Acculon Energy

Material Handling Power: A New Perspective on Energy and Efficiency

In warehouses, forklifts serve as the nervous center of the facility, where efficiency & precision dictate the productivity of operations. Among these silent workhorses, a shift is taking place that is reshaping material handling economics & efficiency. Join us as we dive into the driver of this transformation – the battery systems powering these machines.

Contact: Betsy Barry
Communication Manager
706.206.7271
betsy.barry@acculonenergy.com

Unlike passenger vehicles and other mobility applications, forklifts operate under a unique set of conditions. Their batteries do more than power movement; they also serve as counterweights to ensure equipment stability. Historically, lead-acid batteries have been the default choice for this industrial application, but the tide is turning. Lithium chemistries, known for their higher energy density and longer lifespan, are making inroads into this industrial stronghold, and for good reason.

A recent study by Link et al. conducted at the Fraunhofer Institute for Systems and Innovation Research (ISI) modeled a hypothetical use case for Class 1 forklifts, crafting a synthetic driving cycle to better understand energy consumption, battery sizing, and economic impact. Rather than simply mimicking actual cycles, the model incorporated realistic standby times, power needs per shift, and a rigorous 15-shift workweek (three shifts per day). The goal? To see how next-gen lithium-based battery systems stacked up against their legacy counterparts in both technical suitability and cost.

Moving away from lead acid battery systems for powering material handling applications presents an opportunity to create efficiencies in TCO and productivity that can offset the disruption of moving to new power sources in the age of electrification. That said, lithium chemistries are not the only contender for powering material-handling equipment like forklifts: sodium-ion battery systems offer yet another alternative into the mix. First, let’s look at the advantages that lithium-based (LIB) systems offer based on what we know about the two different battery systems. Then, let’s bring sodium chemistries into the mix to determine if they’re a viable alternative to lithium-based chemistries, specifically LFP.

The Case for Lithium-Ion: Eliminating Downtime

One of the most significant operational drawbacks of lead-acid batteries in an environment like a distribution center or warehouse is their need for frequent swapping. A single lead-acid battery cannot sustain an entire shift, meaning downtime for replacement and additional labor costs. A lithium counterpart, on the other hand, enables opportunity charging—recharging during breaks and other idle periods. With an estimated forklift energy consumption of 3 kWh per hour and 90 minutes per shift available for charging, LIBs can keep forklifts running continuously without the logistical headache of battery swaps.

Of course, this translates to economic impact–and a substantial one. By eliminating battery replacement downtime, LIB-powered forklifts save valuable working hours, improving overall efficiency. A deep dive into the numbers (See Link et al., 2024) revealed that lead-acid batteries require replacement approximately three times over a 6,000-hour operating period, while LIBs can last up to 20,000 hours. Maintenance is another deciding factor: Lead-acid batteries require servicing every 1,000 hours, whereas LIBs demand little to no maintenance at all.

From a market perspective, Lithium Iron Phosphate (LFP) cells have emerged as the preferred choice for industrial forklifts due to their cost-effectiveness. At less than 150 EUR/kWh, or 165 USD/kWh, LFP batteries make a compelling economic case, outpacing traditional lead acid batteries, especially in long-term operational savings and ROI.

As technology evolves, advantages like higher efficiency, reduced labor costs, & improved sustainability, are influencing the transition toward new battery technologies in the material handling industry.

Beyond Cost

The shift to LFP is not just about cost and efficiency; it carries significant environmental implications. Fewer battery replacements mean a lower carbon footprint, reducing waste and resource consumption. Given that LFP require fewer raw materials over their lifetime compared to the multiple lead-acid units needed for the same period, the sustainability argument further strengthens their case. 

Below is a table that outlines a 1:1 comparison of LIBs versus lead acid batteries (LABs) for forklifts.

Now that we’ve made the case for LFP over lead-acid, let’s briefly discuss another contender’s stats: sodium-ion batteries, or SiBs. LFP exhibits a higher cell-level energy density of 400 Wh/L compared to SiB’s 250 Wh/L, which translates into a higher pack energy for LFP versus SiBs. However, SiB shows superior fast charging, low-temperature (crucial for freezer applications), and high-power performance while having a cycle life similar to LFP life. This indicates that while LFP provides more energy per charge, SiB offers a competitive advantage for specific use cases.

From a cost perspective, SiB is emerging as a competitive alternative, particularly as manufacturing scales up and lithium prices fluctuate. While the upfront cost of LFP remains well-established and potentially lower for now, SiB’s cost per drive cycle or per battery unit may become advantageous in the long term. SiB’s fast charging and discharging capabilities mitigate the energy density trade-off with LFP, as the ability to recharge more quickly reduces downtime and enhances overall efficiency. Finally, SiBs excel in extreme temperature performance compared to LFP (high and low temps), making it a strong contender for hot/cold storage or extreme climate applications.

Considering environmental impacts, recent life cycle assessments highlight that SiB cells conducted by Acculon exhibit lower environmental impacts in several categories. SiB production results in approximately 75–87 kg CO2-eq/kWh, while LFP requires the least energy for production among all lithium-ion battery types. Both LFP and SiB have minimal damage potential across most environmental impact categories, with SiB gaining an edge due to its lack of cobalt, copper, or graphite usage. Additionally, sodium is approximately 1000x more abundant than lithium, creating a context for a more sustainable profile over time.

The Future of Forklift Power

As the material handling industry evolves, the adoption of advanced battery systems continues to rise. The numbers speak for themselves: higher efficiency, reduced labor costs, and improved sustainability all favor next-gen battery technology. While initial costs remain a consideration, the long-term benefits of advanced energy storage systems are undeniable. For warehouse managers and logistics professionals looking to optimize operations, the transition to LFP or sodium-ion forklifts is not just a trend—it’s the future of industrial efficiency.

The era of battery swapping and costly downtime is fading. The electrification era means that forklifts can work smarter, longer, and more sustainably. The warehouses of tomorrow will be powered by more than just energy; they’ll be powered by innovation.



Footnotes:

¹See Link, S., Stephan, M., Weymann, L., & Hettesheimer, T. (2024). Techno-Economic Suitability of Batteries for Different Mobile Applications—A Cell Selection Methodology Based on Cost Parity Pricing. World Electric Vehicle Journal, 15(9), 401.