Plans to expand Highland Council-owned bus service with £6m after D&E Coaches buyout and a further £8m will be invested in renewable energy projects that have been touted for years

Highland Council wants to expand its publicly owned bus service with £6 million to be invested at some point in the next three years while at the same time boost the funding for renewables projects.

On Thursday, the keynote meeting of the year will see the council debate the proposed £818 million revenue budget containing significant proposals like a seven per cent rise in council tax.

But as part of what is now a proposed three-year financial plan, £14 million has been allocated for expansion of bus company operations across the region and shared investment in renewable energy opportunities.

The £6 million is proposed to be allocated for an “investment in community transport” to build on the success of the council’s in-house bus service by expanding its services to benefit more communities across the Highlands.

Last month, the council took over the operations of D&E Coaches who had operated a significant number of school contracts which will now be serviced in-house by the council.

The move was a major spend to save amid spiralling costs of school contracts and the need for greater levels of services across the region.

On top of that £8 million is proposed to be allocated for shared investment in renewable energy opportunities created by the Social Value Charter for Renewables.

The charter was agreed by the council in June 2024 and aims to maximise economic benefits from natural resources by setting out the community benefit expectations from developers wishing to invest in renewables in the Highlands.

It will also look at ways in which public, private and community partnerships can support and enable this contribution.

What the council’s political leadership say about the investment

Councillor Ken Gowans, chairman of the economy and infrastructure committee:

“A big part of our budget setting process is focussing on investing in our Highland transport services.

“In our My Future Highland Programme we gave a commitment to develop affordable and reliable public transport, as part of our work to develop sustainable communities.

“Since we established our In-House Bus Service it has grown from strength to strength. The Council spends around £25 million on school and public transport throughout the region, with well over 300 separate contracts.

“The last tendering round saw an increase of £8m in one financial year, which led to the Council setting up an in-house bus team. The new £6 million being proposed will enable us to expand our operations, increase the availability of service provision and facilitate improved cost effectiveness in the next round of bus contract tenders.”

Councillor Michael Green, the vice-chairman of the economy and infrastructure committee:

“The public are set to benefit with greater control in the ways in which public and school transport is managed across the Highlands.

“This investment may well have positive impacts on older and younger age groups, and disabled people reliant on bus services, also those on lower incomes by supporting access to employment and training especially in rural areas through more accessible service provision.”

Councillor Raymond Bremner, leader of Highland Council:

“If approved, an £8 million investment in renewable energy projects will reaffirm the council’s vision as a centre for global renewable energy by capitalising on the wealth of resources and expanding renewables development in the Highlands.

“Significant investment opportunities in renewable energy schemes are being created through the Social Value Charter for Renewables, and we hope these investments could support a sustainable, long-term income stream for Highland Council.

“The charter was developed as a way of unlocking economic opportunities for the Highlands and this investment would strengthen our commitment to community wealth building and enabling this wealth to remain within the local area.”

Councillor Bill Lobban, Convener of Highland Council:

“By capitalising on natural resources to deliver alternative energy solutions, the Council aims to create a more sustainable Highland environment for our communities.

“We must ensure that those living in the Highlands can benefit from potential income from renewables and the economic growth that these developments can support.

“The scale of renewable investment opportunities is considerable and a long-term revenue income for the Council and community partners could leave an important legacy that would have lasting benefits and positive impacts for local communities whilst addressing climate challenges.”

Do you want to respond to this article? If so, click here to submit your thoughts and they may be published in print.