News Compiled on NGV
Kelantan State on Cheaper fuel
The Kelantan state government says it has received offers for cheaper, imported NGV (natural gas for vehicle) and (LPG) liquefied petroleum gas from overseas companies as part of its move to lighten the burden of the people following the increased fuel prices.However, the overseas producers of the fuel have requested the state government to get the Approval Permit (AP) to import the fuel, the chairman of the state committee for Economic, Finance and Social Planning, Datuk Husam Musa said. — BERNAMA
– CS : A very welcome move by the state government. Other states should follow.
Its other project is Petronas NGV Sdn Bhd, which owns 90 stations with NGV facilities and has plans to increase the number of stations to 200 by 2010. Established in 1992, the NGV is sold at 68 sen per litre and Petronas has forked out RM500 million in subsidies.
The situation became worse ever since the government raised the fuel price last month, triggering a free-for-all situation as more and more cabbies decide to do away with the meter and quote their own rates according to their whims and fancies. The argument that NGV (Natural Gas for Vehicles) is cheaper and, therefore, the price increase does not affect them no longer holds water as they claim that it makes no difference at all.
more on » Cheaper and widespread NGV usage initiative
The government is likely to invest more on NGV stations since there is a sudden surge of interest from the public. Excerpt from BERNAMA:
Petronas had been directed by the government to have 200 stations ready for natural gas vehicles (NGVs) in a bid to encourage gas use in vehicles, the Dewan Rakyat was told Tuesday.
Minister of Domestic Trade and Consumer Affairs, Datuk Shahrir Abdul Samad, said currently there were 73 such stations operating and two more would be ready this month.
“Twenty-five NGV stations will be ready by the end of this year while 100 more will be ready in 2009,” Shahrir said .
Dr Che Rosli wanted to know the status of NGVs which used compressed natural gas (CNG) and liquefied natural gas (LNG) as their energy source and whether there was sufficient infrastructure to encourage consumers to switch from petroleum to CNG and LNG.
Shahrir said the gases were being used as an alternative in private vehicles and commercial and public transportation vehicles in the country, adding that the gases were also exported.
The infrastructure to be developed would support about 10,700 NGVs, he said.
Shahrir said many in the industrial sector used CNG as an energy source and it was piped directly to factories and independent power producers.
With 200 stations plan by 2009, CS think it is still cannot overcome the overall public needs of an alternative and yet cheap enough fuel stations through out Malaysia.
Malaysian motorists are seriously considering the option of converting to the NGV (Natural Gas Vehicle) system to save on fuel cost.
An NGV uses compressed natural gas (CNG) or, less commonly, liquefied natural gas (LNG) as a clean alternative to other automobile fuels.
In Malaysia, natural gas, which currently costs 63.5sen per litre, is widely used by taxi operators to cut down on running costs.
When Steven Sum, 47, converted his Pajero to the NGV system a few months ago, he noticed a slight reduction in the vehicle’s power. But that’s not been much of a bother considering the savings he is making in terms of fuel purchases.He has managed to cut down fuel costs by almost 80%. At current fuel prices, Sum says, the cost to run his vehicle is 50sen/per km whereas with natural gas it is only 9 sen/per km. It cost him RM8,800 to convert the engine, he says.“It warrants spending (conversion costs) but it is worth it in the long term. The investment can be recouped in a year,” says Sum who is now thinking of converting his wife’s car as well.
Thong says the technology is viable for petrol cars. For a normal passenger car, the cost of conversion can vary from RM3,500 to RM5,000 depending on make and the type of system installed, he says.“All petrol cars can be fitted with the system although you would need the right components for particular models,” he adds.
Thong claims that using NGV reduces fuel expenses by almost 75%, with certain cars able to get almost 90% on savings. He adds that natural gas is also better for engines and the environment because it burns cleaner compared to petrol or diesel.
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