Green buses to save hundreds of jobs

The Darwen Group, which bought Blackburn-based East Lancashire Coachbuilders, is to make a hybrid double decker bus which will run on a combination of electricity and diesel.

Hybrid vehicles produce lower emissions making them more environmentally friendly.

The Lower Phillips Street company, which had been operating for 73 years before going into administration last Friday, is also hoping to bring in millions of pounds of extra business by securing contracts for the 1,500 extra buses needed for the 2012 London Olympics.

It is also hopeful of supplying vehicles to a host of operators who were ready to replace their fleets.

The Darwen Group is a newly formed company set up by entrepreneur Roy Stanley, chief executive of electric vehicle manufacturing company The Tanfield Group plc, based in Tyne and Wear.

The deal, worth several million pounds, has also seen North West Bus and Coach Repairs, Appleby Street, Blackburn, bought by The Darwen Group.

And civic and environmental leaders have hailed the announcement as great news for the town after 360 jobs were threatened when the two firms went into administration.

The world's first hybrid single decker bus was introduced on one route in London by rivals The Wright Group in March this year by mayor Ken Livingstone.

Andrew Brian, chief executive of Darwen Group, said the company had now developed the technology for a hybrid double decker bus which should be in service by the middle of 2008.

The hybrid is expected to cost about £300,000 compared to about £200,000 for a normal double decker.

Mr Brian said bus operators would recoup the extra outlay in fuel savings within three years, meaning companies could save about £260,000 in overall costs during a vehicle's life span.

Blackburn MP Jack Straw visited workers at the firm yesterday to celebrate the saving of their jobs.

He said: "I have had a long association with the company and I was aware of some of the difficulties the company was in financially.

"The only way it could be saved was if someone came in with the confidence that they could turn it around.

"This company not only matters hugely to all the workers and their families but also to the town as a whole.

"Maintaining manufacturing and the skills of the workers is important for the future of the area."

Mike Damms, chief executive of the East Lancashire Chamber of Commerce added: "East Lancashire Coachbuilders has a very capable and skilled workforce.

"We are really pleased it has attracted investment and someone has come in showing confidence."

Mr Brian said: "The last significant investment in the industry was in 1998 and busses have typically a 10 to 12 year cycle.

"It is our view the industry is due another run of comparable investment.

"Combining that with the Olympics where approximately 1,500 vehicles have been requested, for the foreseeable future there is an opportunity to secure significant orders.

"Secondly there is the opportunity to develop more environmentally friendly vehicles.

"We will be making a diesel electric hybrid for which the technology is available.

"Other people are talking about it but we are doing it."

East Lancashire Coachbuilders produces about 250 busses a year for use across the UK and Europe and has about 5,000 vehicles in service.

A spokesman for Friends of the Earth said: "Friends of the Earth supports public transport and we would like to see more cleaner and fuel efficient vehicles on the streets.

"It is important public transport reduces emissions.

"We welcome this as not only will jobs be safeguarded but it will help to make public transport more environmentally friendly."will run on a combination of electricity and diesel.

Hybrid vehicles produce lower emissions making them more environmentally friendly.

The Lower Phillips Street company, which had been operating for 73 years before going into administration last Friday, is also hoping to bring in millions of pounds of extra business by securing contracts for the 1,500 extra buses needed for the 2012 London Olympics.

It is also hopeful of supplying vehicles to a host of operators who were ready to replace their fleets.

The Darwen Group is a newly formed company set up by entrepreneur Roy Stanley, chief executive of electric vehicle manufacturing company The Tanfield Group plc, based in Tyne and Wear.

The deal, worth several million pounds, has also seen North West Bus and Coach Repairs, Appleby Street, Blackburn, bought by The Darwen Group.

And civic and environmental leaders have hailed the announcement as great news for the town after 360 jobs were threatened when the two firms went into administration.

The world's first hybrid single decker bus was introduced on one route in London by rivals The Wright Group in March this year by mayor Ken Livingstone.

Andrew Brian, chief executive of Darwen Group, said the company had now developed the technology for a hybrid double decker bus which should be in service by the middle of 2008.

The hybrid is expected to cost about £300,000 compared to about £200,000 for a normal double decker.

Mr Brian said bus operators would recoup the extra outlay in fuel savings within three years, meaning companies could save about £260,000 in overall costs during a vehicle's life span.

Blackburn MP Jack Straw visited workers at the firm yesterday to celebrate the saving of their jobs.

He said: "I have had a long association with the company and I was aware of some of the difficulties the company was in financially.

"The only way it could be saved was if someone came in with the confidence that they could turn it around.

"This company not only matters hugely to all the workers and their families but also to the town as a whole.

"Maintaining manufacturing and the skills of the workers is important for the future of the area."

Mike Damms, chief executive of the East Lancashire Chamber of Commerce added: "East Lancashire Coachbuilders has a very capable and skilled workforce.

"We are really pleased it has attracted investment and someone has come in showing confidence."

Mr Brian said: "The last significant investment in the industry was in 1998 and busses have typically a 10 to 12 year cycle.

"It is our view the industry is due another run of comparable investment.

"Combining that with the Olympics where approximately 1,500 vehicles have been requested, for the foreseeable future there is an opportunity to secure significant orders.

"Secondly there is the opportunity to develop more environmentally friendly vehicles.

"We will be making a diesel electric hybrid for which the technology is available.

"Other people are talking about it but we are doing it."

East Lancashire Coachbuilders produces about 250 busses a year for use across the UK and Europe and has about 5,000 vehicles in service.