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While I'm not a battery expert, I would suggest that you start by cleaning the top of the battery and battery posts. Use baking soda and water to clean and neutralize. You may want to also remove the battery clamps from the posts and wire brush the posts and inside of the clamps. Note: there is a specific tool -- very inexpensive-- made for cleaning battery posts and clamps. When reinstalling the clamps do not overtighten down on the posts. Just secure firm so that you can't turn the clamp on the post once it's tightened down.
The battery felt washers seem to work on my cars; however, I also coat the battery posts and clamps with lithium grease. Some use other types of grease or petroleum jelly (vaseline).
So, first clean then after assembled coat the top of posts and outside of the clamps. This should help keep the posts from oxidizing (white powder).
You can also run some tests on the battery to check it's capability, but it sounds to me like it's probably ok, just a bit of oxidation from the lead in the post.
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dnvolvo '89 765T 200K - '91 245 100K
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