City of Saskatoon says decision ‘needed now’ on buying new buses; recommends diesel instead of electric

(Hayatullah Amanat/CTV News)

The City of Saskatoon administration says it cannot wait longer on a decision to purchase new buses if they want them in place before winter of next year.

It also recommends purchasing diesel buses instead of electric ones, citing costs and the federal government's decision to deny the city's application for funding.

A report being tabled at the transportation committee says the city applied for funding under the Zero Emission Transit Fund to assist with its fleet renewal strategy. The transit fleet renewal plan, approved in December 2023, included purchasing a total of 30 40-foot battery electric buses for a total of $47 million, subject to getting approved for funding from Ottawa, which would cover half of the cost. Fifteen buses would be purchased in 2024 and 15 in 2025.

Further assessment in 2024 revealed that about $7.3 million would be needed for charging infrastructure to support 30 electric buses, so the number of electric buses to be purchased was reduced to 24 to remain within the budget. The report says the city was informed in 2024 that its application for federal funding had been denied.

While the city is working on an updated 10-year fleet renewal strategy, it says it needs a decision "now" on fleet purchases for 2025 so orders can be placed in time to have new buses available by winter of 2026-27.

It adds that 40-foot electric buses are estimated to cost about 50 per cent more than the same size diesel buses, and because of charging requirements, more electric buses would be needed.

"Transitioning to battery electric buses would require more buses to service Saskatoon's transit routes since the battery charge does not last for an entire day of service before requiring a recharge. It is estimated the replacement ratio for an electric battery bus requires approximately 1.20 electric buses to be purchased to replace each diesel bus to maintain the same service levels," the report reads.

Citing costs, lack of federal funding, and the need to make a decision, city administration is now recommending diesel buses be purchased instead. Of the seven options outlined in the report, the recommended option is to purchase 17 40-foot diesel buses, four 60-foot diesel buses, and three Access Transit gas buses at a total cost of $23.5 million. It says the plan would see 21 diesel buses delivered in late 2026, reducing the average age of the fleet to seven years.

The report says other options presented include the purchase of electric buses but would result in fewer buses being procured overall.

"In addition, battery electric buses will not have sufficient charge to run for an entire shift on longer routes and will need to travel back to the [city operations centre] (COC) in mid-shift for recharging, requiring another bus to complete the route."

The recommended option also allows for three Access Transit buses to be purchased to meet the Asset Management Plan lifecycle replacement requirements for 2025. And the report says "time is of the essence" to procure bus purchases in 2025, and approving the recommended option would allow the procurement process to start as soon as next month.

City administration also says it would allow for more time to assess the performance of battery electric buses since there have been some issues with the two electric buses operating in Saskatoon.

"The manufacturer has been onsite at COC on several occasions to address the issues under warranty. The five diesel buses that went into service in October 2024 have operated without issues and have been in service for between 16,000 and 21,000 km for each bus. Delaying purchases of additional battery electric buses for at least one year will allow for additional time to assess the operation and performance of the two battery electric buses in the current fleet."

Saskatoon Transit would continue to monitor other transition strategies of other Canadian cities as well as advancements in technology in battery electric buses. The report says Winnipeg, Calgary, and Edmonton have all experienced issues with electric buses, including high capital costs or lower-than-expected performance, with Winnipeg planning to purchase diesel buses starting in 2027.

The City of Regina, with funding from the federal government, is in the midst of a plan to purchase 20 40-foot battery electric buses at a cost of just over $52 million.

The report is on the agenda for Tuesday’s transportation committee meeting at City Hall.