Quebec confirms largest North American electric bus project with a C$2.1 billion price tag, more than 1,200 vehicles

May 9, 2023
A joint funding agreement will support the purchase of up to 1,229 electric buses from Nova Bus with the vehicles set to go into service at 10 Quebec transit networks.

A joint funding commitment from the governments of Canada and Quebec will see up to 1,229 electric transit buses deploy among the province’s 10 transit providers. The joint funding of more than C$1.88 billion (US$1.41 billion) consists of more than C$780 million (US$583.34 million) from the government of Canada through its Public Transit Infrastructure Stream and C$1.1 billion (US$820 million) from the provincial government.

The funding will cover up to 95 percent of the cost to procure up to 1,229 40-foot electric vehicles at a total cost estimated to be C$2.1 billion (US$1.57 billion) by Association du transport urbain du Québec (ATUQ). The vehicles will be placed into service among Quebec’s 10 transit providers, including Société de transport de Montréal (STM), the Société de transport de Laval, the Réseau de transport de la Capitale, the Réseau de transport de Longueuil, the Société de transport de Lévis , the Société de transport de l'Outaouais , the Société de transport de Sherbrooke, the Service de Transport en Commun de Trois-Rivières and the Société de transport du Saguenay, as well as exo.

"Across Quebec, citizens rely on public transit to get where they need to be each day. With today's C$780 million (US$583.34 million) investment, our government is enhancing the electric public transit network across the province. We will continue to partner with the government of Quebec to deliver modern and reliable infrastructure that meets the needs of our communities today and into the future," said Canada Minister of Intergovernmental Affairs, Infrastructure and Communities Dominic LeBlanc.

Quebec Deputy Premier and Minister of Transport and Sustainable Mobility Geneviève Guilbault added the entire provincial population will benefit from the electric buses.

The funding supports the province’s Green Economy Plan, which mandates all new vehicles acquired by public transit agencies that are receiving government subsidies must be electric starting in 2025. By 2030, the plan directs 55 percent of city buses to be electric.

"The Quebec government is determined to make the climate transition a success. This transition includes a major project to electrify the economy and transportation, including public transit. The authorization granted by my colleague today is a step in this direction and demonstrates once again our willingness to act responsibly and sustainably to address climate change,” said Quebec Minister of the Environment, the Fight Against Climate Change, Wildlife and Parks and Minister responsible for the Laurentides Region Benoit Charette.

Nova Bus awarded bus contract

In addition to the joint funding commitment, Nova Bus was awarded a contract to deliver the vehicles following a tender issued in August 2022 by STM acting as agent in collaboration with ATUQ.

"After the necessary testing and experimentation phases, the STM has reached an important milestone with the awarding of this contract, which confirms its ambitions and the seriousness of its electrification approach as a leader in sustainable mobility. This first major order will help transform the face of mobility in Montréal and will bring about major changes in the operation of our buses. It's a great challenge, worthy of the talent and expertise of our teams," said Eric Alan Caldwell, chair of the STM Board of Directors.

The base order will be for 339 LFSe+, with an option for up to 890 additional vehicles. Nova bus says the vehicles will be delivered over a three-year period beginning in 2025.

“Public transport companies started moving towards electrification several years ago, in particular to contribute to the government's ambitious objectives in terms of transport electrification. This was done in particular by pooling studies and pilot projects because the electrification of networks is a huge project that must not be carried out to the detriment of the quality of service to our customers," ATUQ President Marc Denault said. “This upstream work enabled us to acquire technical knowledge to better understand the needs and plan the networks and the adaptation of the garages accordingly.”

ATUQ will manage the contract and work jointly with the 10 Quebec transit agencies and Nova Bus to ensure the requirements of both the agencies and their customers are being met. The association previously coordinated a tender for 24 LFSe+ vehicles for four Quebec transit agencies in 2021.  

“This is a collaboration that leads to significant savings. In addition, the inspection of each bus by the ATUQ prior to delivery by the supplier reduces maintenance costs throughout the life of the bus. It's a very good business model,” Denault added.

The LFSe+ buses for this order will be built at Nova Bus’s Saint-François-du-Lac facility and assembled at the company’s Saint-Eustache facility, which meets a requirement of the tender that set the level of Canadian content at 25 percent and required the final assembly to be done in Canada.

"Nova Bus is very proud to be a long-term partner of ATUQ and its members. We have delivered more than 6,000 buses in Québec since 1997," said Nova Bus President Ralph Acs. "We are honored to continue this collaboration by supporting Quebec public transit authorities in their transition to electromobility and to be part of this new chapter we are writing together to collectively contribute to the fight against climate change."

About the Author

Mischa Wanek-Libman | Group Editorial Director

Mischa Wanek-Libman is director of communications with Transdev North America. She has more than 20 years of experience working in the transportation industry covering construction projects, engineering challenges, transit and rail operations and best practices.

Wanek-Libman has held top editorial positions at freight rail and public transportation business-to-business publications including as editor-in-chief and editorial director of Mass Transit from 2018-2024. She has been recognized for editorial excellence through her individual work, as well as for collaborative content.

She is an active member of the American Public Transportation Association's Marketing and Communications Committee and served 14 years as a Board Observer on the National Railroad Construction and Maintenance Association (NRC) Board of Directors.  

She is a graduate of Drake University in Des Moines, Iowa, where she earned a Bachelor of Arts degree in Journalism and Mass Communication.