The United States Department of Energy and Swedish Energy have announced that they plan to work with Volvo on the development of alternative drivelines. A 3-year grant will be awarded to the Volvo Group to fund the development of hybrid technology and drivelines for alternative fuel.
The proposed co-operation will last three years and follows a one-year research agreement between Volvo and the Swedish and US governments that began in June 2007. The key area of the co-operation will be reducing heavy vehicles reliance on fossil fuels through research and development projects in the areas of energy efficiency, drivelines for alternative fuels and hybrid solutions.
Leif Johansson, Volvo Group’s CEO remarked. “The climate issue and increasing fuel prices make energy use and energy efficiency some of the most important societal issues of our time. The transportation industry has a special responsibility and this research and development co-operation with the U.S. Government is crucial in our efforts to develop the drivetrains and technology required by both our customers and society as a whole”.
The US government and the Swedish Energy Agency expect to each invest a total of $9million USD during the three years during the co-operation. The Volvo Group, for its part, has undertaken to invest an amount corresponding to $18million USD which means that the complete investment in research and development within the framework of the co-operation agreement amounts to $36million USD.
