A leading Australian bus operator and multi-modal transport provider has retained and expanded its public transport service contracts in Australia with successful bids on major Melbourne metropolitan bus franchises.
ComfortDelGro Corporation Australia Pty Ltd (CDC), through its subsidiary CDC Victoria Pty Ltd (CDC Victoria), has been awarded three of five available franchises within the Victorian Department of Transport and Planning’s Metropolitan Zero Emission Bus (ZEB) Franchises tender process. Under the new franchises, buses and depots will be transitioned to full ZEB operations prior to the end of the 10-year contract term and funded under the new contracts.
The three contracts commence in July 2025. Together, the contracts make up a significant part of metropolitan Melbourne’s public transport network, comprising of 250 public bus and school routes, serviced by over 360 buses, which is 86 more buses than the existing contract. Combined, these services equate to around 20% of Melbourne’s Metropolitan Network.
CDC Victoria currently operate bus services across Melbourne’s west, south-west and inner south-east. With these contracts secured, CDC Victoria will expand its Melbourne footprint to operate additional bus services across the west and north-west regions. The award of these franchises will expand CDC Victoria’s operations to employ over 1100 people in Victoria.
During the tendering process, CDC Victoria reached an agreement with the operator of two existing metropolitan bus services contracts (Broadmeadows Bus Services Pty Ltd & SITA Holdings Pty Ltd), whereby CDC Victoria and these entities (collectively known as Kastoria) will work together to transfer the Kastoria assets and staff required to operate the new contract in the north-west of Melbourne.
CDC Victoria CEO, Jeff Wilson said, “It is timely that these franchises have been awarded as we celebrate our 15th year of providing safe, reliable and customer-driven services to our customers and communities in Victoria.
“The award of these franchises reflects CDC Victoria’s capacity to manage complex, busy metropolitan routes and school services safely, sustainably and with a focus on excellent customer service. Linking people, places and communities is what we do, and these contracts will enable us to continue to connect people and contribute to social cohesion across Metropolitan Melbourne, while providing long-term employment opportunities for local people.”
ComfortDelGro Australia CEO, Nicholas Yap said the retention and expansion of these contracts is the next stage in a journey towards zero emissions.
“We are delighted to be supporting the Victorian government on their electrification journey as we transition our fleet to zero emission vehicles. With Australia’s largest fleet of hybrid buses and seven electric buses in our Victorian fleet already, our commitment to the reduction of our environmental footprint is crucial to sustainability and reflects our commitment at a local and national level to build a better future for transport.”
ComfortDelGro Australia Chairman, Russell Balding said, “This tender success in Melbourne builds on competitive tender wins for CDC across Australia over the last 24 months, including the retention and expansion of metropolitan Sydney services, retention of existing Outer Metropolitan NSW services and the award of Darwin public bus services. In addition, CDC has recently transitioned to full operation of Outer Metropolitan Bus Services Contract for Region 7 on the NSW Central Coast.”
