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January 17, 2018

Swedish engine plant Volvo Cars’ first climate neutral factory

Geely's Volvo Cars said its engine factory in Skovde, Sweden, is the company’s first climate neutral manufacturing plant, having switched to renewable heating on 1 January 2018.

Geely’s Volvo Cars said its engine factory in Skovde, Sweden, is the company’s first climate neutral manufacturing plant, having switched to renewable heating on 1 January 2018.

The plant is the first in the automaker’s global manufacturing network to reach this status which, it said, “marks a significant step towards the company’s vision of having climate-neutral global manufacturing operations by 2025”.

Skovde also becomes one of only a few climate neutral automotive plants in Europe. 

“Improving energy efficiency is our first priority and then, for the energy we need to use, we aim for supplies generated from renewable sources,” said Javier Varela, head of manufacturing and logistics. “The plant achievement is an important addition to our broader efforts in minimising our environmental footprint. We are pleased to be a leader within the automotive industry in the move towards climate neutral manufacturing.”

A new agreement between automaker and local provider ensures that all heating supplied to the plant is generated from waste incineration, biomass and recycled bio-fuels. Since 2008, along with other European company plants, Skovde’s electricity supply already comes from renewable sources.

In 2016, the plant in Ghent, Belgium, introduced a district heating system that reduced carbon emissions by 40%, saving 15,000 tonnes of CO2 per year.

“We will continue to work actively with our energy suppliers in all regions to secure further access to renewable energy for our manufacturing plants,” said Varela.

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