According to the latest report, global plug-in electric bus sales have increased by 40% between 2016 and 2017 (to date).

The highest growth rates for ebuses (as with light vehicles sales) are of course seen in countries with the largest incentives versus liquid fuel options.

The main obstacle for electrified bus adoption is the higher upfront costs compared to conventional buses.

"In the electric drive bus market, costs of key components such as batteries, motors, and power electronics are declining thanks to increasing volume.

These improvements are helping plug-in hybrid and battery electric buses become more viable for fleets, and sales are poised to grow across all geographic markets through 2027."

The report goes on to say that conventional diesel buses will still be responsible for majority of sales 10 years from now in 2027.

Still, overall bus sales are expected to increase 25% over the next 10 years (from around 800,000 today to more than 1 million in 2027), so the growing share of plug-ins inside an expanding segment, is still very appealing for manufacturers.

Lisa Jerram, principal research analyst with Navigant Research said:

“Transit agencies are interested in battery electric buses, thanks to their potential for lower operating costs in addition to having zero emissions and reduced noise. New orders for electric buses are growing rapidly, although the transition to battery electric buses will take many years, as agencies test the technology and bus manufacturers ramp up production.”

Report: Market Data: Electric Drive Buses

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