The bus is operating on routes in the town for a two-week period.
A spokesperson for West Coast Motors said: 'As part of our ongoing commitment to improve service, we're currently trialling an E200 MMC vehicle on our Oban routes. The bus is lighter, greener and more fuel efficient.'
West Coast Motors has already bought two of the vehicles for its Campbeltown fleet and is carrying out the trial in Oban to see if they should invest in others for the town itself.
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