Key Takeaways<\/h2>\n\n- Most school buses in the U.S. remain diesel-burning, despite risks cited by WHO.<\/li>\n
- McIntyre founded Massachusetts-based Highland Electric Fleets in 2018. <\/li>\n
- Today, Highland Electric is eyeing fleets in 200 cities and will sponsor the Olympics in 2028.<\/li>\n<\/ul>\n<\/div>\n
When the oldest of Duncan McIntyre\u2019s children was in second grade, the father of three made a disconcerting discovery: The school bus\u2019s tailpipe sat level with his young son\u2019s face. \u201cThese kids are standing there all over this country in the morning, and again in the afternoon, breathing those exhaust fumes,\u201d McIntyre tells Entrepreneur.\u00a0<\/em><\/p>\nImage Credit: Courtesy of Highland Electric Fleets. Duncan McIntyre.<\/figcaption><\/figure>\nMost school buses in the U.S. today are still diesel-burning. Yet the World Health Organization classifies diesel exhaust as a known human carcinogen, and children with developing lungs are particularly vulnerable, according to data from World Resources Institute<\/a>.\u00a0\u00a0<\/p>\nBut diesel fumes didn\u2019t have to be an inevitable part of school commutes; the technology, equipment and manufacturing necessary to transition to a zero-emission, electrified fleet already existed, McIntyre notes.\u00a0<\/p>\n
With a background in energy and emissions technology and financing, McIntyre decided to found a company to change the status quo in 2018: Massachusetts-based Highland Electric Fleets<\/a>.\u00a0<\/p>\nFounding Highland Electric Fleets in 2018<\/h2>\n
The early steps in building any startup involve articulating your product offering in a compelling way, then convincing your first customer to bet on you, McIntyre says. So that\u2019s exactly what he did. It took about a year and half for Highland Electric to sell its first project to the city of Beverly, Massachusetts.\u00a0<\/p>\n
Up to that point, McIntyre funded the endeavor on his own. Then the need for more capital became clear.\u00a0<\/p>\n
\u200a\u201cThe business that we\u2019re in is hugely capital-intensive, so anyone who\u2019s successful [needs] a real strategy around raising capital,\u201d McIntyre explains. \u201cWe\u2019ve raised equity capital to fund the platform and build the business, and we\u2019ve raised a ton of project-level financing that helps us buy equipment and capitalize projects.\u201d<\/p>\n![\"\"](\"https:\/\/www.entrepreneur.com\/wp-content\/uploads\/sites\/2\/2026\/09\/Highland-Baltimore24-8100.jpg?w=1024\")
Image Credit: Courtesy of Highland Electric Fleets<\/figcaption><\/figure>\nThe company announced<\/a> a $150 million equity investment from Aiga Capital Partners to accelerate national expansion last December, adding to multiple other forms of capital, including roughly $200 million in construction debt and tax advantaged financing from long-term partners.\u00a0<\/p>\nNow, Highland Electric runs fleets in more than 100 cities across the U.S. and boasts an estimated current annual revenue of $45 million to $50 million, per the company.\u00a0<\/p>\n
\u201cWe\u2019ve basically doubled year-over-year for a number of years now,\u201d McIntyre says. \u201cAnd we\u2019ll double again next year in 2027. The industry\u2019s growing quickly, and we\u2019re the largest provider in the space.\u201d<\/p>\n
Highland Electric serves many different communities<\/h2>\n
Highland Electric serves many different communities \u2014 part of the vision from the beginning \u2014 with its fleets ranging in size from 300 buses with over $100 million of equipment to ones with just two or three.\u00a0<\/p>\n
\u201c\u200aWe\u2019re in urban, we\u2019re in rural, we\u2019re in affluent, and we\u2019re in historically very underserved communities,\u201d McIntyre says. \u201cOur goal is to serve everyone. So the process of putting all the pieces in place and making that work is a little bit different [depending on customer needs].\u201d\u00a0<\/p>\n
Highland Electric doesn\u2019t recommend that a city attempt to flip its entire diesel fleet to electric overnight. Rather, in keeping with its long-term view, the company suggests replacing diesel-fueled vehicles ready for retirement with electric ones.<\/p>\n
Initially, it took Highland Electric about a year and a half to get a project up and running. However, these days, fleet implementation typically takes about six months to complete, McIntyre says.\u00a0<\/p>\n![\"\"](\"https:\/\/www.entrepreneur.com\/wp-content\/uploads\/sites\/2\/2026\/09\/Jackson-RC_124.jpg?w=1024\")
