■ SK On signs a business agreement with the Korea Automotive Inspection and Warranty Association on the 28th to take the lead in standardization of diagnostic evaluations

■ Improving consumer convenience by providing accurate valuation, building a basis for the virtuous resource cycle

SK On is joining hands with an expert organization to lead the standardization of used EV batteries by establishing a standard for evaluating their performances and residual values.

The company’s plan is to provide precise measurements of the lifespan and status of batteries, which take up 40% of the price of an EV, to offer accurate information to consumers and raise residual value evaluation technology to promote a virtuous cycle of battery resources.

SK On signed a “Business Agreement on Establishing Standards for EV Battery Status and Valuation” with Korea Automotive Inspection and Warranty Association (hereafter, KAIWA) at SK Building in Jongno-gu, Seoul, on the 28th.

Jeong Woo-seong, Head of e-Mobility Business Office, SK On, and Jeong Wook, President of KAIWA, attended the event.

The two parties agreed to establish evaluation standards and performance diagnosis methods to calculate the residual value of EV batteries. The two parties are expected to vitalize the used EV market through this agreement and provide accurate evaluations to improve market transparency.

SK On will be providing consultation regarding battery performance measure and diagnosis to the association based on its independently-developed artificial intelligence algorithm, known as Battery as a Service Artificial Intelligence (BaaS AI), which diagnoses a battery status. The company is planning to actively utilize its analytical skills and the vast amount of data that have been accumulated through cooperation with other companies in the EV industry.

SK On already has ongoing projects with used-car trade companies, K Car and AUTOHUB SELLCAR, a rental car company, SK Rent-a-car, and an EV charging platform, EV Infra, and more.

SK On is currently developing a battery life measuring technology that used-car dealers can start using from the second half of this year. It is regarded as a optimal technology for used car trading as it can assess the remaining battery life quickly and accurately.

SK On made the decision to sign this business agreement with the association because it recognized that there is still a lack of a reliable and reputable evaluation standard for EV batteries in spite of the rapid growth of the EV market. A standard for used-car performance inspections is currently based on that of internal combustion engine (ICE) vehicles. This means that the traditional inspection standard is not suitable for used EVs.

The Korea Automotive Inspection and Warranty Association is an organization established under the Ministry of Land, Infrastructure and Transport (MOLIT) with a goal of protecting consumers by inspecting used vehicles’ performance and condition and conducting investigations on their pricing.

Through this business cooperation, the two parties are planning to complete establishing the standards for valuation and diagnosing EVs. In the future, KAIWA plans to distribute a diagnostic device for used EVs, prepare for a general inspection standard on performance and condition of EVs, and suggest system adjustment to MOLIT.

“Performance diagnosis and residual value evaluations are the starting point of the virtuous cycle of battery resources,” stated Jeong. He added, “We will develop various business models that are eco-friendly while providing convenience for consumers in the future.”

[Photo] (Left) Jeong Woo-seong, Head of e-Mobility Business Office, SK On, and (Right) Jeong Wook, President of KAIWA, signed “Business Agreement on Establishing Standards for EV Battery Status and Valuation” with each other.