Leaf battery trouble dents trade

This story first appeared in the April issue of EVtalk – CLICK HERE to download the magazine FREE

Sales of the Nissan Leaf have taken a hit after allegations of 30kWh battery degradation were revealed in a Flip the Fleet report and subsequent publicity.

The report and related media stories have contributed to a drop in interest from potential Leaf 30kWh customers – even Leafs in general, some dealers say.

Those contacted by EVtalk were reluctant to use their names. But some say the 30kWh issue has come as part of a triple hit to the industry.

That includes the discovery of stink bugs on some car import ships and the Lyttleton Port strike – more action is expected from April 20-25 – which have delayed the arrival of many imported vehicles such as the Leaf.

Even though the Leaf 24kWh and 40kWh models are unaffected by the battery allegations, one dealer says all Leaf enquiries have “dried up”.

Industry statements on the battery matter are expected soon and dealers say anything that resolves the issue would be welcome.

A joint statement from the Ministry of Transport, the New Zealand Automobile Association and others on the Government’s EV programme leadership group is expected any day.

But they are expected to leave the issue mainly to Nissan, which is doing its own internal investigation.
EV leadership group chairman and MOT chief executive Peter Mersi says the ministry is aware of the situation with the 30kWh Leaf and the work Flip the Fleet did.

“We received notification from them prior to them releasing their report.”

Mersi says it’s primarily an issue for Nissan to address.
“I think the recent decision of Nissan Japan to undertake an exchange programme reflects that.”

He’s referring to a move to have Nissan Leaf owners in Japan exchange their old batteries for refabricated ones under a new, fee-based system.

It will cover 24kWh, 30kWh and 40kWh batteries.

Nissan is using the battery refabrication capabilities of 4R Energy Corp, a company established through a joint venture with Sumitomo Corp, with a new factory in Namie, eastern Japan, serving as a global centre for 4R.

Old batteries are planned for energy storage systems and possibly for use in vehicles such as electric forklifts.

“As demand for electric vehicles grows, the number of used batteries will increase significantly,” Nissan says.

“Nissan hopes that by reclaiming these batteries, it can help lower battery replacement costs and heighten the used-car value of electric vehicles.
“This will enhance the electric-car ownership experience, which in turn will help promote their use, ultimately contributing to lower CO2 emissions.”

Mersi says he will welcome the results of Nissan’s review of the 30KWh battery issue when it is completed.

Nissan New Zealand managing director John Manley has been reported as saying a thorough internal investigation is being held into the allegations of excessive degradation of the Leaf 30kWh batteries.

No timeframe for the investigation has yet been publicised.

VIA chief executive and EV leadership group member David Vinsen led an industry delegation to Taiwan this month to check with battery makers about getting replacement batteries for EVs like the Leaf.

The visit coincided with the Taipei International Auto Parts and Accessories Show Trade Fair on April 11-14.

Meanwhile, potential Kiwi buyers of 30kWh Leafs are being cautious and dealers say the issue is affecting sales.

The 30kWh battery issue appears to have impacted on prices at auctions in Japan too.

One report suggests Nissan Leaf 30kWh prices in Japan are now around a million yen (NZ$12,845) when they are normally about Y1.3m to Y1.5m (NZ$16,700 to NZ$19,267) as Kiwi interest in obtaining them falters.

So how did the situation come about?
Flip the Fleet, a national “citizen science” coalition of more than 640 electric and plug-in vehicles owners who share data on the performance of their vehicles in New Zealand, says it had fielded an increasing number of queries from concerned 30kWh Leaf owners in the months leading up to the release of its report.

The owners had noted a fall in their battery state of health (SoH) or bars. Flip the Fleet enlisted help to get more battery scans. Its statistician, Dr Daniel Myall, and others in the organisation analysed the data.

The report released on March 16 alleged some two-year-old 30kWh Leaf battery packs were reportedly degrading at about three times the rate of the 24kWh variant and the problem appeared to be accelerating.

Flip the Fleet says it alerted Nissan and provided a draft report, estimating about 600 30kWh Leafs are on the road here with at least another 180 due.
“We do not know for certain what the underlying causes of the observed rapid decline are,” Flip the Fleet says.

It suggests a combination of elevated temperatures while the battery is highly charged could be a factor.

Rapid charging alone cannot explain the observations, Flip the Fleet says.

Insufficient testing has been done to determine whether the range is affected, it says.

“We advise all buyers of any EV model to always get a battery scan check before purchase, where possible.”

Consumer New Zealand says it believes owners with cars exhibiting the problem have a case for recourse under the Consumer Guarantees Act.
Meanwhile, in some good news for Nissan, its new Leaf has been named the “2018 World Green Car” at the 2018 New York International Auto Show (March 30-April 8).

Nissan says it remains on track to deliver the new Leaf to the New Zealand market next year.
More than 300,000 Leaf electric cars have been sold worldwide.

Visit flipthefleet.org

for more information.