"The Greenhouse Effect is a reality and the automotive industry has a specific responsibility for coping with emissions of carbon dioxide," said Volvo chief executive officer Leif Johansson.

The energy currently used by the plant has a large fossil fuel component and by switching to biofuel and wind power Volvo intends to significantly reduce the company's emission footprint, as well as achieve energy savings of up to 20%.

Volvo is working with Goteborg Energi to construct five wind farms, raising Sweden's total wind power generation by 4%, and a biofuel plant in the Tuve vicinity by the end of 2007. The truck plant will remain connected to the local heating and power grid, with surplus energy being distributed to local consumers.

"This is not solely an admirable environmental effort," said Johansson.

"We also expect it will eventually be profitable on a purely commercial basis."

Volvo intends Tuve to be a pilot project, with an eventual conversion of all plants to zero-emission energy to fall within Sweden's stated goal of at least a 1% reduction of total emissions by 2010.

"This is an area in which Volvo can truly make a contribution," said Johansson.

"If all our plants in Sweden were made carbon dioxide-free, the reduction would correspond to a full 1% of Sweden's total emissions of carbon dioxide."

EnvironmentalManagementNews.net