Swedish ethanol in Arla’s trucks

Arla’s new climate-smart distribution system reduces carbon dioxide emissions by about 11.5 tonnes per truck per year. Leading the way are 17 ethanol-driven trucks from Scania which are going to be used in the Stockholm region.

Recently Scania handed over 17 ethanol trucks to food company Arla’s dairy facility and warehouse at Järfälla, north of Stockholm. Representatives from Arla, ethanol-supplier Lantmännen Agroetanol, and Scania-Bilar Sverige cut the ribbon in front of a new filling station, where the trucks will be able to fill up on locally produced Swedish ethanol.

Achieving a fossil-free vehicle fleet

The new trucks are to be used for Arla’s day-to-day distribution duties within the Stockholm region and neighbouring Uppsala. The investment in ethanol trucks is part of Arla’s efforts to achieve a fossil-free vehicle fleet.

“At Arla, we have learned through experience that you need to explore a range of options when it comes to biofuel,” says Håvard Jörgensen, Senior Director for Supply Chain at Arla Sweden. “Changes in the taxing of RME show that politics is a source of uncertainty, and when it comes to both RME and HVO, supply is a threat. ED95 ethanol represents a really interesting alternative for broadening the range. Due to the cooperation between Scania and Lantmännen Agroetanol, there’s now a viable complete solution.”

A fuel widely available across the world

Johan Karlsson, Sales Director at Scania-Bilar Sverige, emphasised that ethanol is the most established biofuel in the world and a natural part of the solution.

“The kind of discussion where different biofuels are put up against each other is the wrong way to go,” he says. “For the community to have a chance of reaching its climate goals, we need to use them all. Through Scania’s cooperation with Lantmännen Agroetanol – an initiative that we call Etha – we’re trying to get the ball rolling. We’re making a joint investment in delivering a complete solution that includes both an assured supply of fuel and trucks that are designed for use with ethanol.”

Johan Karlsson, Sales Director at Scania-Bilar SverigeJohan Karlsson, Sales Director at Scania-Bilar Sverige

Ninety-five percent of the fuel being used is ethanol, which has been produced in Norrköping from raw material sourced from Swedish agriculture. Only the starch is used for fuel, with the proteins and fibres being used in the production of animal fodder, thus remaining part of the food chain.

A world-leading solution

Lantmännen Agroetanol CEO Bengt-Olof Johansson says, “There’s a lot of talk about independence from fossil fuels, but what we have here is something that not only reduces carbon dioxide emissions by 90 percent compared to diesel but that is actually working commercially right now. Arla’s investment demonstrates this from the sustainability, technical and economic perspectives. The fact that three Swedish companies are collaborating on this world-leading solution is fascinating and something that we should be proud of.”

Bengt-Olof Johansson, CEO of Lantmännen AgroetanolBengt-Olof Johansson, CEO of Lantmännen Agroetanol

Johan Karlsson concludes, “I think this is a model that other companies could emulate. We should also be able to export the concept to other countries, provided we can find partners who, like Arla, are industry-leading, interested and prepared to invest.”