A group of companies is taking part in a project to test the technical feasibility of using biofuel Dimethyl Ether (DME).
Volvo, Chemrec, Delphi, ETC, Haldor Topsoe, Preem and Total are involved in the European Union's four-year BioDME project, due to start this month in Sweden.
The truck manufacturer will provide a pilot fleet of 14 specially converted trucks for the project, ETC will evaluate performance characteristics in the pilot plant and Delphi will deliver fuel-injection equipment for the truck engines. Chemrec and Haldor Topsoe will produce DME from biosource at a specially constructed plant, while Total will focus on the development of the fuel technology.
The product will be transported to service stations built by Preem in four Swedish cities, including Stockholm, Gothenburg and Pitea.
The €28m (£22.4m) project is co-financed by the consortium partners, the EU and the Swedish Energy Agency.
Volvo group chief executive Leif Johansson says: "The BioDME project is an example of what the next step could look like and illustrates the possibilities of producing renewable fuel on a major scale."
DME does not produce soot when burned, which significantly reduces emissions and helps engines meet tougher international standards.