The South Coast is leading the charge in renewable energy technology, with an electric bus manufacturing hub set to be built in Nowra. 

Australian-owned bus manufacturer Foton Mobility Distribution has been contracted to build 126 battery-electric buses at a manufacturing facility in South Nowra, with construction scheduled to begin in late 2025.

The project, subject to council approval, comes after the NSW Government committed to delivering the buses for service across Greater Sydney’s bus routes.

The facility will also produce battery electric trucks, as well as hydrogen fuel cell engines, creating around 100 ongoing quality, skilled manufacturing jobs for local workers.

Member for the South Coast, Liza Butler, says creating employment opportunities across the region while also meeting the NSW government’s Zero Emission Buses program was a win for everyone.

“The proposed new bus factory here in Nowra will provide fantastic employment opportunities for up to 100 people once fully operational and enable the re-skilling and upskilling of many workers who wish to be a part of the transition to zero emissions transport,” she says.

Federal Member for Gilmore Fiona Phillips said the investment in local manufacturing was “fantastic news for the region”. 

“In Gilmore we also have innovative local businesses building boats, making construction materials, producing chemicals, and manufacturing food and pharmaceuticals,” she says.

“Now we will be making electric buses here too, which will open more doors for our young people, and local people wanting to retrain and work in the manufacturing industry.”

Foton’s bus contract also includes converting 11 existing bus depots in Greater Sydney to battery-electric technology, building a new electric bus depot at Macquarie Park, and procuring around 1200 electric buses by 2028.

Premier Chris Minns said the Nowra facility is the first step towards building things in NSW again, after the Liberal government moved public transport manufacturing offshore.

“The offshoring of public transport by the former government was a complete disaster, which is why we’re building these buses here in NSW, creating local jobs and public transport that works,” Mr Minns says.

Domestic Manufacturing and Government Procurement Minister Courtney Houssos says offshore contracts cost the state “thousands of jobs and billions of dollars”.

“We are choosing to support local jobs and local businesses,” she says. “By leveraging the power of government contracts like this, we can rebuild local industries, support local workers and grow the NSW economy, particularly in regional communities.”

However, Kiama MP Gareth Ward has questioned the Labor Government's claims of job creation, arguing that the project does not live up to the promises made during the election.

“Whilst I will always welcome job opportunities in our region, today’s announcement is a far cry from what Labor promised at the election,” Mr Ward says.

“For example, not one ounce of BlueScope Steel will be used in any of these buses. Contrast this with my Princes Highway upgrade projects which comprised 90 per cent Australian steel.

“This isn’t Labor’s promised manufacturing jobs. This is a hard Labor con-job in every sense of the word!”

Mr Ward also raised concerns about the exclusion of local electric bus manufacturer Custom Denning from the manufacturing process, noting that the company has only been hired to export buses from NSW.

“Why didn’t NSW Labor engage Custom Denning, a local electric bus manufacturer that would have seen more local jobs throughout construction and the development of local supply chains and associated employment?” Mr Ward asks. “Custom Denning is exporting buses from NSW but won’t be manufacturing buses for NSW.”