×

NFI Group Unsure How FTA Changes Affect Company

It will take time to see how a recent Federal Transportation Administration announcement regarding zero emissions buses could affect the owner of the New Flyer manufacturing plant in Jamestown.

Sean Duffy, federal transportation secretary, said July 25 that he has heard concerns about limitations and challenges associated with zero-emission technology before the Trump Administration chose to allow grant recipients to change how they use their previously awarded grant funding.

Grant recipients interested in making a zero-emission vehicle or zero-emission infrastructure project change request, or requesting reconsideration of a previously denied request, should contact their FTA Regional Office and submit a written request detailing the requested change and the reason(s) why. FTA will consider all requests submitted in a timely manner.

“Both sides of the aisle are united against the Biden-Buttigieg Green New Deal Agenda that put American Energy LAST and burdened our transit partners with inefficient and expensive rules. I’m proud to provide our transit operators the flexibility to use all sources of American Energy to power our transit infrastructure and focus on building safe and reliable buses for American commuters,” Duffy said.

Paul Soubry, CEO of NFI Group, which owns the New Flyer manufacturing plant in Jamestown, was asked about the Trump Administration’s support of low emissions transportation rather than the Biden Administration’s support for zero emissions buses, but said he doesn’t think Duffy’s announcement will change much for NFI Group in the short term. Soubry said between 30-35% of NFI Group’s deliveries are zero emission buses, and NFI Group is projecting zero emission bus deliveries to reach 40% to 50% by 2028 and 2029. Long-term, though, Soubry said it’s too early to tell how Duffy’s announcement could affect NFI Group.

NFI Group had put in around 150 proposals to team for low-emissions and no-emissions federal grants. Soubry said it’s likely some customers who received funding have already begun their procurement based on the prior grant announcements – which explains projections for the short-term increase in zero emissions buses. Soubry said that trend could reverse itself given the federal government’s preference for low-emissions transportations as well as delays in charging infrastructures that could cause zero emission bus orders to be reconsidered. Cost concerns are also prompting some fleets to reconsider zero emissions buses – with Soubry mentioning New York state as one that may slow the pace of its zero emission bus transition. The NFI Group president said he may have a better feel for how the July 25 announcement could affect NFI Group when the company discusses its third quarter financial results.

“That’s the first time we’ve seen that because up to this point in time you have a contract for an (internal combustion) engine or for a zero emission,” Soubry said. “You can’t make changes to the carbon changes to the propulsion dynamic. You’ve got to issue a new RFP and so forth. Whatever they get back in terms of requests will also signal what that might do to the overall adoption of zero emission. So I’m not trying to elude the question, but it’s kind of a little bit too early to answer.”

Starting at $3.50/week.

Subscribe Today