Auckland Transport has awarded a $755 million bus services contract to Kinetic that will see a fully electric fleet introduced across major routes in central Auckland from 2027.
The contract covers 23 bus routes across the Auckland isthmus and will see electric buses deployed on several frequent services. The services will also connect Auckland’s eastern suburbs with the new Eastern Busway and serve areas such as Flatbush and East Tāmaki.
Auckland Council transport and infrastructure delivery committee chair Andy Baker says the new contract will bring significant improvements for passengers who will benefit from “safe, modern, quiet and comfortable electric buses from next July”.
“Auckland’s bus network has seen some massive improvements over the past few years, with 750,000 Aucklanders now living within easy walking distance of a frequent bus stop or train station.
“The new electric buses and long-term commitment to these bus routes will help encourage even more people to make the most of the frequent and reliable buses on their doorstep which is important at a time when the cost of living and rising fuel prices are on everyone’s mind,” Baker says.
Auckland Transport director public transport and active modes Stacey van der Putten says the contract followed a competitive tender process.
“We are excited to be partnering with Kinetic to bring safe, smooth, quiet and sustainable electric buses to communities across dozens of Auckland suburbs under this contract,” van der Putten says.
“This new contract delivers outstanding value for Auckland’s bus users and ratepayers, delivering meaningful customer experience, safety and sustainability improvements at a lower annual cost than today’s service contracts.”
The agreement also includes new technology such as advanced battery systems, driving safety features and onboard fare evasion detection systems.
Kinetic New Zealand managing director Calum Haslop says the award reflects the strength of the company’s long-standing partnership with Auckland Transport.
“We’re proud to continue our partnership with Auckland Transport and to deliver these services across central and east Auckland,” Haslop says.
“Our focus is on delivering reliable, customer-first services supported by innovative fleet technology and strong local teams.”
Under the contract, lightweight electric double-decker buses will also be introduced on routes including Dominion Rd. The buses use aerospace-grade aluminium construction similar to that used in the Airbus A380, making them lighter than traditional steel-built double-deckers.
Van der Putten says the lighter vehicles will reduce wear on Auckland’s roads while continuing to deliver the capacity benefits double-deckers have provided.
“Aucklanders have really embraced double decker buses since we first introduced them back in 2013 and they have helped to really transform Auckland’s bus network into one of the best in a city of our size.
“But double decker buses have traditionally been heavy vehicles that do cause a bit more wear and tear on our roads, so I’m sure my colleagues in road maintenance will be thrilled to hear we’re getting electric double decker buses that are lighter than our current fleet of double deckers,” she says.
The deal consists of four separate bus contract units being awarded to Kinetic. These contracts replace 10 smaller existing contract units, held variously by Kinetic, Ritchies, and Howick and Eastern by Transdev.
Kinetic will begin operating the first services covered by the contract in December 2026. These services will be initially operated by modern diesel buses with a pathway towards electrification over the 8.6-year term for this contract unit.
The three contract units covering the Auckland Isthmus will commence in July 2027, with a fully-electric fleet to be used from day one. These three units have a contract length of 11 years.
The new agreement will add 125 electric buses to Auckland’s fleet by July 2027, bringing the total number of low-emission buses to nearly 600, about 44% of the network.
For Kinetic, it’s company’s largest contract award in Auckland to date.
Under the contract, Kinetic will invest more than $121 million to procure new zero-emission buses, alongside upgrading depot infrastructure and expanding charging systems across several of its Auckland depots.
The infrastructure upgrades include the installation of a second overhead gantry charging system at Kinetic’s City depot, building on New Zealand’s first large-scale gantry installation at its Glenfield depot.
In total, Kinetic will operate 201 zero-emission buses over the life of the contract, including 125 new vehicles entering service in 2027. Overall, 165 zero-emission buses will be deployed from day one of the central units in July 2027 – the largest single rollout of zero-emission buses at mobilisation in New Zealand.
Kinetic already operates more than 630 buses across Auckland’s bus network, providing established scale, infrastructure capability, and operational experience across the city.
Kinetic Group chief executive Michael Sewards says the award reflects both the scale of the Auckland opportunity and the company’s long-term commitment to zero-emission public transport across Australasia.
“This is a landmark contract for Kinetic and a major step forward for zero-emission public transport in Auckland.
“We are investing in the fleet, depot infrastructure and people required to support Auckland Transport’s decarbonisation objectives and the city’s continued growth.
“New Zealand represents our most advanced zero-emission market within Australasia, and the Auckland award further strengthens that position while reinforcing Kinetic’s leadership in electrification at scale across the region,” Sewards says.
The Auckland deal follows Kinetic’s recent $100 million contract award in Dunedin, where 37 new electric buses will join the network from October.
Across its global operations, Kinetic now operates more than 1,500 zero-emission buses across 33 electrified depots worldwide.
