- UK transport operator FirstGroup’s energy investment branch, FirstGroup Energy, is making a £1 million investment in KleanDrive, the creator of modular electric drive units which can quickly convert existing heavy diesel and petrol vehicles.
- The investment comes as the transport operator aims to have a complete zero-emission fleet, by 2035.
- FirstGroup has a goal of making the total cost of ownership of electric buses equal to, or cheaper than, ICE buses, which this investment should help contribute to.
FirstGroup invests further into decarbonisation
KleanDrive’s solution involves an all-in-one electric drive solution, so that existing diesel-powered vehicles can simply have their drivetrain switched out, causing less waste than would be associated with buying a brand new electric bus as a replacement. With the investment, FirstGroup’s bus arm will likely use this as one of its solutions to decarbonising its fleet, alongside buying all-new electric buses, where existing vehicles have reached the end of their usable life.
KleanDrive’s model already estimates that by a bus operator adding its electric motor into one single decker diesel bus, which still has around 13 years of life yet, will save over £185,000 instead of buying a new electric bus.
Faizan Muhammad, Investment Director of FirstGroup Energy Limited, commented:
“This transaction represents our first venture investment and is consistent with our focus on accessing new and innovative solutions through targeted investments. KleanDrive’s cutting edge technology offers a complementary option, and greater coverage, to support fleet operators in their decarbonisation efforts.”
Joe Tighe, CEO of KleanDrive, added:
“We are delighted at FirstGroup’s investment and as part of this we welcome Faizan Muhammad onto the board as both a strategic investor and a partner in driving the future of zero-emission transport. We are offering fleet operators across the UK a real, actionable pathway to decarbonise—without waiting years for new vehicles. Repowering existing fleets with the latest electric technology allows operators to extend vehicle life, reduce emissions, and materially lower costs.”
