Volvo Energy is the name of the new business unit that will run the Volvo Group’s business flow of batteries over the life cycle as well as the customer offer for charging infrastructure. It will be a business area with full profit and loss responsibility.
The unit will have both an internal role, providing batteries and charging solutions to the Volvo Group’s other business areas, and an external role, offering used, remanufactured and refurbished batteries to customers for use across different applications.
It will also carry the Group’s responsibility for hydrogen infrastructure solutions for fuel cell electric vehicles,
Volvo Group says the environmental impact from electric and hybrid electric commercial vehicles and machines will be reduced by giving used batteries a second life in different applications.
The new unit will be headed by Joachim Rosenberg, member of the Volvo Group Executive Board and Chairman of UD Trucks. Starting in February 2021, he will lead the effort to create Volvo Energy while also continuing to run UD Trucks and preparing the transfer of UD Trucks ownership to Isuzu Motors as part of the previously communicated strategic alliance between the Volvo Group and Isuzu Motors.
Martin Lundstedt, President and CEO, Volvo Group, says: “There is a great and growing interest for electric vehicles and machines among our customers. This is of course very positive as it accelerates the transition towards more sustainable transport solutions. Our ambition is to offer our customers the most competitive solutions when it comes to electrification, including batteries and charging infrastructure. With Volvo Energy, we are taking a holistic view of the entire life cycle, which benefits both our customers’ business and society as a whole.”
He adds: “With Volvo Energy, we are further increasing our focus on this important area. We are also giving vehicle batteries a second life, which is both a business opportunity and a way to contribute to the creation of a circular economy and a fossil free society.”
The financial results for Volvo Energy will be reported as part of the Truck segment