VOLGREN Australia's $18 million Tomago bus factory will be officially opened today.
The factory, which will create 250 jobs, will build 150 articulated buses for the State Government under a $106 million contract.
"There is a growing demand for effective public transport, and buses are one of the best solutions for any shortage," Volgren managing director Peter Dale said.
"New bus routes can be quickly introduced and, if buses come often enough, experience shows that passengers are prepared to get on board."
The Newcastle factory is Volgren's fourth in Australia.
Volgren buses are built using a unique aluminium system, which makes them stronger and lighter.