Q&A
YOUR KEEP
COOL
OUR RADIATORS LET YOU
in the depot. You’ve got a lot of stop and go for regenerative braking. It’s ideally set so that it is specific to school buses. But you know, part of Daimler, globally we serve markets all around the world and want to lead in this space. With that, we work with a lot of different partners, from battery partners, drive systems, accessories, financial services. It’s a significant investment for our dealers as well. [Daimler has] continued to invest, like in the Greenlane [charging station joint venture]. Those things take time to put in place, and you don’t make investments on short-term plays. This is a long-term play, and this is an area that we think is going to be not only the right thing to do for our environment, for our communities, but it’s going to be the right long-term play for our customers from an efficiency and certainly from a health and communi- ty perspective, especially on school buses. That’s why it’s important we have what I would call our core business based upon internal combustion engines. That generates the cash flow that allows us to invest in a lot of this technology. We’ve got, I would say, that very phased approach, where we install, we learn, we adapt, we per- fect, we continue to move forward. That’s not only just with us, that’s with our customers, as we learn how to put these new vehicles in applications that they hadn’t been in before. We’ve been doing internal combustion en- gines for over 100 years, and that was always changing and evolving. So, there’s nothing different here. But it’s nice, too, from a Daimler perspec- tive, we have the global toolbox, that know-how. There are components and systems that we can use that work for us in a school bus application, some that don’t. So, we have that optionality to really work with a lot of different partners, including ourselves. That gives us a lot of capability.
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STN: We’ll get back to diesel in a moment. Obviously, range is a chal- lenge with electric school buses. But infrastructure has been named by many as the biggest challenge to adoption and scalability. Does that continue to be the number one obstacle? Are there others? Reed: We have a kind of famous calculation that we always talk about in the marketplace. You’ve got to have infrastructure readiness. You’ve got to have a vehicle that’s ready. Then, you’ve got to have basically the economics from a TCO of operation. If any one of those factors is zero, the calculation is zero. And certainly, we’re still in the very early days of infrastructure. So, for us to get to the point where we’re going to start to scale and see higher volumes, we’ve got to have infrastructure certainly coming in at a much greater pace. That’s not just only for school buses, that’s commercial vehicles, that’s passenger cars, that’s everything, in gen- eral. I think that theme hasn’t changed. We’ve seen investment, we’ve seen partnerships, but those need to continue to scale up. Then the second part of the equation is, we ’ve got the vehicles. They’re ready. They’re perform- ing in the market today, and they’re getting better and better every day. And as they do that, that’s going to increase volume. As volume increases, that’s going to start to bring the cost down to help with the TCO parity. All those three things need to line up, and infrastructure remains the biggest challenge, not just in the school bus industry but really across the board.
STN: What role has the EPA Clean School Bus Program played in terms
of pricing electric school buses compared to supply chain congestion? Reed: There’s certainly circular logic when it comes to supply and
30 School Transportation News • MARCH 2025
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