Managing life cycle assessment of buses An investigation on how Volvo Buses can meet environmental requirements from green public procurement, now and in the future

Abstract

The public transport sector in Sweden is moving fast towards a more sustainable future with the environmental criteria used in public procurement processes becoming increasingly ambitious. This increased ambition, in turn, influences companies active in the public transport sector. One of these companies is Volvo Buses; who are among the world’s largest bus manufacturer. The thesis aimed at investigating possible future environmental requirements in public procurement that might be relevant for Volvo Buses and similar companies. Volvo Buses are currently conducting life cycle assessments (LCAs) on buses, however, there is an ambition to make the process more efficient. The thesis intended to identify areas of improvement in the LCA process at Volvo Buses. In line with this were a reasonable level of detail of the LCA investigated, as well as what phases in the life cycle that is the most relevant to focus on. The study found that as long the fuel is non-renewable, the rest of the life cycle has close to negligible CO2 impact. As follows, to demand an LCA on an entire bus would not add any further value to the public procurement process as the usephase dominates the emissions. However, LCA becomes increasingly relevant when the fuel used in the public transport sector moves towards more renewable sources. In line with this are both the EU and local public transport agencies in Sweden investigating the possibility to incorporate LCA in public procurement for buses. In order to meet the requirements of tomorrow, Volvo Buses needs to improve the structure surrounding the LCA continuously. In line with this should focus also be on the integration of life cycle management deeper into the organisation by including other operations within and external to the organisation. With a more agile and fast-paced LCA process, combined with the extensive knowledge that already exists, Volvo Buses would be ready to excel in future procurement processes.