Content

8.1

Since the Clean Air Zone became operational in
March 2023, monitoring has shown that the majority of the vehicle
fleet in Sheffield has continued to upgrade to cleaner newer
vehicles. This has contributed significantly to the pronounced
improvement in Air Quality observed across the city in 2024.
 
Working closely with Defra, DfT and the Joint
Air Quality Unit (JAQU), we have secured approval to use Clean Air
Funding towards a local Zero Emission Bus (ZEB) scheme which, along
with a £2.6m contribution from our Clean Air Investment Fund,
will create a c.£11.5m fund to accelerate the transition to
electric buses in Sheffield.

 

 

8.2

RESOLVED UNANIMOUSLY:- That the
Transport, Regeneration and Climate Policy Committee:-
 

(a) 
notes the progress made towards achieving legal annual average NO2
limits and the further challenges associated with the accelerating
reduction at the remaining exceedance locations;
 

(b) 
agrees to the Zero Emission Bus (ZEB) grant assistance proposals
including the commitment to allocate £2.6m from the Clean Air
Investment Fund, and that the final scheme will be agreed by the
Director of Investment, Climate Change and Planning;
 

(c)  
agrees the proposed approach to, and the associated communication
of, the cessation of the grant schemes for LGV, HGV and taxi
vehicle types;
 

(d) 
agrees that the Council continues to work proactively with HM
Government and the South Yorkshire Mayoral Combined Authority to
progress the local transition to zero emission bus as quickly as
possible to further protect the public form the harmful impacts of
roadside NO2. Pursuant to this being agreed, officers will
negotiate the terms of a Zero Emission Bus (ZEB) grant scheme;
and
 

(e) 
delegates the decision whether to agree the final terms of the ZEB
grant scheme to the Director of Investment, Climate Change and
Planning in consultation with Transport, Regeneration and Climate
Policy Committee lead members.

 

 

8.3

Reasons for
Decision

 

 

8.3.1

Our modelled CAP scheme
approved by HM Government assumed all buses in Sheffield and those
on key routes in Rotherham would be a minimum of Euro VI standard
equivalent to achieve nitrogen dioxide legal limits in the shortest
possible time in line with our Ministerial Direction.

 

 

8.3.2

However, bus upgrade has not
been able to progress as planned and annual average air quality
data for 2023 showed that some locations remain above legal limits
at some locations where bus emissions are a significant
contributing factor.

 

 

8.3.3

Therefore, further action is
required to accelerate the reduction of bus emissions. The proposed
re-allocation of funds will initiate a transition to zero emission
buses in the city.

 

 

8.3.4

As set in the December 2023 and
February 2024 TRC committee reports, a cautionary approach will be
taken to investment of CAZ surplus income to ensure sufficient
funds are retained to cover life-cycle operation costs and any
changes required to achieve legal annual average nitrogen dioxide
limits across the city. Therefore, commitments ‘at
risk’ against funds not yet received will not be
made.

 

 

8.3.5

However, it is important that
there is continued investment in activities that will accelerate
achieving reduce annual average nitrogen dioxide limits in line
with our Ministerial direction.

 

 

8.4

Alternatives
Considered and Rejected

 

 

8.4.1

Alternative Option
1:
No change to our existing
Financial Assistance Schemes (FAS) to support Zero Emission Buses.
The applications to the existing FAS would continue to be at a
significantly reduced level with the consequent risk that
Government may seek the return of unused funds. The demand for the
existing FAS would not support the required NO2 reductions at
existing locations of exceedance in Sheffield.

 

 

8.4.2

Alternative Option
2:
Continue to make the case to
Government for additional funding for Zero Emission Buses. We are
continuing to make the case for additional funding over and above
our current funding. This includes highlighting why cities like
Sheffield, Birmingham and Bradford, who have taken decisive action
to address air quality (but in light of the outcome of the DfT bus
retrofit review), require further investment in ZEB. However, the
reallocation of existing funding to a local ZEB scheme could
support the accelerated transition to EV buses in Sheffield and
realise the consequent air quality benefits sooner. This is the
preferred option.