Developing the Approach
To address the identified Sustainable Transport theme and related strategic outcomes, the Council aimed to improve carbon efficiencies across their passenger transport fleet. The focus for the project was the passenger transport contracts used in the Council.
Fife Council’s passenger transport contracts include:
- Dynamic Purchasing System (DPS) for Education Taxis and Minibuses
- Education Taxi and Minibus Framework
- Dynamic Purchasing System (DPS) for local, school and ad hoc bus and coach services operated by PSVs
- Social Work & Housing Transport Framework
To ensure the passenger transport contracts were supporting all the project objectives, including climate objectives, an extensive programme of stakeholder engagement was carried out.
Internal partner collaboration
The Procurement team worked with their Client Services to ensure agreed new vehicle standards were unlikely to adversely impact tender prices and, therefore, their budgets.
They also engaged with the Climate Change Team within the Council to gain a deeper understanding of the Climate Fife strategy document. The two teams exchanged ideas, discussed goals, and explored opportunities beyond decreasing fleet emissions.
External partner collaboration – Market Engagement
The Council met with their local supply base to explain the Climate Fife strategy and how it will impact future tenders. They listened to feedback to understand the marketplace and to know what could be achieved and by when. The engagement helped to ensure that respective commercial priorities of the Council and the market were understood.
A manageable transition was essential in terms of vehicle availability (both new and second hand), purchase costs, depreciation, contract length and likely phaseout of new diesel buses/coaches expected 2032-2035. In partnership with suppliers a manageable transition to a greener and cleaner fleet was defined.
By getting contractors to recognise the likely Government timeline for diesel phaseout, discussion focused on options for minimum engine types. Initially, this considered EURO IV for school bus contracts and EURO V for local bus contracts from August 2023. However, this twin track approach was seen as inconsistent. A compromise was agreed that all bus contracts should be EURO V from August 2024, with continuous improvement expected for fleet replacement. This allowed a full two years’ notice for operators to consider fleet changes. EURO VI will be the minimum standard from August 2028: a six-year notice. This will allow a transition to EURO VII engines and/or zero emission vehicles over the next decade.
External partner collaboration – ECO Stars Team
The Council also met with ECO Stars (TRL) to understand how ratings were calculated and could be used in the tender evaluation process. ECO Stars is a grant-funded scheme that helps fleet operators improve efficiency, lower emissions, reduce fuel consumption, and make immediate cost savings.
As a result of the various engagement sessions, it was identified that support in upskilling was needed in the market and considerable time was invested to onboard businesses to the Eco Stars scheme. This was an essential part of the strategy to encourage positive action and commitment and bring local and SME suppliers along on the journey to improved outcomes.
The Council now have 150+ contractors who are members of the ECO Stars scheme, with ratings between 2 and 5 (range is 0 to 5) and monitoring is in place for improvements to these ratings over time. Contractors are aware that a higher rating will contribute towards a better tender evaluation score.