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The main goal of the Electric Bus Sytem is to reduce the local air congestion within cities. Besides that, the solution achieves the benefits listed below. Whereas some benefits are likely to be fulfiled with a basic implementation of the solution, the fulfilment of the potential benefits depends on the functions implemented in a specific project.

Main Benefits

  • Reducing use of fossils

  • Promoting sustainable behavior

  • Reducing use of fossils

Functions help you to understand what the products can do for you and which ones will help you achieve your goals.
Each solution has at least one mandatory function, which is needed to achieve the basic purpose of the solution, and several additional functions, which are features that can be added to provide additional benefits.

Mandatory Functions

Potential Functions

Business Model

Market Overview

High investment costs of electric buses in comparison to conventional (diesel) busses can be balanced with lower operational costs and longer lifespans. Some operators produce their own regenerative energy for the buses. The profitability of e-buses will increase as soon as there are stricter emission regulations or even diesel bans in urban areas. Restrictions are expected to be introduced in various European cities within the next few years.

Example Proterra

The graph shows the profitability of the operation of electric buses in comparison to other buses over a lifetime of ten years. The data is obtained out of manufacturer specifications from Proterra, who - as of March 2017 - is one of three e-bus manufacturers providing buses on large scale. According to this calculation, electric buses are cheaper despite higher investment costs, since costs for fuel and maintenance are much lower compared to traditional buses.

This calculation does not include the infrastructure of charging stations needed.

(Proterra, 2017)

Driving Factors

Subsidies

Most e-buses which are currently in operation are supported by local governments as a part of a pilot project. The German government, for example, plans to support the market penetration of e-buses with up to 40 % of the investment costs, especially for SMEs. In 2018 the purchase of 250 e-buses with 50 million Euro is planned. For the following years, this number is planned to increase to 500 e-buses with 100 million Euro. (electrive.net, 2017)

 

Supporting Infrastructure

A public charging infrastructure for electric vehicles, which can be used by the electric buses, simplifies the implementation of this solution. Besides this, it is recommended to invest in sustainable and local energy generation to reduce energy costs and increase the impact of the electric bus system.

 

Government Initiatives

In general, regulations on emissions are introduced in the sector of buses first, before introducing the regulations for cars. Therefore, a diesel ban in urban areas is expected to be introduced for buses first. The current regulation on emissions of buses is defined in the VO(EG) 595/2009 and the UN-R49 regulation. (European Parliament, 2009)

Legal Requirements

Regulations

  • 2007/46/EG: Regulations on busses in general
  • RL 2001/85/EG and UN-R66: Security Regulations for Buses
  • UN-R100: Security Regulation for electric vehicles

(European Parliament, 2009)

Related Solutions

Public Charging System for Electric Vehicles
The current EU regulation on emissions for cars is the strictest worldwide. Along with further restrictions the thresholds cannot be meet with conventional cars only anymore. One alternative technology, reducing the local emissions, are electric vehicles.
Electric Bus System
The electric bus system is a public transportation system that is operated by electric buses only. Electric busses are not only economically beneficial, as they do not have any local emission, but due to their longer lifespan and lower operational costs, they can also be financially beneficial.