The Scottish government has launched the first £50m phase of a new Scottish Zero Emission Bus Challenge Fund (ScotZEB).
The fund replaces previous funding streams and is designed to encourage the market to agree and implement new and innovative ways to finance zero emission buses.
Building on the success of the Scottish Ultra Low Emission Bus Scheme (SULEB), ScotZEB will now support Scotland’s green recovery, providing immediate economic stimulus and supporting the Scottish government’s ambitions to decarbonise the bus fleet.
Transport minister Graeme Dey, said: “£50 million is available in 2021 to help drive a green recovery, responding to the global climate emergency and to improve air quality.
“I’m excited to see results from the ScotZEB Challenge Fund and expect to offer a larger pot of funding in 2022 once it demonstrates its success.”
The news was welcomed by bus manufacturer Alexander Dennis Limited (ADL), its managing director, Paul Davis, said: “The Scottish government continues to lead the way in funding cleaner, greener buses.
“We look forward to working with bus operators and the energy and finance sectors to ensure the benefits of this funding are felt across communities in Scotland. Its investment in local supply chains such as our production of electric and hydrogen buses in Falkirk will underpin Scottish skilled jobs and apprenticeships that are vital for the transition to net zero.”
Previously, SULEB facilitated zero emissions transport projects in Dundee and Glasgow. The Scottish government said this highlights what’s possible when there is strong collaboration between bus operators, government and businesses.