XL Hybrids, Inc., developer of a low-cost hybrid electric powertrain designed specifically for class 1 to 3 commercial fleet use, signed a supply agreement with Johnson Controls, Inc. (NYSE: JCI),the global leader in advanced batteries for start-stop, hybrid and electric vehicles. Johnson Controls will provide complete advanced Lithium-Ion battery packs constructed of high-power, spiral wound Lithium Nickel Cobalt Aluminum (NCA) cells to power light duty commercial vehicles, including the Chevrolet Express and GMC Savana vans.

The battery pack has 1.8 kilowatt-hours (kWh) of energy storage, a peak discharge power rating of 50 kW and a nominal voltage of 260V. It will be fully developed and launched from Johnson Controls’ state-of-the-art Lithium-Ion manufacturing facility in Holland, Mich. in early 2013.

XL Hybrids has already sold hybrid Chevrolet Express vans to some of the biggest fleets in the U.S. for fleet pilot testing. The company’s hybrid electric powertrain integrates seamlessly with the original equipment manufacturer’s engine and transmission. By integrating Johnson Controls’ Lithium-Ion battery packs, the system is capable of reducing fuel consumption by up to 21 percent on urban routes, helping fleet managers reduce fuel costs without added infrastructure or changes to operations.