Volvo Cars has made a significant step towards achieving its ambition to make its global manufacturing network climate neutral by 2025. They announced that the Torslanda factory in Sweden is its first car manufacturing plant to reach a fully climate-neutral status. Surprisingly, the Torslanda plant is the second plant to achieve this feat. The first is the first being the Skövde engine plant in Sweden, which became climate-neutral in 2018.

Volvo Factory 2
Arial picture of the Torslanda plant

The Torslanda plant is the company’s oldest manufacturing unit and has been powered by neutral electricity since 2008. Volvo states that half of the plant’s heating from biogas. In contrast, the other half is predominantly sourced from district heating through industrial waste heat. Also, the plant constantly tries to reduce the amount of energy it consumes. Targeted improvements in its operations during 2020 resulted in annualised energy savings of almost 7,000 megawatt-hours (MWh), equal to the annual energy usage of over 450 Swedish family homes.

Volvo XC40 Recharge
The Volvo XC40 Recharge

As per Volvo Cars, a manufacturing site is declared as fully climate neutral when it registers no net increase in greenhouse gas emissions to the atmosphere due to the electricity and heating used by the plant. Also, to achieve their target of making all their factories climate neutral, the automaker has plans to upgrade the lighting and heating systems and other things, which will result in an additional annual energy savings of around 20,000 MWh by 2023. These play a part in a broader ambition for the automaker to reduce energy usage per car produced in its manufacturing network by 30 per cent in 2025.

Volvo C40
The Volvo C40 Recharge

The automaker also states that achieving its target of climate-neutral manufacturing operations needs the full support of local partners in government and business to access climate-neutral electricity and heating. In addition, Volvo Cars will develop its own renewable electricity generation capacity on-site. The automaker’s climate-neutral manufacturing target is part of the company’s climate plan. The centrepiece of the project is Volvo Cars’ ambition to electrify its entire line-up.

To know more about the future of Volvo in India, watch our interview with Jyoti Malhotra, Managing director of Volvo India by clicking here.