Image Credit: Courtesy of Highland Electric Fleets<\/figcaption><\/figure>\nManufacturing and implementing Highland Electric\u2019s fleets<\/h2>\n
Manufacturing the vehicles with the company\u2019s domestic partners might kick off a project \u2014 but that\u2019s just one factor in a much larger equation.\u00a0<\/p>\n
\u201cA lot of people think of an electric bus or an electric truck purely as that piece of hardware,\u201d McIntyre says. \u201cYou buy it from a dealership, pay for it and take it home. The reality is, when you\u2019re transforming the way a transportation system works citywide, there\u2019s an incredible amount of other pieces that have to all come together seamlessly.\u201d\u00a0<\/p>\n
Highland Electric brings in all of the required teams, from the workforce development training local city staff how to operate and work on the vehicles, to the construction management designing, permitting and building electrified depots.\u00a0<\/p>\n
\u201cWe may invest $5 or $10 million in equipment underground at that site, but with the view of ensuring that it\u2019ll run reliably for 25, 30 years,\u201d McIntyre explains. \u201c\u200aWe have to finance all of it. So we are truly experts in bundling and packaging capital, technology and services, and then bringing it all together very elegantly.\u201d\u00a0<\/p>\n![\"\"](\"https:\/\/www.entrepreneur.com\/wp-content\/uploads\/sites\/2\/2026\/09\/Starting-the-bus.jpg\")
Image Credit: Courtesy of Highland Electric Fleets<\/figcaption><\/figure>\nStaying within budget, collecting payment based on mileage<\/h2>\n
The goal with every single customer is to come in at or below the equivalent costs of running a diesel fleet. With fewer moving parts, including no need for diesel particulate filters or oil changes, there\u2019s much less maintenance required overall, McIntyre says.\u00a0<\/p>\n
The founder understands that city budgets are often tight.\u00a0\u00a0<\/p>\n
\u201cSchool districts always want to put any money they have available back into curriculum for better educational outcomes,\u201d McIntyre says. \u201cSo keeping costs at the current budget is essential everywhere. We do that very successfully. In some places, we\u2019re able to save 10% or 20% compared to running a diesel fleet.\u201d<\/p>\n
Highland Electric doesn\u2019t ask a city for any money upfront either. Once the fleet is running, the company starts collecting a payment based on each mile of successful transportation.\u00a0<\/p>\n
Partnering with electric utility companies<\/h2>\n
What\u2019s more, one of Highland Electric\u2019s key growth strategies is partnering with electric utility companies.\u00a0\u00a0<\/p>\n
\u201cBecause the vehicles have these big batteries, when they\u2019re sitting idle, we can actually help balance the local grid, which creates incredible resiliency for the community and helps to lower cost for electric rate payers,\u201d McIntyre says.\u00a0<\/p>\n
Not only do such partnerships drive revenue for Highland Electric, but they also allow the company to lower the costs for the cities and schools it serves.\u00a0<\/p>\n
Now, McIntyre looks forward to Highland Electric achieving fleets in 200 cities within the next 12 months and sponsoring the Olympics in Los Angeles in 2028.\u00a0<\/p>\n
\u201cWe\u2019re out of the world of people tinkering around electric vehicle technology as a hobby, and we\u2019re really more into mainstream adoption,\u201d McIntyre says. \u201cThe market is truly taking off, and that\u2019s exciting to see. It\u2019s no longer viewed as something that might or might not exist. It\u2019s viewed as something that\u2019s here for the long run.\u201d\u00a0<\/p>\n<\/p><\/div>\n
\n\nKey Takeaways<\/h2>\n\n- Most school buses in the U.S. remain diesel-burning, despite risks cited by WHO.<\/li>\n
- McIntyre founded Massachusetts-based Highland Electric Fleets in 2018. <\/li>\n
- Today, Highland Electric is eyeing fleets in 200 cities and will sponsor the Olympics in 2028.<\/li>\n<\/ul>\n<\/div>\n
When the oldest of Duncan McIntyre\u2019s children was in second grade, the father of three made a disconcerting discovery: The school bus\u2019s tailpipe sat level with his young son\u2019s face. \u201cThese kids are standing there all over this country in the morning, and again in the afternoon, breathing those exhaust fumes,\u201d McIntyre tells Entrepreneur.\u00a0<\/em><\/p>\n![\"\"](\"https:\/\/www.entrepreneur.com\/wp-content\/uploads\/sites\/2\/2026\/09\/South-Burlington-RC-54-2.jpg?w=1024\")
