Safe Lithium Batteries

IAG aims to dispel battery fire myths

IAG is leading a global research project to create a best practice guide for the safe use and storage of lithium-ion batteries. The research aims to debunk misconceptions about battery fires and establish clear, practical safety guidelines for everyday use.

The insurer has teamed with experts from QUT, EV FireSafe, Standards Australia, iMOVE Co-operative Research Centre, and other global specialists to explore how lithium-ion batteries are managed in electric vehicles and micromobility devices such as e-scooters and e-bikes, in Australia and around the world.

The project will examine factors such as battery condition, charging practices, weather exposure and vehicle age. According to IAG research, battery fires in electric vehicles are rare, but there has been an increase in fires caused by lithium-ion batteries in e-bikes and e-scooters.

Shawn Ticehurst, Research Centre Head at IAG, said that the development of safety standards, regulations and the data needed to understand the risks associated with batteries has struggled to keep pace with Australia’s accelerating EV and lithium-ion battery market.

“This year, sales of EVs, including plug-in hybrids, made up nearly 10 per cent of all new car sales in Australia, while e-bikes now represent one-third of all bicycle sales. 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,” said Ticehurst.

“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,” he added.

The research findings are expected to be published in 2026.