Volvo will provide the units together with Volgren Australia who will manufacture the bus bodies at its facility in Malaga, Western Australia. The total value of the contract, including chassis and bodies, is approximately SEK2.65 billion.

The contract is for a five-year term with an option to extend for a further five years and will enable the PTA to update and modernise its bus fleet in the Perth metropolitan area. Deliveries under the new contract will commence in July 2011.

The previous PTA contract set up by the Liberal National coalition government in 1999, which delivered 919 Mercedes Benz low floor buses, ends in June 2011. As a result of this contract, Truck Centre plan to set up a specialised and dedicated bus service team in Perth to support the PTA.

David Mead, general manager of Volvo Bus Australia, said: “This is a wonderful opportunity for Volvo Bus to develop a long-term, strategic relationship with the PTA in Perth. The contract will initially use a mix of Volvo’s B7RLE rigid and B12BLEA articulated buses.

“Both models are well proven in the Australian market and continue to set the industry standard for fuel efficiency, driveability and lifecycle costs. Coupled with our strong dealer partner, Truck Centre WA, we look forward to supporting the operators within the PTA over the next 10 years and beyond.”

Will the new contract enhance Volvo's market share in Australia?

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