Image Credit: Courtesy of Highland Electric Fleets. Duncan McIntyre.<\/figcaption><\/figure>\nMost school buses in the U.S. today are still diesel-burning. Yet the World Health Organization classifies diesel exhaust as a known human carcinogen, and children with developing lungs are particularly vulnerable, according to data from World Resources Institute<\/a>.\u00a0\u00a0<\/p>\nBut diesel fumes didn\u2019t have to be an inevitable part of school commutes; the technology, equipment and manufacturing necessary to transition to a zero-emission, electrified fleet already existed, McIntyre notes.\u00a0<\/p>\n<\/p><\/div>\n
When the oldest of Duncan McIntyre\u2019s children was in second grade, the father of three made a disconcerting discovery: The school bus\u2019s tailpipe sat level with his young son\u2019s face. \u201cThese kids are standing there all over this country in the morning, and again in the afternoon, breathing those exhaust fumes,\u201d McIntyre tells Entrepreneur.\u00a0<\/em><\/p>\n Most school buses in the U.S. today are still diesel-burning. Yet the World Health Organization classifies diesel exhaust as a known human carcinogen, and children with developing lungs are particularly vulnerable, according to data from World Resources Institute<\/a>.\u00a0\u00a0<\/p>\n But diesel fumes didn\u2019t have to be an inevitable part of school commutes; the technology, equipment and manufacturing necessary to transition to a zero-emission, electrified fleet already existed, McIntyre notes.\u00a0<\/p>\n With a background in energy and emissions technology and financing, McIntyre decided to found a company to change the status quo in 2018: Massachusetts-based Highland Electric Fleets<\/a>.\u00a0<\/p>\n The early steps in building any startup involve articulating your product offering in a compelling way, then convincing your first customer to bet on you, McIntyre says. So that\u2019s exactly what he did. It took about a year and half for Highland Electric to sell its first project to the city of Beverly, Massachusetts.\u00a0<\/p>\n Up to that point, McIntyre funded the endeavor on his own. Then the need for more capital became clear.\u00a0<\/p>\n \u200a\u201cThe business that we\u2019re in is hugely capital-intensive, so anyone who\u2019s successful [needs] a real strategy around raising capital,\u201d McIntyre explains. \u201cWe\u2019ve raised equity capital to fund the platform and build the business, and we\u2019ve raised a ton of project-level financing that helps us buy equipment and capitalize projects.\u201d<\/p>\n The company announced<\/a> a $150 million equity investment from Aiga Capital Partners to accelerate national expansion last December, adding to multiple other forms of capital, including roughly $200 million in construction debt and tax advantaged financing from long-term partners.\u00a0<\/p>\n Now, Highland Electric runs fleets in more than 100 cities across the U.S. and boasts an estimated current annual revenue of $45 million to $50 million, per the company.\u00a0<\/p>\n \u201cWe\u2019ve basically doubled year-over-year for a number of years now,\u201d McIntyre says. \u201cAnd we\u2019ll double again next year in 2027. The industry\u2019s growing quickly, and we\u2019re the largest provider in the space.\u201d<\/p>\n Highland Electric serves many different communities \u2014 part of the vision from the beginning \u2014 with its fleets ranging in size from 300 buses with over $100 million of equipment to ones with just two or three.\u00a0<\/p>\n \u201c\u200aWe\u2019re in urban, we\u2019re in rural, we\u2019re in affluent, and we\u2019re in historically very underserved communities,\u201d McIntyre says. \u201cOur goal is to serve everyone. So the process of putting all the pieces in place and making that work is a little bit different [depending on customer needs].\u201d\u00a0<\/p>\n Highland Electric doesn\u2019t recommend that a city attempt to flip its entire diesel fleet to electric overnight. Rather, in keeping with its long-term view, the company suggests replacing diesel-fueled vehicles ready for retirement with electric ones.<\/p>\n Initially, it took Highland Electric about a year and a half to get a project up and running. However, these days, fleet implementation typically takes about six months to complete, McIntyre says.