By San José, Costa Rica — Costa Rica’s ambitious goal of transitioning to electric buses is facing significant challenges due to a lack of government funding and necessary electrical infrastructure. This situation casts a shadow over the nation’s Plan for Decarbonization, which aims to have 30% of the bus fleet running on electricity by 2035.
Experts both within Costa Rica and internationally have expressed concerns about the feasibility of achieving this target given the current circumstances. The financial hurdles are particularly daunting for bus operators seeking to modernize their fleets.
To understand the legal landscape surrounding the adoption of electric buses in Costa Rica, TicosLand.com spoke with Lic. Larry Hans Arroyo Vargas, an attorney at Bufete de Costa Rica.
The transition to electric buses presents exciting opportunities but also complex legal considerations. Regulations regarding charging infrastructure, battery disposal, and government incentives are still evolving. Companies investing in this sector must navigate these legal complexities strategically to ensure compliance and maximize the benefits of this sustainable transportation solution.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
Lic. Arroyo Vargas’s insights highlight a crucial aspect of the electric bus revolution: it’s not just about the technology, but also the supporting legal framework. Successfully integrating electric buses into Costa Rica’s transport landscape requires careful consideration of these evolving regulations, ensuring both environmental and economic sustainability. We thank Lic. Larry Hans Arroyo Vargas for offering this valuable perspective.
Given the complicated scenario of uncertainty, especially due to the loss and fall in demand, it is impossible at this moment to define dates for the implementation of the electrification process.
Silvia Bolaños, Executive President of the National Chamber of Transport (Canatrans)
Bolaños emphasized the lack of financing from both the government and banks as a major impediment for operators looking to invest in electric buses. She stressed the importance of accessible financial conditions alongside system sustainability. She pointed out the irony of pursuing electric buses while over 114 communities lack service altogether.
The transition to electric buses is not only about environmental targets but also about enhancing the experience for both passengers and bus companies. The Autoridad Reguladora de los Servicios Públicos (Aresep) has presented a new tariff model that highlights the potential cost reductions associated with electric buses.
Electric buses also have benefits for passengers since they have less vibration and less noise; they are also faster to accelerate and brake, so I believe that passenger comfort will also increase significantly.
Eric Bogantes, General Regulator of Aresep
Silvia Rojas, Executive Director of the Costa Rican Association of Electric Mobility (Asomove), believes that electrification could revitalize public transportation, making it more modern, efficient, and appealing to commuters.
We believe that electrifying is the opportunity to modernize them because, even with combustion buses, we don’t have a modern, integrated public transport system that is efficient, that people want to leave their cars for and get on the bus, that is safe, that has good frequencies, and that is fast; so, electrifying it is the opportunity.
Silvia Rojas, Executive Director of Asomove
While Costa Rica grapples with these challenges, other Latin American countries are making significant strides in electric bus adoption. Andrés Rebolledo, Executive Secretary of the Latin American Energy Organization (Olade), cited Chile and Colombia as examples, with some cities already achieving 100% electrification of their bus fleets.
Business models with regulations that generate incentives for operators are required; and there Latin America is very diverse because in some cases the operators are private and in others public, but regulation is fundamental, where technology requires a significant effort in terms of investment.
Andrés Rebolledo, Executive Secretary of Olade
In terms of electric buses, particularly urban and interurban, the truth is that Colombia and Chile have taken very important steps; in fact, Santiago de Chile is the city that, after China, has the most electric buses circulating.
Andrés Rebolledo, Executive Secretary of Olade
The new methodology has the advantage that operating costs are much lower than in diesel fleets, and that gives the operator a large amount of significant savings in terms of operating expenses.
Eric Bogantes, General Regulator of Aresep
For the sector, the most important thing immediately is to establish a crisis table that allows us to intervene in the situation we are experiencing and guarantee the sustainability and continuity of the public service.
Silvia Bolaños, Executive President of Canatrans
For further information, visit the nearest office of Canatrans
About Canatrans:
The National Chamber of Transport (Canatrans) in Costa Rica represents the interests of bus operators and advocates for policies that support the sustainability and development of the public transport sector. They play a key role in negotiations related to fares, regulations, and modernization efforts within the industry.
For further information, visit the nearest office of Aresep
About Aresep:
The Autoridad Reguladora de los Servicios Públicos (Aresep) is the regulatory authority for public services in Costa Rica, responsible for setting tariffs, ensuring service quality, and promoting competition in sectors such as transportation, electricity, and water. They play a crucial role in shaping the framework for the introduction of new technologies and services like electric buses.
For further information, visit asomovecr.org
About Asomove:
The Costa Rican Association of Electric Mobility (Asomove) is a leading advocate for the adoption of electric vehicles and related infrastructure in Costa Rica. They promote electromobility as a solution for sustainable transportation, working with government agencies, private companies, and the public to accelerate the transition to cleaner and more efficient transportation systems.
For further information, visit olade.org
About Olade:
The Latin American Energy Organization (Olade) is an intergovernmental organization that promotes regional integration and cooperation in the energy sector. They provide technical assistance, facilitate dialogue, and share best practices among member countries to advance sustainable energy development and address common challenges in the region. They play a crucial role in tracking and supporting the progress of electromobility initiatives in Latin America.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
Bufete de Costa Rica is a respected legal institution built on a foundation of integrity and a pursuit of excellence. The firm’s innovative approach to legal practice, combined with a deep commitment to educating and empowering Costa Rican society, distinguishes its work. Through proactive community engagement and accessible resources, Bufete de Costa Rica fosters a more informed citizenry, ensuring the power of legal knowledge benefits all.
