The crystal structure of nickel hydroxide comprises of a repetitive stacking of charge neutral layers AbC AbC AbC. A and C denotes the hydroxyl ions which are hexagonally close packed, while b denotes the divalent nickel ions occupying octahedral interstitial sites. The random incorporation of other layers, such as AcB, BaC, CbA, etc., within AbC AbC AbC... stacking sequence can lead to the formation of stacking faults. DIFFaX simulations show that each kind of stacking fault produces a characteristic pattern of non-uniform broadening of the peaks corresponding to the (h 0 l) reflections in the powder X-ray diffraction (PXRD) pattern of nickel hydroxide. The electrochemical property of each two types of stacking faulted nickel hydroxide is investigated. 2H(2) type of stacking faulted nickel hydroxide delivers better electrochemical activity compared to 3R(2) type stacking faulted nickel hydroxide. (C) 2008 Elsevier Ltd. All rights reserved.