PROPOSED SOLUTION

In order to address existing complexities in the EV ecosystem, we propose an integrated solution that includes:

BSVA – To identify scrap value and generate reports with charge details
Digital Value Software (DVS) (Blockchain backed) – To handle listed input from BSVA for existing and swapping battery, converting these reports to currency level, and adding service charges. This complete transaction can be handled with
help of e- billing
Charging and service station network – To develop a strong network of charging and service stations with access to the online solution

Now, let us understand these components in detail:

BSVA – To identify scrap value and generate reports with charge details

In EV, battery is a fundamental equipment. The vehicle motor uses battery as a source of charge, which generates power during operation. Due to continuous usage, battery charge lowers over time. Now, the user has two options - either recharge the batter or replace it. Charging the battery in a limited time is challenging currently. Although there are several fast chargers now available, charging the batter in less than thirty minutes is still an issue. In the automotive sector or transportation, less than thirty minutes is an optimal time to recharge. Vehicle runs continuously on highways to move goods from one place to another. Therefore, such vehicles need continuous power supply in order to charge the battery quickly and efficiently. In such a scenario, swapping – or simply put, battery replacement - is a good option.

Battery plays a major role in replacing the fuel tank. If we compare battery with fuel tank, the two differ in several functional aspects. The table below demonstrates these differences:

Function / Role	Battery	Tank	Remark on cost basic
Storage	Yes	Yes	NA
Chemical reaction	Yes	No	Adding cost
Material	More than 3	Metal	Adding cost
Life	2 to 5 Year	20 year	Capital investment
Technology	High	Low	Adding cost
Depreciation cycle	Fast	Slow	Adding cost
Temperature Effect	High	Low	Adding cost
S&V Effect	High	Low	Adding cost
Material Erosion	Fast	Slow	Adding cost

If you consider the above parameters, battery adds more maintenance and also reduces use time.

Function / Role	Electric Charge	Fuel (Petrol / Diesel)	Remark on cost basic
Storage	Yes	Yes	Low cost
Transportation	Yes	Yes	Low cost
Cost per unit or litter	Less	High	Low cost
Efficiency	High	20 year	Capital investment
Technology	High	Low	Adding cost
Source	Available with different option	Limited	Adding cost
Pollution	Low	High	Low cost
Market cost	Less	High	Low cost

ZAs we know, battery swapping is far faster than charging. This means that replacement is a better option. But this also brings new questions to the user’s mind:

What is the scrap value of my existing battery?
Is the new swapping battery older compared to my existing battery?
In which conditions has the swapping battery been used?
What is the lifespan left on the swapping battery?
For how long will the swapping battery hold charge
For how long will the swapping battery hold charge?

To address the user’s concerns, we need a trusted system as demonstrated below.

Lifecycle of battery

Before designing such a system, we must consider various parameters such as:

Depreciation - Depreciation is an accounting method of allocating the cost of a tangible or physical asset over its useful life or life expectancy
Chemical Aging - During a battery’s lifetime, its performance or “health” tends to deteriorate gradually due to irreversible physical and chemical changes that take place with usage
Technology – What techniques and technologies did the manufacturer use to build the battery?
Make – Who is the manufacturer?
Scrap value – What is the worth of a physical asset’s individual components when the asset itself is deemed no longer usable? An item’s scrap value—also called residual value, break-up value, or salvage value - is determined by the supply and demand for the materials that it can be broken down into.

What the industry needs is to work on the above parameters which direct affect battery life and are directly proportional to the current cost of the battery. A fool-proof system or technique to measure scrap value should define the battery value at every recharging. It should measure not only physical parameters but also other parameters listed above.

E-charge Platform

Once the BSVA is developed, we need a digital platform which can understand the different inputs from this system.

As the input is in a different form, it contains variable data like depreciation. This data may come in the form of the numbers related to date and time. Purchase date, current date, number of charges, physical impact, or any other factor which affects the depreciation value of the battery should be considered. Chemical aging is another factor which should be accounted for. The composition and variety of chemical parameters should be listed, and that data must be leveraged to decide the future shelf life of the battery.

