Our greatest challenge
Company presentation
2009, Corporate
Communications
1
2012-05-23
Lennart Pilskog
Director Public Affairs
Branschdagarna Stockholm 2012
Our greatest challenge
2
2012-05-23
The Volvo Group
Volvo Group
Mack Trucks Renault Trucks UD Truck Volvo Buses Volvo Construction
Equipment Volvo Penta Volvo Aero
Volvo Financial
Services Volvo Trucks
Our greatest challenge
3
Volvo Trucks
• Represented in more than
140 countries
• 2300 customer contact points
• Commercial transport solutions
for all major industries
• A part of the Volvo Group
– a global provider of commercial transport solutions
Our greatest challenge
Company presentation,
Corporate
Communications
4
2012-05-23
Quality Safety Environmental care
A company driven by strong core values
Our greatest challenge
Company presentation,
Corporate
Communications
5
2012-05-23
Quality
A truck must be available
24 hours a day, 7 days a week
Our greatest challenge
2012-05-23
Volvo Trucks
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Public Affairs, Lennart Pilskog
7 2012-05-23
Our greatest challenge Strategies for a sustainable future
Our greatest challenge
2012-05-23
Volvo Trucks
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Three serious concerns
The depletion
of natural resources
The acceleration of
global warming
The effects of
exhaust emissions
Our greatest challenge
2012-05-23
Volvo Trucks
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Energy needs will double in 30 years
• Increasing population
• Improved standard of living
• Globalisation
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Legislation, a powerful green resource
• New emission restrictions 2013
• Hundredfold improvement
since 1993
• Sustainable emission levels 2013
• Next step: Fuel consumption and
CO2 emissions
• Old vehicles remain a problem
PM (g/kWh)
0.360
0.15
0.10
0.02 0.013
1 2 3 4 5 6 7 8
Nox (g/kWh)
EU I
(1993)
EU II
(1996)
EU III
(2001) EU VI
(2013)
EU V (2009) EU IV (2006)
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Time to move forward Our strategy on resource depletion
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Reduced fuel consumption
Volvo FH12, 40 tonnes in traffic
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A shift towards more efficient transports
• Improved logistics
– Modular vehicle combinations
– Filling rate
– Intermodal solutions
• Fuel efficiency
– Optimised trucks
– Fuel-saving maintenance
– Efficiency upgrades
– Dynafleet
– Driver development
– Fuel Management Service
– The Drivers Fuel Challenge
Our greatest challenge
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The future calls for innovative transport solutions
Our greatest challenge
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Evaluated alternative fuels
Liquid fuels Combination Gaseous fuels
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Two promising alternatives
Volvo FH DME Volvo FM MethaneDiesel
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DME – the best alternative from a well-to-wheel perspective
• 95 % reduction of CO2 emissions
• No particulates
• Most efficient land use
• Partners: Chemrec, Preem,
Customers in Sweden
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Methane – the most accessible alternative fuel
• Exists as fossil fuel (natural gas) and biogas
• Compressed (CNG/CBG) or liquefied (LNG/LBG)
• Reduced climate impact
• High efficiency
• Competitive price
Our greatest challenge
Facts about Methane gas
27
Both as Natural gas and Biogas:
• Natural gas = fossil fuel
- Up to 10% CO2 reduction
• Biogas = produced from
renewable material
- Up to 70% CO2 reduction
Two forms:
• Liquid volume efficient methane
gas (LNG/LBG)
• Pressurised methane gase
(CNG/CBG)
Our greatest challenge
2012-05-23
Bi Me Truck Project
A cooperation 2010-2013
• AGA, EON, Fordonsgas, BRG,
Energigas Sverige,
Energimyndigheten, kunder
• Filling stations for LNG built in
Göteborg and Stockholm
• Decided: Malmö and Jönköping
• Planned: Örebro, Helsingborg,
Stockholm north
Our greatest challenge
Methane Diesel, based on Volvo’s reliable Euro V diesel engines
• The diesel process gives 30-40%
better fuel efficiency compared to
spark ignited engines
• 50-80% of the diesel can be
substituted by methane gas
• Power and driveability similar as
a conventional diesel engine
• Can run on only diesel if out
of gas
29
Our greatest challenge
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2012-05-23
Volvo FL and FE
• 7 litre engine
• CNG tank system
• Aftermarket adaptation
• Able to run on 50-70 % gas
• Power 240/340 Hp
• Torque 940/1300 Nm
• Range 12-26 ton
• Fieldtest since 2010
• For sale in Sweden and Norway
• Driving range 400 km
Our greatest challenge 31
2012-05-23
Volvo FM
• 13 litre engine
• LNG tank system
• Adaptation by Volvo
• Able to run on 50-80 % gas
• Power 460 Hp
• Torque 2300 Nm
• Range 16-60 ton
• Field testing since 2009
• Market introduction in Sweden, UK and NL 2012
• Driving range >500 km
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Summary – the main challenges
GLOBAL
WARMING
ENERGY
EFFICIENCY
DEPLETING
RESOURCES
EXHAUST
EMISSIONS
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Cooperation is the only way forward
• Society and authorities
• Universities and research
• Industry players (vehicle manufacturers,
fuel producers, transport organisations etc)
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