$3.1M in federal funding for Volvo to support local jobs
Federal lawmakers have approved a spending bill that invests in energy efficiency and independence, as well as supports manufacturing jobs in Washington County, Maryland and nationwide, according to U.S. Sen. Barbara A. Mikulski.
Included in the passage of the Consolidated and Further Continuing Appropriations Act of 2015 was $8 million allocated to the U.S. Department of Energy's SuperTruck Program, a research partnership with commercial truck manufacturers to develop the next generation of fuel-efficient, heavy-duty trucks, according to a news release from Mikulski's office.
Volvo Group Trucks, which has a facility in Hagerstown, is a part of the program and expected to receive about $3.1 million in program funding next year. The local facility will receive $1.3 million of that total, going toward on-site engine and transmission research and development.
"Energy will determine the destiny of the United States — our security, our economy and our standing in the world,” Mikulski, D-Md., said in the release.
"This federal funding is about jobs today and jobs tomorrow, supporting the lives and livelihoods of Marylanders leading the way for America’s energy future. Energy independence can't be just a slogan, it must be a major priority because of its impact on national security, global warming and jobs in our country," she said.
Volvo was awarded a SuperTruck contract from the U.S. Department of Energy in June 2011. The five-year contract is worth about $19 million, with Volvo matching the federal funding.
In a statement Monday, Susan Alt, senior vice president of public affairs for Volvo Group North America, thanked Mikulski for her "longstanding support" of the SuperTruck Program.
"The funding from this bill will help engineers in our powertrain facility in Hagerstown to continue their work on the program, which will improve the fuel efficiency and reduce greenhouse gases of heavy-duty commercial vehicles," she said.
The legislation has passed both the Senate and the House of Representatives and now heads to the White House to be signed into law by President Obama.
Carrying about 70 percent of all freight and as much as 80 percent of total goods transported, commercial trucks make up for only 4 percent of all vehicles on the road, but use about 25 percent of all fuel, Mikulski's office said.
The SuperTruck program's objective is to improve freight efficiency by 50 percent through engine improvements and vehicle design, combining to reduce oil consumption and decrease greenhouse gas emissions, officials said.