As lithium-ion devices including e-scooters, e-bikes and portable power banks become a staple in Australian homes, safety experts are warning of growing fire risks linked to untested products from online retailers that fail to meet Australian safety standards.
With forecasts showing that by 2026, the average household will contain around 33 devices powered by lithium-ion batteries1, Australians are urged to buy from trusted suppliers and follow safe charging practices.
Research to Close the Safety Gap
IAG, Australia’s largest insurer whose brands include NRMA Insurance, CGU, WFI, ROLLiN’ and RACQ Insurance is leading a research project with experts from QUT, EV FireSafe, Standards Australia and iMOVE. The goal is to understand and reduce battery-related risks, inform national standards, and develop practical safety guidelines for everyday use.
Early findings show fire risk rises significantly when batteries are damaged, exposed to saltwater flooding, charged incorrectly, or subjected to repeated impacts – a common issue with devices like e-bikes and e-scooters.
Shawn Ticehurst, Head of the IAG Research Centre, says the rapid growth of Australia’s lithium-ion battery market is outpacing the development of safety standards.
“Consumers can easily purchase low-quality, often untested products online, and they aren’t getting the information they need about safe charging practices.
“By better understanding how battery condition and charging habits contribute to fire risk, we can help establish the guidelines needed to keep people safe.”
Learnings from New York
Professor Joshua Watts, Head of QUT’s Energy Storage Research Group (ESRG) and project partner with IAG, says Australia can learn from overseas examples of effective regulation.
“We recently met with the New York City Fire Department to understand their approach. Between 2021 and 2023, New York recorded nearly 30 fatalities and hundreds of injuries linked to lithium-ion battery fires,” Professor Watts said.
“To tackle the surge in fires, the city introduced strict safety measures and invested over $1 million in a public education campaign.
“Today in New York, retailers can no longer sell e-bikes or batteries unless they meet UL accreditation, a national safety standard. Refurbished batteries are banned, and retailers who repeatedly offend can be shut down. The measures have worked. By 2024, fatalities in New York had fallen to six.”
EVs Safe, but Smaller Devices Pose Risk
While small battery-powered devices are sparking concern, batteries in electric vehicles (EVs) are proving to be much safer.
“There’s virtually zero fire risk if an undamaged EV is charged correctly,” said Mr Ticehurst.
“EV battery fires are extremely rare – they have advanced Battery Management Systems that prevent overheating and overcharging, and the packs are built with strong, fire-resistant casings that stop heat from spreading.”
Towards Safer Use and Disposal
Professor Watts says the research will not only inform safety standards but also address how to safely dispose of batteries reaching their end-of-life.
“We’re investigating whether older batteries pose greater fire risk, and how everyday charging and storage habits affect long-term safety.
“The waste and recycling industry estimated there are 12,000 fires each year in Australia, mainly in trucks and at waste facilities caused by improper disposal. Batteries power our modern lives, and their role will grow as we cut carbon. But without care, they can cause serious harm,” he said.
iMOVE, Australia’s national centre for transport and mobility R&D, is also a partner in the project. Managing Director Ian Christensen said the research will help balance sustainability and safety.
“Electrification is critical to cutting transport emissions,” Mr Christensen said. “This work helps us understand and manage the unintended risks that come with more electric devices.
The full research findings are expected to be published in 2026.
Fact sheets:
IAG Battery Basics for Safer Homes (e-bikes, scooters and power tools) – Fact sheet
IAG Battery Basics for EVs – Fact sheet
About the Research:
The research project is supported by a range of partners who are contributing insights and expertise. They include:
QUT’s Energy Storage Research Group (ESRG) is leading national research programs focused on battery technology, standards, safety, and commercial translation. ESRG is also managing the delivery of the research program with support from project partners.
Standards Australia, an independent, non-governmental, not-for-profit organisation, leads the development and adoption of standards in Australia, working to align national standards with global practices.
EV FireSafe, an Australian company funded by the Australian Department of Defence, specialises in EV battery fires and emergency responses. It has established the world’s
iMOVE is Australia’s national centre for transport and mobility research and development. A not-for-profit organisation funded by the Federal Government’s CRC Program and its project partners.
About IAG
IAG is the parent company of a general insurance group with operations in Australia and New Zealand. IAG’s main businesses underwrite over $17 billion of insurance premium per annum under many leading brands, including: NRMA Insurance, RACV (under a distribution agreement with RACV), RACQI (under a distribution agreement with RACQ), CGU and WFI (Australia); and NZI, State, AMI and Lumley (New Zealand). For further information, please visit www.iag.com.au.
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