(Bloomberg) -- Volkswagen AG plans to set up a venture capital fund with an initial volume of 300 million euros ($355 million) to invest in decarbonization projects and start-ups.
Carbon capturing is feasible but expensive, and for some new technologies it's key to broaden operations and being able to scale up, VW Chief Executive Officer Herbert Diess said in a LinkedIn post on Tuesday.
“More and more industries are recognizing the opportunities, and even sophisticated investors like Bill Gates are financing major sustainability projects,” Diess said. “The financial business case is accelerating the change.”
Europe's largest automaker has embarked on an aggressive push into electric vehicles to slash emissions. At the Munich auto show this week Diess renewed calls for deeper political reforms to accelerate the industry's transformation, including a large-scale expansion of renewable energy sources.
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