Now Available: CUTA’s 2025 ZEB Readiness Report

Each year, CUTA conducts a survey of transit agencies to gauge their readiness to incorporate zero-emission buses (ZEBs) into their fleets. This year’s survey introduced new questions to better capture technical specifications and assess the impact of evolving policy factors, including U.S. tariffs. 

Canada’s transit sector is moving forward on ZEBs, but with a mix of progress and caution. CUTA’s 2025 ZEB Readiness and Procurement Survey shows growing readiness among transit systems, while also highlighting short-term shifts in procurement strategies. 

Nationally, reported readiness rose by about 15 percent, with every region outside Ontario describing higher confidence in their ability to move forward. Several agencies that were once only researching ZEBs have advanced to planning or early implementation stages. 

Procurement intentions, however, reflect a more cautious approach. Battery electric buses made up 66 percent of short-term (0–3 years) procurement plans in 2024, but only 42 percent in 2025. In the medium term (4–6 years), the share also fell from 88 percent to 66 percent. At the same time, hybrid and diesel plans increased, particularly in Ontario and the Maritimes. In Ontario, diesel procurement in the 4–6 year range rose by 16 percent. 

The reasons are complex. Agencies cited the cost of infrastructure, challenges in working with utilities, and local power limitations. Although many systems are investing in garage upgrades and charging facilities, regional approaches vary.  

Survey respondents also identified where federal support would be most useful. Priorities included predictable, long-term funding commitments, assistance with infrastructure and utility coordination, and simplified funding application processes. Some agencies noted that evolving U.S. tariffs could also affect costs and procurement timelines, underscoring the influence of international policy on local planning. 

The findings point to a maturing conversation within the sector. Transit systems are moving beyond broad discussions of electrification and focusing instead on the technical and financial realities of implementation. 

For governments, the message is consistent: agencies are preparing for a ZEB future, but require policy stability and infrastructure support to deliver on their plans. For riders and the public, the transition may take longer than originally anticipated, with diesel and hybrid vehicles continuing to play a role in the mix. 

The 2025 survey captures a sector in transition, balancing ambition with pragmatism. While the path forward is not linear, the groundwork for wider ZEB adoption is firmly underway.