Why are lithium batteries cheaper than lead-acid batteries?

We note that despite the higher facial cost of Lithium technology, the cost per stored and supplied kWh remains much lower than for Lead-Acid technology. The reason is related to the intrinsic qualities of lithium-ion batteries but also linked to lower transportation costs.

Are lithium batteries more expensive than lead-acid batteries for off-grid solar solutions?

Many think lithium batteries are more expensive than lead-acid ones for off-grid solar solutions. But is that really true? We use lithium batteries in all our solutions because of their performance, longevity, and lower cost. So let’s do the math to see why this chemistry is the most cost-effective.

Are lead-acid batteries a better deal?

Here’s why many people think lead-acid batteries are a better deal: You get ~20 kWh of capacity for around $5,000 with typical deep-cycle marine-grade or AGM lead-acid batteries, but say, only ~10 kWh for around $4,000 with high-quality lithium ones. But we must look beyond the nominal dollar per kWh. All batteries die.

How much does a 12V battery cost?

Meanwhile, a casual search on Amazon found a set of four 12V lead-acid batteries that combine to create a 6.8 kWh battery bank for $1,000. To build an 18 kWh pack, you’d pay $3,000 plus materials, labor, and expertise to program the equipment.

Are lithium-based solutions cheaper than lead-acid solutions?

In summary, the total cost of ownership per usable kWh is about 2.8 times cheaper for a lithium-based solution than for a lead acid solution. We note that despite the higher facial cost of Lithium technology, the cost per stored and supplied kWh remains much lower than for Lead-Acid technology.

Can a lead-acid battery survive a 100% DoD?

And if you discharge a lead-acid battery to 100% DoD, it’ll be dead as a doornail. On the other hand, lithium batteries can survive a 100% DoD. A 90% DoD offers a good balance between usable capacity and longevity for most use cases. We set the DoD to 80% for clients who want a long-life pack. Let’s go the conservative route and set the DoD to 80%.