09 July 2010 - Go Ahead For Green Bus Grants

Transport Minister Norman Baker has revealed that the grants will be up for grabs to help bus companies and local authorities across England buy newer, less polluting vehicles.

The funding will help route operators meet the upfront costs of buying Low Carbon Emission Buses (LCEB) - vehicles that are able to use 30% less fuel and produce a third less carbon than conventional models.

At present, LCEBs only make up 0.2% of England’s total bus fleet. Ministers are hoping that by stimulating the market for “green” buses, the fund will help to bring down development costs and encourage greater technological investment.

A previous application round held last year saw 24 bidders share £30 million funding – enough to buy 350 new LCEBs. The additional investment is expected to support another 150 buses, with the maximum grant on offer covering the difference between the cost of the new low carbon bus and the price of its standard diesel equivalent.

Bids will be invited from England-based bus route operators, Local Transport Authorities (LTAs), Passenger Transport Executives (PTEs), Transport for London, and companies that lease out buses.

Announcing the funding fillip, Mr Baker said:

“We want to support new transport technologies to help make our transport system greener and more sustainable.

“This investment will stimulate the market for low carbon buses by reducing some of the initial costs for operators and councils. It will deliver significant benefits, in particular reducing the impact of road transport on climate change and improving air quality.”

Business Minister Mark Prisk added:

“By placing ourselves at the forefront of the green technology revolution we will encourage future manufacturing success, generate new jobs and over the long run create new export opportunities.”

For further information about the Green Bus Fund, visit the Department for Transport website (opens a new window)

Source: Department for Transport, 05/07/2010

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