Stockholm, June 28 – U.S. Department of Energy Assistant Secretary for Energy Efficiency and Renewable Energy Alexander Karsner and Swedish Deputy Prime Minister and Minister of Enterprise and Energy Maud Olofsson signed today the U.S.-Sweden Implementing Arrangement on Renewable Energy Cooperation. At the same time, Assistant Secretary Karsner and Jan-Eric Sundgren, Senior Vice President for Public and Environmental Affairs of AB Volvo issued a joint statement on research and development cooperation on commercial vehicles. Commenting on the two agreements, U.S. Ambassador to Sweden Michael Wood said “These are the deals that President Bush and Prime Minister Reinfeldt discussed in their meeting at the White House in May. I’m very excited about these advances in alternative energy cooperation between the U.S. and Sweden. This is my ‘One Big Thing,’ the focus of my tenure as Ambassador, and these agreements are important accomplishments.”

The Implementing Arrangement on Renewable Energy Cooperation is only the third such agreement entered into by the U.S. Government. The other two are with China and Brazil. The agreement will make it easier for the United States and Sweden to identify and fund potential breakthroughs in alternative energy technology; for example, cellulosic ethanol and battery technology. The agreement sets a goal of extending bilateral cooperation on renewable energy and energy efficiency, focuses cooperation on biomass production, transportation and automotive research, and reducing the cost of renewable energy. The agreement also establishes a bilateral working group. Assistant Secretary Karsner said, “Energy poses similar challenges for the United States and Sweden. Under this agreement, we will work together and share information, so that both countries can benefit.”

AB Volvo first presented the joint project on commercial vehicle technology to U.S. and Swedish officials in 2006. The U.S. Embassy facilitated contacts between Volvo and the U.S. Department of Energy to make the project a reality. As the first step under the agreement, the Department of Energy and Mack Trucks, a subsidiary of AB Volvo, are negotiating terms of a cost-shared project in the range of $9 million to develop environmentally friendly commercial vehicle technologies, including hybrid engine technology for long haul trucks and reliable bio-diesel drive trains.

Ambassador Wood noted that “Between them, transportation and power generation account for about half of all greenhouse gas emissions. Today we’re tackling both of those areas. The Volvo deal will replace some of the fossil fuels that we burn in big engines. The Implementing Arrangement will help us develop cellulosic ethanol, biomass, and other alternatives to coal and oil. Progress that we make between the U.S. and Sweden can have major repercussions for the global environment.”

For further information:

U.S. Department of Energy
Kevin Brosnahan
Office of Energy Efficiency and Renewable Energy
Telephone +1 202 586-0462
kevin.brosnahan@ee.doe.gov

U.S. Embassy Stockholm
Robert Hilton
Counselor for Public Affairs
Telephone +46 8 783 5440
HiltonRB@state.gov

AB Volvo
Mårten Wikforss
Telephone +46 31 66 11 27
Mobile +46 705 59 11 49