\u00a0<\/p>\n Manufacturing the vehicles with the company\u2019s domestic partners might kick off a project \u2014 but that\u2019s just one factor in a much larger equation.\u00a0<\/p>\n \u201cA lot of people think of an electric bus or an electric truck purely as that piece of hardware,\u201d McIntyre says. \u201cYou buy it from a dealership, pay for it and take it home. The reality is, when you\u2019re transforming the way a transportation system works citywide, there\u2019s an incredible amount of other pieces that have to all come together seamlessly.\u201d\u00a0<\/p>\n Highland Electric brings in all of the required teams, from the workforce development training local city staff how to operate and work on the vehicles, to the construction management designing, permitting and building electrified depots.\u00a0<\/p>\n \u201cWe may invest $5 or $10 million in equipment underground at that site, but with the view of ensuring that it\u2019ll run reliably for 25, 30 years,\u201d McIntyre explains. \u201c\u200aWe have to finance all of it. So we are truly experts in bundling and packaging capital, technology and services, and then bringing it all together very elegantly.\u201d\u00a0<\/p>\n The goal with every single customer is to come in at or below the equivalent costs of running a diesel fleet. With fewer moving parts, including no need for diesel particulate filters or oil changes, there\u2019s much less maintenance required overall, McIntyre says.\u00a0<\/p>\n The founder understands that city budgets are often tight.\u00a0\u00a0<\/p>\n \u201cSchool districts always want to put any money they have available back into curriculum for better educational outcomes,\u201d McIntyre says. \u201cSo keeping costs at the current budget is essential everywhere. We do that very successfully. In some places, we\u2019re able to save 10% or 20% compared to running a diesel fleet.\u201d<\/p>\n Highland Electric doesn\u2019t ask a city for any money upfront either. Once the fleet is running, the company starts collecting a payment based on each mile of successful transportation.\u00a0<\/p>\n What\u2019s more, one of Highland Electric\u2019s key growth strategies is partnering with electric utility companies.\u00a0\u00a0<\/p>\n \u201cBecause the vehicles have these big batteries, when they\u2019re sitting idle, we can actually help balance the local grid, which creates incredible resiliency for the community and helps to lower cost for electric rate payers,\u201d McIntyre says.\u00a0<\/p>\n Not only do such partnerships drive revenue for Highland Electric, but they also allow the company to lower the costs for the cities and schools it serves.\u00a0<\/p>\n Now, McIntyre looks forward to Highland Electric achieving fleets in 200 cities within the next 12 months and sponsoring the Olympics in Los Angeles in 2028.\u00a0<\/p>\n \u201cWe\u2019re out of the world of people tinkering around electric vehicle technology as a hobby, and we\u2019re really more into mainstream adoption,\u201d McIntyre says. \u201cThe market is truly taking off, and that\u2019s exciting to see. It\u2019s no longer viewed as something that might or might not exist. It\u2019s viewed as something that\u2019s here for the long run.\u201d\u00a0<\/p>\n<\/p><\/div>\n When the oldest of Duncan McIntyre\u2019s children was in second grade, the father of three made a disconcerting discovery: The school bus\u2019s tailpipe sat level with his young son\u2019s face. \u201cThese kids are standing there all over this country in the morning, and again in the afternoon, breathing those exhaust fumes,\u201d McIntyre tells Entrepreneur.\u00a0<\/em><\/p>\n Most school buses in the U.S. today are still diesel-burning. Yet the World Health Organization classifies diesel exhaust as a known human carcinogen, and children with developing lungs are particularly vulnerable, according to data from World Resources Institute<\/a>.\u00a0\u00a0<\/p>\n But diesel fumes didn\u2019t have to be an inevitable part of school commutes; the technology, equipment and manufacturing necessary to transition to a zero-emission, electrified fleet already existed, McIntyre notes.\u00a0<\/p>\n<\/p><\/div>\nFounding Highland Electric Fleets in 2018<\/h2>\n
Highland Electric serves many different communities<\/h2>\n
Manufacturing and implementing Highland Electric\u2019s fleets<\/h2>\n
Staying within budget, collecting payment based on mileage<\/h2>\n
Partnering with electric utility companies<\/h2>\n
Key Takeaways<\/h2>\n
\n