Councilors have agreed a £5 million loan to Reading Buses
Councilors have agreed a £5 million loan to Reading Buses. Reading Buses will buy 25 new hybrid double Decker buses. On Monday last week, at a meeting Members of Reading Borough Council’s cabinet approved the deal. Conservative opponents were skeptical about the move. They reminded councilors of the bus company’s ill-fated investment in 2008 in bio-ethanol fuel buses. The council has asked by Reading Transport for the £5 million to top up a grant received from the Department. The fund is for Transport’s green bus fund.
“These buses are cheaper to maintain, cheaper to run and they produce less CO2,” lead member for transport Councilor Tony Page said. Responsible for transport under the previous coalition administration, Cllr Richard Willis said “We have heard an awful lot before about buying buses without any business case.” He added “we all know what happened to the eco-buses.”
Cllr Willis was referring to the council’s decision in 2007 to put £200,000 to install a special fuel station in the Great Knollys Street depot. In 2007, Reading Transport put £50,000 towards the cost of each of the 14 £205,000 bio-ethanol buses purchased. Because the fuel was costing an extra £354,000 per year, the bus company converted the vehicles to bio-diesel.