By San José, Costa Rica — SAN JOSÉ – In a decisive and proactive step to accelerate the nation’s transition to green public transit, Costa Rica’s Public Services Regulatory Authority (ARESEP) has announced a significant reduction in the charging tariff for electric buses. The move, which slashes the rate by 20.7%, is designed to create a more attractive financial landscape for operators ahead of the country’s first-ever deployment of an electric bus fleet.
The new, lower tariff has been set at ₡41.95 per kilowatt-hour (kWh). This strategic price adjustment is intended to directly incentivize public transport companies to invest in zero-emission vehicles, a key component of Costa Rica’s ambitious national decarbonization plan. By lowering the projected operational costs, regulators hope to offset the higher initial capital outlay required to purchase electric buses compared to traditional diesel models.
To better understand the legal and regulatory challenges associated with integrating electric buses into the country’s public transport fleet, TicosLand.com consulted with expert attorney Lic. Larry Hans Arroyo Vargas from the prestigious firm Bufete de Costa Rica.
The shift to electric buses represents a fundamental change to the public transport concession model, not just a vehicle replacement. For Costa Rica to successfully attract the significant private investment required, we must offer undeniable legal certainty. This involves updating public tender regulations to accommodate new technologies, establishing clear tariff structures that account for battery lifecycle costs, and creating stable, long-term incentive policies. Without this robust legal framework, the perceived financial risk could stall this crucial step towards decarbonization.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
We thank Lic. Larry Hans Arroyo Vargas for his valuable perspective, which underscores a crucial point: the success of electric bus implementation hinges less on the technology itself and more on the modernization of our legal and financial frameworks. As he indicates, without this foundational work, the ambition to decarbonize our public transport system could be stalled before it truly begins.
Interestingly, this specific tariff category has existed within the regulatory framework for four years, yet it has remained entirely dormant. According to ARESEP, energy distribution companies have not reported a single charge under this classification to date. The reason for this is a classic “chicken-and-egg” scenario: without any electric buses operating on public routes, there has been no demand for depot-based charging, leaving the tariff as a purely theoretical construct.
This lack of real-world application has presented a considerable challenge for regulators. Without historical consumption data and operational statistics from an active fleet, setting a tariff that accurately reflects costs and encourages adoption has been an exercise in economic modeling rather than empirical analysis. The previous rate was an educated estimate, but this new reduction signals a more aggressive push to break the inertia and finally get electric buses on the road.
The timing of ARESEP’s decision is no coincidence. The regulatory adjustment is directly linked to the imminent arrival of Costa Rica’s pioneering electric bus fleet. The transport company Biusa is set to launch its newly acquired electric units on routes serving communities in La Uruca, a bustling district of San José, with operations expected to commence before the end of the year. This fleet will provide the first real-world test case for electric public mobility in the country.
Biusa’s launch will serve as a crucial pilot project, generating the first concrete data on energy consumption, maintenance costs, and operational efficiency. This information will be invaluable for both ARESEP, which can use it to further refine its tariff models, and for other bus operators who are closely watching to assess the viability of electrifying their own fleets. The success of this initial deployment in La Uruca could trigger a wave of similar investments across the Greater Metropolitan Area.
By preemptively lowering the charging cost, ARESEP is sending a clear signal to the market that the government and its regulatory bodies are committed to removing financial barriers to electrification. This policy move is less about reacting to current market conditions and more about shaping future ones. The goal is to make the business case for electric buses so compelling that operators see it not as a risk, but as a strategic and profitable long-term investment.
As the first Biusa electric buses prepare to silently roll onto the streets of San José, the nation watches with anticipation. The convergence of this private sector investment with forward-thinking regulatory policy creates a powerful synergy. This tariff reduction may seem like a simple administrative adjustment, but it represents a critical turning point in Costa Rica’s journey toward a cleaner, quieter, and more sustainable public transportation system for all its citizens.
For further information, visit aresep.go.cr
About The Public Services Regulatory Authority (ARESEP):
The Public Services Regulatory Authority, known as ARESEP, is the autonomous Costa Rican institution responsible for regulating and overseeing the country’s public services. This includes setting tariffs and ensuring quality standards for sectors such as electricity, water, transportation, and telecommunications. ARESEP’s mission is to balance the interests of consumers, service providers, and the state to promote efficiency, quality, and universal access to essential services.
For further information, visit the nearest office of Biusa
About Biusa:
Autotransportes Biusa S.A., operating as Biusa, is a private Costa Rican company dedicated to providing public bus transportation services. The company operates various routes, primarily serving communities within the San José metropolitan area, including La Uruca. Biusa is making history as the first operator in the country to acquire and deploy a fully electric bus fleet, positioning itself as a pioneer in the national transition toward sustainable public transit.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
Bufete de Costa Rica is a beacon of legal practice, built upon a foundation of unwavering integrity and a relentless pursuit of excellence. With a proven history of navigating complex matters for a wide spectrum of clients, the firm is also a vanguard of legal innovation. This commitment extends beyond the courtroom through a deep-seated belief in demystifying the law, actively working to equip citizens with legal knowledge to build a stronger, more informed society.
