The capital region bus company, Strætó, has received 95 million ISK from the European Union to purchase hydrogen-fuelled buses by the end of next year, RÚV reports.
Strætó currently uses fourteen electric buses. Their range is limited, however, and can only be used for half a day. By contrast, hydrogen buses can last a whole day before needing refuelling. Hydrogen fuel has been in development for decades, and hydrogen buses were introduced to Iceland some years ago. However, the technology was not robust enough at the time and the project abandoned shortly thereafter.
With new innovations made to the technology in recent years, hydrogen buses are now a more viable alternative. The government has indicated previously that it intends to waive import duties on all forms of non-carbon fuelled vehicles—currently, the tax exemption is only for electric vehicles.
Iceland is not a member of the EU but is bound by most its rules and can receive funding as part of the European Economic Area. This project, which aims to launch more sustainable transport options across the continent, is but one example, but marks an important step for Iceland and its image as a “green” country.