London General Transport Services (LGTS), part of London’s largest bus company Go-Ahead Group, has supplied 25 electric double decker buses to the capital following a £10 million sustainable leasing package from HSBC Equipment Finance (UK) Ltd.
The support from HSBC UK has been instrumental in helping the Go-Ahead Group invest in greener transport, expanding the Group’s electric bus fleet to over 100 vehicles, saving over 5,500 tons of CO2 to date.
The buses, which are some of the first electric double decker buses to be introduced to the capital, feature iron phosphate batteries that deliver 345 kWh of power and can run for up to 190 miles of typical urban driving. They can carry up to 81 passengers at a single time and take just four hours to recharge overnight, bringing significant reductions to greenhouse gas emissions across the city.
John Slattery at Go-Ahead Group, commented: “It is vital for both the future of our planet and for public health that we invest in sustainable transport solutions. The support of HSBC UK’s sustainable lease financing has enabled us to increase the number of electric buses across London and we’re excited to continue working with the team as we strive to meet our sustainability goals.”
The funding from HSBC UK comes as Go-Ahead Group is awarded London Stock Exchange’s (LSE) Green Economy accreditation, highlighting that over 50 per cent of the company’s annual revenue is driven from products that contribute to the green economy.
Rob King, Head of Sustainability at HSBC UK said: “Although progress has been made in decarbonising sectors such as renewable electricity generation, transport is now the largest emissions emitting sector. The industry is responsible for 28 per cent of all greenhouse gas emissions in the UK with only very modest reductions achieved since 1990.
“The adoption of clean transport is a key priority in reducing greenhouse gas emissions, improving air quality and improving the population’s health. Go-Ahead Group has identified electric transport as a clean and sustainable long-term solution to the demands of public transport in London and we are very pleased to work with them on providing this sustainable lease financing.”
LGTS and Go-Ahead Group are now looking to further expansion in sustainable transport, setting targets to reduce emissions per vehicle-mile by 25 per cent over the next year and to operate a full zero-emissions fleet by 2035.
HSBC UK is an industry leader in sustainable finance and is supporting its customers transition to lower-carbon business practices. The bank has committed to provide $100bn of sustainable financing and investment by 2025. HSBC UK’s Green Loan offering is available to Large Corporates, Mid-Market Enterprises and SMEs looking to secure funding for sustainable activities. The Green Loan is available for a minimum loan of £300,000, enabling businesses to access finance to support their sustainability projects.