Nanaimo Regional Transit is the first transit system in B.C. to make the switch to compressed natural gas.
The first 10 of 25 new CNG-powered buses were unveiled at the regional transit office Friday.
CNG burns cleaner than diesel, and engines running on natural gas operate much quieter.
Gas also costs much less than diesel, and gas prices tend to be more stable.
As well, the B.C. Utility Commission decision this week to allow Fortis B.C. to amalgamate its Vancouver Island division with the rest of the province means Islanders' natural gas prices will be reduced approximately 25 per cent, to become on a par with the rest of B.C., which means further savings for regional transit.
"Today is a milestone," said Joe Stanhope, Regional District of Nanaimo board chairman. "It's the beginning of a new way to think about public transit."
The buses are so new, the final cost of the fleet upgrade is not yet available, but each bus is budgeted at $555,000.
Natural gas-powered buses cost more to assemble than diesel, but Fortis B.C. provided up to $937,500 to offset the difference in cost for the entire fleet purchase.
The changeover comes at no additional cost to taxpayers.
The transit system runs a 47-vehicle fleet on continuous, 13-year financing payments.
"Buses aren't purchased outright," said Daniel Pearce, regional transit manager.
"It's mortgaged over the life of the vehicle," Once the buses are paid off, they are replaced, and a new finance charge is taken on.
All 25 buses will be put into service this spring, as they clear inspection and commissioning.
Another 15 of the new buses are expected to arrive in Nanaimo within two weeks from Flyer, the Winnipeg manufacturer.
