Swappable batteries for electric trucks: Octopus and CATL's plan

What happened?

Octopus Energy, the British energy company known for its commitment to renewables, and CATL, the Chinese battery giant, have announced the creation of Swaptopus, a joint venture that will deploy battery swapping infrastructure for electric trucks in Europe. The first hubs will start operating in 2027 in the UK, and by 2035 there are expected to be more than 30 large centers across the continent. According to the companies, the network will be able to serve more than 300,000 electric trucks and mobilize over £30 billion in private investment.

Battery swapping allows a depleted pack to be replaced with a fully charged one in minutes, avoiding the long waits of conventional charging. CATL manufactures batteries for commercial vehicles of up to 1,000 kWh, about 20 times the capacity of an average electric car. The technology has already been tested in China with positive results, where CATL operates more than 1,000 swapping stations for light and heavy commercial vehicles, accumulating over 1 billion kilometers traveled with this system.

Why is it important?

Road freight transport is one of the hardest sectors to decarbonize. In Europe, it accounts for about 25% of total transport emissions, and diesel trucks are responsible for over 60% of freight transport emissions. Electric trucks are already competitive in operating costs compared to diesel: according to a study by Transport & Environment, the total cost of ownership (TCO) of a long-haul electric truck could match diesel by 2025 without subsidies. However, their mass adoption clashes with long charging times (2 to 4 hours with 350 kW fast chargers) and the lack of adequate infrastructure. Battery swapping removes that obstacle: a truck can change its battery in the same time it takes to refuel with diesel (about 5-10 minutes), maximizing time on the road and reducing range anxiety.

Moreover, the batteries stored in the hubs can act as virtual power plants, charging when the grid has surpluses (e.g., during low demand or high renewable generation) and returning electricity during peak hours, a model known as vehicle-to-grid (V2G). This reduces operating costs and improves grid stability. Octopus Energy already has experience in this area with its AI-based energy management and electricity trading software platform, which optimizes battery charging and discharging based on electricity market prices.

Consequences and context

The alliance between Octopus and CATL is not an isolated case. In recent years, several companies have tried to promote battery swapping for heavy vehicles. NIO, the Chinese electric car manufacturer, has deployed over 2,000 swapping stations in China for passenger cars, but its model has not expanded to Europe with the same force. For trucks, the US startup Ample has developed modular swapping stations, although its focus is more on urban fleets. In Europe, the European project Battery Swapping for Heavy-Duty Vehicles (BS4HDV) is exploring technical standards and business models, but has not yet reached commercial scale.

CATL has already tested its swapping technology for trucks in China under its CATL Swap brand, where it operates stations that can swap batteries of up to 400 kWh in less than 5 minutes. The expansion to Europe with Octopus represents a qualitative leap: Octopus brings its knowledge of the European energy market, its customer base (over 7 million homes and businesses), and its technology platform. Additionally, Octopus already has experience in electric mobility through its subsidiary Octopus Electric Vehicles, which manages fleet charging and offers dynamic tariffs.

The project could transform long-haul logistics, currently dominated by diesel. However, success will depend on the standardization of batteries among truck manufacturers, something that is not yet resolved. Currently, each manufacturer (Volvo, Daimler, MAN, Scania, etc.) uses its own battery formats and management systems. Swaptopus will need to convince multiple manufacturers to adopt a common design or develop modular adapters. The location of hubs will also be key: they must be situated at strategic points on logistics routes (ports, distribution centers, borders) and have sufficient grid capacity. Although the figures are ambitious, 300,000 trucks represent a small fraction of the total European fleet (about 6 million trucks), but if the model works, it could scale quickly.

What readers should know

• Timeline: first hubs in 2027 in the UK; full network with over 30 hubs by 2035.
• Capacity: 30 hubs designed to serve 300,000 electric trucks, each with battery storage capacity equivalent to a virtual power plant.
• Investment: over £30 billion in private investment over the decade, according to company estimates.
• Technology: batteries up to 1,000 kWh swappable in minutes, with intelligent thermal management and charging systems. CATL will supply the batteries and swapping technology, while Octopus will manage energy and grid integration.
• Added value: hubs act as grid storage, reducing costs and improving stability. Additionally, Octopus plans to offer grid balancing and energy arbitrage services.
• Regulatory framework: the project will benefit from European transport decarbonization policies, such as the Fit for 55 package, which requires 55% emission reductions by 2030 and a ban on new diesel truck sales from 2035.

"Electric trucks already beat diesel on running costs, the challenge is keeping them moving. Battery swapping changes that." — Greg Jackson, CEO of Octopus Energy.

The initiative represents a step forward for heavy transport electrification, but technical and market challenges remain. Swaptopus will need to convince manufacturers and carriers that this model is viable and profitable in the long term. If it achieves standardization and scale, it could replicate the success battery swapping has had in China, where over 10,000 electric trucks with swappable batteries are already in operation. Europe is watching closely: the future of freight transport could be a five-minute battery change.