Carlos Ghosn has confirmed that Renault will return to Formula 1 with its own team for 2016 season. It is planning to buy the Lotus team as part of the return.

F1 is seen as a technology showcase and accelerates development of the Renault's innovation and range of sports cars, as well as an important brand builder.

"Renault had two options: to come back at 100 percent or leave. After a detailed study, I have decided that Renault will be in Formula 1, starting 2016. The final details supplied by F1's main stakeholders gave us the confidence to accept this new challenge. Our ambition is to win–even if it will take some time," said Carlos Ghosn, Chairman and CEO, Renault.

As a full team, Renault will take maximum benefit from its victories, the company said. The payback as an engine supplier only, it noted, proved to be limited. Also, the return on the investment necessitated by the new engine regulations and the return in terms of image were low.

Renault said work continues on finalising the terms of the "acquisition of the Lotus F1 team in the shortest timeframe possible". The principal contracts were signed on December 3, 2015. The Lotus F1 Team effectively "stands out as the best partner". Renault and Lotus F1 have known each other for 15 years and were world champions together in 2005 and 2006.