Zero Emissions Bus Transition
Dear Premier Allan,
The Bus Industry Confederation and its members are writing to express our deep concern regarding the recent deferral of bus replacement and upgrade orders for up to 5 years by the Victorian Labor government. This decision, announced quietly on Christmas Eve, has significant implications for the bus industry as well as public safety.
This deferral of purchases for 2.5 years in metropolitan and 5 years in regional areas has raised serious concerns that the bus industry must bring to your attention. The Victorian government has stated that the public bus fleet will be progressively phased out and replaced by zero-emissions buses (ZEBs) from 1 July 2025. However, this decision overlooks several critical issues including the lack of a transparent long-term volume plan that provides clarity for the industry, as opposed to negotiating with operators separately.
We believe this is a cost reduction plan under the guise of an eco-friendly transition plan.
Economic impact
The viability of the manufacturing and supplier industry in Victoria is at real risk of closing, moving interstate or overseas. The lack of order supply will threaten 1,100 jobs in Victoria, as well as another 250 jobs nationally, not to mention the up to 250 businesses. This would ultimately result in a loss of sovereign expertise, contradicting the Prime Minister’s Made in Australia policy.
- Removal of up to $270M from the Victorian economy in the next year alone, plus up to $30M in government revenue through lost stamp duty and GST.
Public Safety
Inspections of older buses simply do not provide the same safety benefits as newer buses. Newer buses come equipped with advanced safety features, such as electronic stability control (ESC) and the latest seatbelt technology, which are crucial for passenger safety.
Environmental Impact
The government claims to be converting the public bus fleet to quieter, more comfortable and lower-emission vehicles while slashing emissions, yet the reality is that deferring the purchase of new buses will actually increase emissions.
The industry is at a loss as to why the benefits of a Euro 6 diesel vehicle are not considered part of the solution for reducing carbon emissions. In fact, a Euro 6 diesel engine produces 90% fewer airborne pollutants compared to an 18-year-old bus.
- For every year that new buses are not procured – even a clean Euro 6 Diesel Bus – an additional 6.3 tonnes of Particulate Matter commonly called black soot (a known carcinogen) enters the atmosphere. Nitrous oxide, a greenhouse gas, also remains unnecessarily excessive due to the aging fleet as highlighted below.
Additionally, transport is responsible for 17% of total emissions in Australia. If every Euro 0 through Euro 4 bus and truck was replaced with vehicles meeting Euro 5 standards or above, total emissions could be reduced by 50%.
The industry challenges the government’s statement:
“We have listened to bus operators and manufacturers over the past three years on our Zero Emission Bus Transition Plan and we will continue to work with them every step of the way to deliver the best outcome for the bus industry and passengers.”
The lack of a transparent long-term volume plan that provides clarity and certainty for the industry contradicts this claim.
Considered transition
Announcing a ZEB plan is a great idea but not if everything is in place to support it, such as infrastructure in regional areas.
Deferring supply of ZEBs while waiting for infrastructure to catch up should be about taking advantage of emission-friendly Euro 6 or other technologies featuring the latest safety features. Meanwhile, less-emission-friendly vehicles not equipped with the latest safety technology should be taken off the road.
Transitioning to ZEBs should not only respect the environment but also support:
- Existing industry businesses and help create new ones
- Jobs and the critical supply and maintenance skills required for transition, now and into the future
- An agnostic approach to the technology where the right solution suits the application. It’s not a one-size-fits-all solution, as outlined in our net zero policy. A low emission bus is far better than an old bus when it comes to overall emissions, health, and safety.
- The safety benefits new technology offers
- The creation of long-term volume plans allowing industry to look years ahead, not months
This is for the duration of each product’s lifespan.
Moving together
The Bus Industry Confederation and its members urge the Victorian government to reconsider its decision, working collectively and directly with the entire Victorian bus industry towards a 5-year long-term volume plan that provides clarity, economic stability, business-viable jobs in Victoria and public safety.
Sincerely,
The Bus Industry Confederation (Australia)
Media contacts |
- Andrea Luquesi Scott (BIC) – 02 6247 5990
Further reading |
