Electric buses will account for nearly one-third of all buses on the road by 2030, according to Navigant Research.
The 33% increase in the adoption of electric buses will be as a result of the continued decline in battery prices and the need to reduce carbon emissions from the transportation industry.
Electric buses show the potential to be the leading segment for commercial vehicle electrification.
China will continue to be the leading market segment for overall sales of electric buses and is expected to maintain the vast majority of the market share with 74% by 2030.
North America and Europe will jointly make up nearly 14% of all-electric buses sales by then.
William Drier, a research analyst with Navigant Research, said: “Fleets can take advantage of increasing government support to help surmount the high upfront costs associated with e-buses.
“Transit, coach, shuttle, and school fleets can use e-buses to achieve their emissions and air quality targets while improving their bottom line. These market conditions can enable e-buses to lead the way on the electrification of other commercial vehicle segments.”