Oxford £50m electric bus bid in doubt over cost issues

The funding would potentially help to convert all the buses run by Stagecoach and the Oxford Bus Company into electric vehicles.

A bid for Oxford to become England's first city to have all public buses run on electricity could be scuppered by cost, the council has said.

The Department for Transport (DfT) has offered £50m to help a town or city convert to electric buses.

Oxfordshire County Council said bus companies had estimated the cost of replacing their fleets was more than the £50m on offer.

It said it was working with the bus operators to find a solution.

The funding for a pilot all-electric bus scheme from the Department for Transport was part of a £220m package to overhaul bus services across England launched in February.

Soon afterwards Oxfordshire County Council announced it would make a bid as part of efforts to clean up air pollution in Oxford.

'Positive resolution hope'

The funding would help to convert all the buses run by Stagecoach and the Oxford Bus Company into electric vehicles.

A council statement read at an online cabinet meeting said the companies' business modelling showed the cost would be greater than £50m, which would affect "the potential success of the bid', according to the Local Democracy Reporting Service.

"Should affordability become an issue as the business case develops requiring us to withdraw the expression of interest then cabinet will receive a further report at that time.

"For now however we remain hopeful of a positive resolution and are working hard alongside the operators to that end," it said.

The expression of interest for the bid is due to be submitted at the beginning of June.