Three years ago, a sister company — Intilion — was formed in Paderborn, Germany, devoted to the lithium batteries market.
Intilion’s focus is on industrial battery storage systems for stationary applications such as peak-shaving, load levelling and grid support to support the increasing share of renewables as well as electric mobility. Besides that, the Hoppecke group has developed high voltage battery systems for trains and other heavy duty applications.
“Just as we continue to innovate with lead batteries, we can also contribute to new applications for the integration of renewables through Intilion,” Zoellner says.
But Hoppecke’s core business remains focused on lead batteries which, as an independent report released in April noted, is worth an estimated €15 billion ($16 billion) of value added or gross domestic product a year to the European economy.
The report — Economic Contribution of the European Lead Battery Industry* — said the downstream industry activity driven by the use of lead batteries was worth €7.3 trillion of gross domestic product across retail, construction and healthcare.
And about €2 billion worth of country exports of lead acid batteries from the 27 EU member states are consumed by non-EU countries, such as the UK, Switzerland, and China, the report said.
Zoellner says: “As CEO of Hoppecke, I see this industry as one that has a bright future and one that contributes to the challenges the energy sector faces. The battery industry is one of movement, investment and innovation and is very much a living industry.”
* Consulting firm EBP was commissioned to compile the report by the International Lead Association
The way they were: Hoppecke in 1935
Hoppeke’s new facility in Poland
EUROPE’S LEAD BATTERY INDUSTRY — THE FIGURES
The European lead battery industry (battery manufacturing, container and separator manufacturing, accessories, assembly equipment, recycling, primary lead producers and mining companies) directly employs approximately 31,700 workers.
In addition, it supports about 75,000 jobs in other companies supplying into this industry and 77,500 jobs from worker spending in different industries. Together, these total over 184,000 jobs. Beyond jobs, the European lead battery industry annually supports the following 4: • €7.6 billion in labour income • €14.7 billion in GDP • €36.5 billion in output or overall economic impact, and • €1.9 billion in social security payments.
The industry also contributes to wider economic growth by enabling households and businesses to be more productive. Numerous downstream industries rely on lead batteries to operate, with the largest users being motor vehicle repair, construction, and transportation. (€1=$1.05)
Source: Report: Economic Contribution of the European Lead Battery Industry by EBP US
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