Volvo Energy invests in connected energy for its second life battery operations

Volvo Energy is investing in the British company specializing in energy storage in second-life batteries, Connected Energy, to further accelerate Volvo Group battery operations and sustainability opportunities.

As part of its goal of supporting and securing an attractive and sustainable circular battery business model, Volvo Energy is investing nearly SEK 50 million for 10 per cent in the UK-based company that specializes in energy storage in batteries for a second life, Connected Energy.

“There is a lot of untapped potential in the use of batteries in Second Life. This forward-looking investment is intended to help scale up energy storage systems built with recycled batteries. In this way, we are creating additional circular business opportunities for the next escalation of revenues from the Volvo Group of batteries for use in Second Life. ‘,” says Joachim Rosenberg, CEO of Volvo Energy. He continues: “Together with Connected Energy, we will reduce the environmental impact of the batteries that power Volvo Group cars. By reusing batteries, we get their full value – from a climate, environmental and business perspective.”

“We are extremely excited to welcome our new investor Volvo Energy, and look forward to creating a way to increase the sustainability of both electric vehicles and grid-connected energy storage. Our collaboration will enable us to improve battery recycling capabilities and ensure that the resources in batteries are used efficiently,” says Matthew Lumsden, CEO of Connected Energy.

Volvo Energy is one of five new investors, including Caterpillar Venture Capital Inc. , The Hinduja Group, Mercuria and OurCrowd, which joins current Connected Energy investors Engie New Ventures and Macquarie and Low Carbon Innovation Fund.

Facts about Volvo Energy
Volvo Energy is a business area within the Volvo Group dedicated to providing the necessary support and infrastructure during the first life, that is, when batteries are installed in vehicles, while at the same time ensuring reliable and sustainable opportunities for a second life before the batteries are recycled. Thus, Volvo Energy supports the improvement of first life, creates and expands possibilities for a second life, thus expanding value creation from a climate, environmental and business perspective.

Facts about connected energy
With headquarters in Newcastle upon Tyne, Norfolk Technology Center and systems operating in the UK, Belgium, Germany and the Netherlands, Connected Energy is one of the few companies in the world that has demonstrated that second life vehicle batteries can be used in commercial battery storage systems. Connected Energy has sixteen operating systems in Europe: Belgium, Germany, the Netherlands and the United Kingdom with the largest being at Cranfield University, Bedfordshire, England.

June 17, 2022

Media contact:
Claes Eliasson, Volvo Group Media Relations, +46 76553 72 29

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The Volvo Group’s transportation and infrastructure solutions create wealth by offering trucks, buses, construction machinery and energy solutions for marine and industrial applications, as well as financing and services that increase the availability and productivity of our customers. The Volvo Group was founded in 1927 and is committed to shaping the future landscape of sustainable transportation and infrastructure solutions. Headquartered in Gothenburg, the Volvo Group employs approximately 95,000 people and serves customers in more than 190 markets. The group’s net sales in 2021 amounted to approximately SEK 372 billion (€37 billion). Volvo shares are listed on the Stockholm Stock Exchange.