1. Creating the Cities of the Future Jessica Sandström Senior Vice President City Mobility Volvo Buses

2. The Volvo Group’s vision is to become the world leader in sustainable transport solutions by
creating value for customers in selected segments
pioneering products and services for the transport and infra- structure industries
driving quality, safety and environmental care
working with energy, passion and respect for the individual
The vision of the Volvo Group is: To become the world leader in sustainable transport solutions.
It serves as the guiding principle in our work. 2

3. Global drivers impacting our society
2008
2060
1/2
2/3
living in cities
Population growth and urbanization Climate change and decarbonizing transport
Pressure on natural resources and raw materials
Air Quality, Traffic, Congestion and Road Safety
Public Transport must play its part in reducing its impact on the urban environment
The world’s population is steadily increasing. By 2050 it is expected to exceed nine billion. Since 2008 more than half the world’s population lives in cities and in fifty years, that figure is expected to reach two-thirds of the population. The most intensive pace of urbanization is taking place in Africa and Asia.
The overall trend is leading to an increased need for transportation and infrastructure. Cities, particularly major cities, have specific requirements for urban and traffic planning. Congestion and noise pollution also need to be addressed through the availability of vehicles specially adapted for these environments. In addition, a growing population increases the need for housing, roads and facilities.
Climate change is one of the most complex and difficult questions of our time. Burning fossil fuel is the single largest source of greenhouse gas emissions produced by men.
Oil has long been considered a reliable source of energy, but today, oil use is a highly contested issue. This is primarily attributable to the environmental problems associated with it, but also because future access to oil is uncertain due to dwindling oil reserves, increasing price and instability in oil producing regions. For all these reasons it is crucial to shift to sustainable energy resources.
Major efforts have already been made to develop the use of renewable energy sources. However, the development of renewable fuels differs widely among regions depending on the availability of natural resources, which in turn drives the development of vehicles and machines adapted for various types of fuels. The move towards the large scale use of renewable energy is also highly dependent on political decisions and investment capacity to create the necessary production facilities and infrastructure.
Another global challenge is the shortage of natural resources and raw material. Population growth, a rapidly growing middle class and greater purchasing power leads to increased consumption. Mankind is utilizing an increasing amount of land, water and other resources. More efficient use of resources is required and the recovery of a greater proportion of material is becoming increasingly important to secure access to materials.
Traffic and road safety is becoming even more important as demands on transportation increases. The subject is a high priority for governments and institutions worldwide. There has also been an increase in awareness and the demand for safer products and safety guidelines at construction and operation sites.
In the future, the focus on security is also likely to continue to increase because of crime, military conflicts, terrorism and natural disasters. In relation to transportation this will impact the safety of drivers, vehicles, goods and the general public.
The need, however, for competent employees with these types of specialist skills will grow as products and services become increasingly sophisticated.

4. Global energy demand forecast*
Why is energy effeciency important Avoiding dangerous climate change requires reduction in GHG emissions: the 2 °C goal
Energy production and use account for two thirds of the world’s greenhouse-gas (GHG) emissions
Energy demand will continue to increase rapidly from a global perspective
High energy efficiency is needed to enable growth of the world economy, boosting energy security around the world and bringing modern energy to the billions who lack it today
Global energy demand forecast*
*IEA World Energy Outlook Special Report 2015: Energy and Climate Change

5. Tank to wheel Energy-efficiency
How far can you go with 5 liter diesel (=50 kWh electricity, 3 kg gas) compared to a conventional diesel bus?1
CNG
bus
77*
Diesel bus
100
x ~4
Hybrid bus
150
Electric Hybrid bus
250
Full Electric bus
400
Index 50
100
150
200
250
300
350
400
Electricity is the most efficient way of propelling public transport
Recent development in CNG engines show potential to close the gap towards diesel, if the gap is closed the energy consumption will still be 4 times compared to an electric bus
**AE international: Comparison of Diesel and Natural Gas Bus Performance, 2014 (VTT report)

6. People chose public transport not because they have to, but because they want to

7. Sustainable Silent
Reliable Convenient

8. The three cornerstones of Volvo Buses’ e-mobility
Product portfolio
The future will be a mix of:
Hybrid
Electric Hybrid
Electric
Complete system offering
Buses, infrastructure & services
Battery charged by km
Competitive Life Cycle Cost vs Diesel
Open interfaces
One open and standardized interface for charging infrastructure
Enable buses from other suppliers
Driving standardisation together with Siemens & ABB

9. Building an attractive city requires cooperation

10. Traditional Volvo Bus customer
Project partners
Mayor
City Hall
PTA
Operator
Energy Authority
Energy Provider
/ Electric Grid
Street Authority
Volvo
Charging supplier
Traditional Volvo Bus customer
New
Partners

11. ElectriCity – a Visionary Transport Solution

12. ElectriCity partners

13. Two bus models run on the route
7 Electric Hybrids
3 Electric buses
Quiet, electrically powered 70% of the route
80% less CO2
60% lower energy consumption
Flexible urban planning
Quiet, electrically powered the whole route
80% lower energy consumption
Zero emissions when using renewable electricity
Flexible urban planning
Perhaps comment on the reduction of C02 emissions:
Higher here than slide 6 depending on which fuel and biodiesel the buses run on.
Mention Zone Management

14. Visualize new possibilities

15. Results so far
The system work every day, transporting passengers in a silent and reliable way
Drivers highly appreciate there new working environment
Passengers appreciate sustainable and silent bus systems

16. Technology can break the curve
We hope that this initiative will showcase Volvo’s commitment to becoming a world leader in sustainable transport solutions.
2015 is a defining year for sustainable development globally – with both the upcoming launch of the UN Sustainable Development Goals and COP21 in December. We hope to inspire discussions and holistic thinking in terms of city planning and public transportation.
Thank you for your attention – and spreading the word!