The European Commission has given the green light to a truck battery joint venture proposed by Swedish company Scania and Germany’s sennder Technologies.

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This strategic collaboration sees truck builder Scania and German digital freight forwarder sennder, which has already benefitted from Scania seed investment, form a join-venture company for the introduction of a pay as you go model for heavy-duty battery electric vehicles. The collaboration seeks to alleviate one of the major roadblocks hindering the widespread adoption of heavy-duty battery vehicles—the uncertainty surrounding the cost of using battery packs. The joint venture is set to commence trials in Germany before further expansion across other European countries.