A report providing the Committee with an overview of the funding secured by the Council from the Department for Transport (DfT) through the Zero Emission Bus Regional Area (ZEBRA) fund for the provision of 24 electric buses in Reading and seeking scheme and spend approval for the project.

The Committee considered a report on funding that the Council had secured from the Department for Transport (DfT), through the Zero Emission Bus Regional Area (ZEBRA) fund, for the provision of 24 electric buses in Reading. The report also sought scheme and spend approval from the Committee to implement the scheme.

The report stated that the transition to electric buses would help to achieve a range of Council strategies and objectives included within the Local Transport Plan (LTP), Climate Emergency Strategy and Air Quality Action Plan. To secure the funding award the Council had worked in partnership with Reading Buses to prepare and submit a bid in line with DfT guidance. The work around the bid had included obtaining quotes from electric bus suppliers, charging infrastructure providers and the electricity Distribution Network Operator (DNO). A comprehensive set of documentation had been prepared as part of the bidding process, including a full business case and evidence for the requested funding. In addition to this the Council had responded to queries from the DfT as part of the assessment process. The bid had sought funding for the following elements:

·                Route 17 (purple route) – the provision of 17 double deck electric buses (15 and two spare);

·                Route 21 (claret route) – the provision of seven double deck buses (six and one spare); and

·                the provision of the required upgraded electricity supply and charging infrastructure at the Great Knollys Street depot.

The report explained that the total value of the bid was for £4.7m grant funding from Government. The requirements of the grant funding were that the Government would contribute up to 75% of the cost difference between an electric bus and a standard conventional diesel bus equivalent of the same total passenger capacity.  For infrastructure, Government funding would contribute up to 75% of the total capital expenditure incurred as a result of its purchase and installation. The report explained that Reading Buses had committed to fund the difference between the grant funding and the costs to purchase the electric buses and charging infrastructure and therefore there was no funding commitment required from the Council other than for staff time. The funding would be provided to the Council by the DfT and that a legal agreement was being prepared to enable the Council to provide the funding to Reading Buses on receipt of evidence to spend in line with the grant conditions.

The report explained that the timetable for the delivery of the project was for all electric buses to be operational within the 2024/25 financial year and noted that this timescale was also a condition of the grant funding. The report also stated that if the project was delivered successfully and the electric buses performed as expected the Council and Reading Buses would look to continue to work in partnership to seek further funding opportunities to increase the number of electric buses operating in Reading.

Resolved –

(1)           That the successful funding award of £4.7m secured for the provision of 24 electric buses and associated charging infrastructure in Reading be noted;

(2)           That scheme and spend approval for the project be granted.