The California Air Resources Board (CARB) and Volvo Group announced a settlement of nearly $197 million for alleged violations of emissions and certification requirements.

California will receive about $17.5 million in penalties and costs, and $71 million to mitigate the air-quality harm caused by the violations. Volvo is also committing $108 million for emission reduction projects in the state. 

The case involved about 10,000 Volvo heavy-duty trucks, model years 2010-16, sold in the state. CARB alleged the engines used undisclosed auxiliary emission control devices (AECDs) during the required emissions certification process. 

That allowed the engines to emit more nitrogen oxides (NOx) than allowed by the emission standard. Failure to report AECDs accurately is a major violation of California’s heavy-duty engine regulations.

Volvo said it proactively disclosed the issues and worked cooperatively with CARB to resolve the matter. The company said it would make available software updates and a partial warranty extension for certain vehicles as part of the settlement.

“The Volvo Group has always intended to comply with relevant regulations and conducts rigorous testing to ensure that its engines are compliant with all emissions requirements,” the company said in a statement. “There are no performance or safety issues associated with the engines in question.” 

“This case underscores why CARB’s compliance testing and strong enforcement are essential to protecting the state’s air quality and public health. Our responsibility goes beyond adopting regulations — we are committed to upholding them by identifying violations and holding companies accountable for meeting emissions standards,” said CARB’s Lauren Sanchez.