Whether you are the fleet owner or transportation company manager, you are responsible for sourcing the most economical equipment. For many forward-thinking fleet managers, the burgeoning electric bus market is beginning to reshape the decision making process. Should you choose an electric bus now, and if so, what types of electric buses are available to the marketplace today? Here is what to expect when considering commercial bus financing for your transportation company.
Electric Bus Market
If your company has been on the fence regarding the investment into electric buses, now is a great time to jump on that bandwagon. Overall, the electric bus market is expected to see significant growth in the coming years. According to VynZ Research, by 2025 the electric bus market will account for more than 300,000 units worldwide. This growth is due in part to the generous local and national government programs supporting electric vehicles for their part in reducing carbon emissions. The expanding opportunity for electric vehicle batteries has enticed battery manufacturers to invest heavily in advancing technology, increasing availability and driving down cost per unit.
Types of Electric Buses
There are three main types of electric buses currently available:
- Battery electric bus or BEB
- Plug-in hybrid electric bus or PHEB
- Hybrid electric bus or HEB
The battery electric bus segment dominates the industry with over 75 percent of the total electric bus sales in 2017. While plug-in hybrid electric buses and HEB sales have continued to climb, the hybrid electric bus market has declined slightly in recent years. Electric buses are available in all sectors including mini buses, private bus transportation, regional bus transportation, and public transportation.
Who is Buying Electric Buses
Around the globe, Asia-Pacific and China in particular has seen the greatest growth in the electric bus market with more than 95 percent of the market in 2017. This trend will continue. But thanks to the increase in affordable electric vehicle technology, more regional electric bus companies and dealerships in North America are expected to come onto the marketplace. A few of the companies currently manufacturing electric buses include:
- AB Volvo
- Alexander Dennis Limited
- BYD Company Limited
- Daimler AG
- King Long United Automotive Industry Co. Ltd.
- New Flyer Industries Inc.
- Proterra Inc.
- Shenzhen Wuzhoulong Motors Co. Ltd.
- Solaris Bus & Coach S.A.
- Zhengzhou Yutong Group Co. Ltd.
Find Out About Commercial Bus Financing
At ENGS we specialize in commercial bus financing. Let our agents assist you in finding the most economical electric buses for lease and purchase. Contact an ENGS commercial finance representative or call 800-680-3002 to learn how you can best expand or upgrade your fleet with electric buses. We have locations in Itasca, IL and Birmingham, AL for your convenience. Along with electric buses, we offer a wealth of resources for financing construction, industrial, transportation, and off-lease equipment.