HSL introduces bonuses to encourage operators to reduce emissions

HSL will introduce an environmental bonus to encourage bus
operators to take measures to reduce emissions. The bonus model
takes into account both carbon emissions and harmful local
emissions.

In future, HSL will hold an annual bidding in which operators
can propose new measures to reduce emissions. HSL approves the best
measures in order of their cost-effectives so that the overall cost
is within the amount budgeted for the bonus each year. 

The first this kind of bidding will be held during the spring
and the bonus will be introduced next autumn. HSL has budgeted EUR
600,000 for the first bonus period which runs until the end of
2013.

Operators can get bonus, among others, for using a biofuel -
biogas, biodiesel or bioethanol. Bonus is paid only for biofuels
derived from waste. The reduction in emissions is calculated in the
same way as in the comparison of operators’ vehicle fleets
conducted during the bidding processes for bus routes. The
reduction is calculated on the basis of the amount of fuel used
during the bonus period and the amount of reduction in emissions
achieved verified by measurements by research institutions. 

The emissions impacts of biofuels are calculated using the
sustainability criteria defined in EU Directives.

Operators can get bonus also for reducing the amount of fuel
consumed and for more efficient exhaust gas purification. The
emissions impacts of these measures are estimated on the basis of
measurements by independent research institutions. One
cost-effective means of reducing local emissions is, for example,
fitting Euro 4 category and older buses with after-treatment
devices. 

HSL believes that the environmental bonus to be paid annually
will contribute to reducing emissions using the best currently
available tools. The annual bonus adapts to advances in technology
and to changes in the methods for calculating emissions impacts.
The amount of bonus can be increased or decreased by taking into
account e.g. results achieved with the help of previous bonuses,
delivery of the emissions reduction targets by other means as well
as HSL's owner municipalities’ willingness to provide
funding.