CIB announces investment of up to $380M in City of Ottawa for zero-emission buses
by CM Staff
The CIB's loan will contribute towards the upfront capital cost of the battery-electric buses, which will help accelerate the electrification of OC Transpo's bus fleet.
OTTAWA — The Canada Infrastructure Bank (CIB) has achieved financial close on an investment of up to $380 million with the City of Ottawa (City) to help finance up to an additional 446 OC Transpo zero-emission buses (ZEBs) through 2027.
The CIB’s loan will contribute towards the upfront capital cost of the battery-electric buses, which will help accelerate the electrification of OC Transpo’s bus fleet.
OC Transpo welcomed its first four new 40-foot battery-electric buses into service in early 2022 and, thanks in part to CIB funding, is seeking to add 26 more in 2023, and another 420 by the end of 2027. With the gradual phase-out of diesel buses as they reach the end of their life cycle, OC Transpo could achieve a fully zero-emission bus fleet by 2036.
The electrification of vehicles is a key initiative for the City of Ottawa’s goal of reducing GHG emissions in City operations by 100 per cent by 2040.
Consistent with the CIB’s ZEB initiative, repayment of the investment is expected to be covered through the anticipated reduced operating costs over the life of the ZEBs as compared to diesel buses.
Energy supply and charging infrastructure will be supplied by Hydro Ottawa through a separate agreement with the City.