Volvo Expands FlexiFuel Offerings

Volvo is looking to take advantage of the growing popularity of ethanol fuel in Europe by expanding its FlexiFuel line of ethanol-capable vehicles to new models and new markets. Three of Volvo's models - the brand-new C30 hatchback, the S40, and the V50 - are now available in FlexiFuel configuration, meaning they are capable of running on any combination of gasoline and E85 fuel (85 percent ethanol and 15 percent gasoline). The three models share the same four-cylinder, 125 horsepower engine. While currently only available in Volvo's home-market of Sweden - where the company expects to sell most of its 7,000 FlexiFuel cars next year - the cars will soon be available in Britain, Ireland, France, Spain, the Netherlands, Belgium, Switzerland, and Norway. The U.S. is not officially on the list, but it's not hard to imagine Volvo's FlexiFuel vehicles finding their way stateside if the fuel takes off here.

Volvo's FlexiFuel expansion reflects the growing availability of the fuel in Europe. There are currently 23 facilities in Europe producing about 500,000 gallons of ethanol annually, primarily form sugar-beet and various grains; Volvo expects the facility count to jump to 60 and the capacity to increase threefold by 2008. To bolster the image of the fuel, Volvo will enter an E85-powered vehicle in the 2007 Swedish Touring Car Championship (STCC), making the STCC the first production car championship in which the alternative fuel will be used. Volvo's aim is not only to win, but to eventually establish E85 as the standard fuel in the championship. An early look at the competition model is shown above.