Government of Canada, city of London to provide joint funding to transition city transit buses to zero emissions

July 26, 2023
The city of London will complete planning activities, including feasibility, implementation and market studies to support future procurement and deployment of zero-emission buses and related infrastructure by the London Transit Commission.

The government of Canada and the city of London, Ontario, will provide joint funding of C$400,000 (US$302,300) to transition the city of London to zero-emission buses. 

Through the investment, the city of London will complete planning activities, including feasibility, implementation and market studies, to support future procurement and deployment of zero emission buses and related infrastructure by the London Transit Commission.

"Everyone has a role to play in achieving net-zero by 2050, and The London Transit Commission is committing to this by taking steps towards reducing their carbon footprint. I look forward to continued collaboration with the city of London to ensure we reduce greenhouse gas emissions and help address the current climate crisis,” said Member of Parliament for London West Arielle Kayabaga.

The government of Canada is contributing C$320,000 (US$241,833) to the project through the Zero Emission Transit Fund (ZETF). The city of London is contributing C$80,000 (US$60,458).

The ZETF helps communities transition to zero emission transit and school buses to reduce greenhouse gas emissions and contribute to Canada’s net-zero emissions targets. The Fund is closely coordinated with the Canada Infrastructure Bank’s Zero-emission Bus Initiative, through which the CIB has committed more than C$1.5 billion (US$1.1 billion) to supporting the deployment of zero emission buses.

The government of Canada is investing C$14.9 billion (US$11.73 billion) over the next eight years in reliable, fast, affordable, and clean public transit. This includes C$3 billion (US$2.36 billion) per year in permanent, predictable, federal public transit funding, which will be available to support transit solutions beginning in 2026-2027.

The ZETF complements Canada’s strengthened climate plan: A Healthy Environment and a Healthy Economy. The plan commits the federal government to providing permanent federal funding for public transit in support of making clean and affordable transportation options available in every community.

The government of Canada is investing C$10 million (US$7.4 million) through the ZETF over five years to help transit bus operators to complete planning work and increase their level of readiness to transition to zero emission bus fleets.

The Canadian Urban Transit Research & Innovation Consortium (CUTRIC) has been supporting Canadian municipalities with their fleet transition. The consortium’s mission is to support the commercialization of technologies through industry-led collaborative research, development, demonstration, and integration projects that bring innovative design to Canada’s low-carbon smart mobility ecosystem.

The project is being coordinated by the Canadian Urban Transit Zero Emissions Bus (CUTZEB), which supports public transit agencies in the procurement of turn-key zero emission transit technologies. CUTZEB provides a comprehensive and cost-effective process for joint procurements by bringing together small to mid-sized transit agencies across Canada.

"Transit agencies seeking to transition to electric fleets need more than just buses or chargers — they need turn-key solutions encompassing every aspect, from installation to maintenance. It was this notion that sparked the inception of CUTZEB. As the recipient of this important government funding, CUTZEB will collaborate harmoniously to provide extensive support to transit agencies, like London, in their journey toward electrification,” said Josipa Petrunić, president and CEO of CUTRIC.

“London is proud to be a leader in this innovative procurement process. By partnering with Infrastructure Canada and CUTRIC/CUTZEB, the London Transit Commission will be able to acquire zero-emission buses and related infrastructure in a far more cost-effective and efficient manner than would otherwise be possible. We are very excited to begin the process of converting our existing fleet to zero-emission buses and are grateful to the government of Canada for this important investment,” said Mayor of London Josh Morgan.