Insurance Australia Group (IAG), Australia’s largest general insurer, is leading a global research project to create a best practice guide for the safe use and storage of lithium-ion batteries. The research seeks to debunk misconceptions about battery fires and establish clear, practical safety guidelines for everyday use.
The insurer is teaming up with experts from the Queensland University of Technology, EV FireSafe, Standards Australia, iMOVE Co-operative Research Centre, and other global specialists to explore how lithium-ion batteries are managed in electric vehicles (EVs) and micromobility devices such as e-scooters and e-bikes, both in Australia and around the world.
IAG Research Centre Head, Shawn Ticehurst says that as Australia’s EV and lithium-ion battery market accelerates, the development of safety standards, regulations, and the data needed to understand the risks associated with batteries has struggled to keep pace.
“This year, the sales of EVs, including plug-in hybrids made up nearly 10% of all new car sales in Australia, while e-bikes now represent one-third of all bicycle sales,” Mr Ticehurst said.
“This research will provide critical insights on how to safely store, handle and dispose of the increasing number of lithium-ion batteries as they reach the end of their life, helping to prevent incidents that pose a risk to life and property safety.”
According to IAG’s research, battery fires in electric vehicles remain rare, but there has been an increase in fires caused by lithium-ion batteries in e-bikes and e-scooters.
“This new project will help us educate Australians on the risks of lithium-ion batteries, including how they can fail due to incorrect use, damage, or abuse,” Mr Ticehurst said.
“By developing practical safety guidelines, we aim to help everyone use and store these batteries confidently while minimising the risks.”
The project will investigate battery fire risks in EVs and micromobility devices, including e-scooters and e-bikes, by examining factors such as battery condition, charging practices, weather exposure, and vehicle age.
“With the growing availability of more affordable EVs, the number of Australians purchasing them is increasing rapidly, making it crucial to understand the key factors impacting battery health,” Mr Ticehurst said.
“There are many knowledge gaps we’ll be exploring through global collaboration, which will be key in developing effective best practice strategies. Among those are understanding how stored EV battery packs can fail following extended exposure to weather, methods for containment of burnt or damaged packs, and exploring whether there’s a correlation between EV age and fire risk.”