Make or brand value, although not directly related to battery life, continues to hold an important place in the market and should also be accounted for.

Scrap value comes into the picture when existing battery has completed its lifecycle or is no longer good to use in an EV. In such cases, scrap value must get declared. After scrapping a battery, its parts may be reused for a different purpose. Therefore, ascertaining scrap value is a critical component of a battery lifecycle.

Salvage value is the last stage of battery life when there is no further use of that battery due to its physical condition. In such cases, the battery is usually destroyed. It can be recycled, and its recycling value must be ascertained.

Considering the above parameters, the e-charge platform should have the capacity to handle the data from BSVA. It should be able to take these data points and convert them into to currency value. Also, additional service charges should get added based on the standard operating procedure.

In summary, a blockchain-based e-charge platform should have the following capabilities:

Ingest data inputs from BSVA
Generate swapping battery BSVA report
Convert both reports it into currency value
Add service charges
Connect e-platform for transaction

Why Blockchain

Blockchain is a P2P network where no single participant or user controls the transaction. This power is distributed among all the participants in the network, which means no single stakeholder can hack, manipulate, or close the chain of blocks or can shut it down.

This technology is useful for the platform we are recommending. There are a large number of battery users as well as service providers in this ecosystem. Transaction of data from old battery to swapping battery needs to be carried out with the trust element intact. There may be a possibility that a user manipulates his battery data such as date of purchasing, usage or number of charges charge etc. These parameters influence the swapping battery purchase.

At the same time, charging stations can also manipulate swapping battery data and create a fraud transaction. In order to avoid such situations, blockchain principles come in handy.

In the case of our platform, it is very important that the data from either the side of the ecosystem is not manipulated in any way. Therefore, we recommend that the e-charge platform is designed on the back of blockchain principles.

Charging and Service Station Network

Energy Operator (EO) have a same role as the current day fuel stations. We can convert the existing fuel stations network as Energy Operator (EO). It is also possible that we have a value added battery swapping service in these EOs. We recommend the following services, skills, and capabilities at each EO for a trusted and transparent EV ecosystem:

Generate battery life certificate using BSVA
Have a Swapping Battery inventory
Information collection from vehicle and battery using a bar code system
The ability to load the above information on the cloud using an e-charge platform
Swap the battery and keep for charging platform for next use
Generate final report and handle the payment with the help of e-platform

The main responsibility of an EO is to provide a swapping platform for a variety of batteries, give access to the EV and perform the maintenance for swapping. The government or a controlling authority must have the following additional parameters when designing the EO:

Balance charge – Every user wants to know how much charge is present in the battery and what is its cost, while replacing the battery
Adding charge – Additional charge which the user is receiving during replacement and its cost
Strong network – To get hassle free service, charging stations must be available at every part of country
Capacity – Charging stations must be capable of handling different types of batteries and their maintenance

Minimal charging time – To avoid charging time, swapping the battery is a good solution which reduces how much time each EV user has to spend at the charging station
Service Time – Service time should be as less as possible
Cost - Cost of service must be fair and standardized by a central authority

Barcode data	Responsibility of EO	Cloud Data & New Data	Cloud Data Verification
From Vehicle	Current Vehicle no.	Match	Verify
From Vehicle	Battery Physical info.	Match	Verify
From Battery	Existing Battrey	Load BSVA data to cloud	Verify
From Battery	Existing Battrey	Generate new report (BSVA) of same battery	Load in E-Charge platform (ECP)
Swapping Battery	Swapping Battery	Load BSVA data to cloud	Load in ECP
Swapping Battery	Charge Data	Load BSVA data to cloud	Load in ECP
EO	Add Service charge	Add data	Load in ECP
ECP	Generate final report	Added Taxes	Final Payment
Payment	Collect Payment	Add data	Load in ECP