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Govt To Promote Ngv As Alternative Fuel


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Govt to promote NGV as alternative fuel

BANGKOK: -- The Ministry of Energy will next week launch a concerted drive to promote natural gas for vehicles (NGV) as an alternative fuel for vehicles, with proposals to slash import taxes on NGV equipment, a senior ministry official revealed today.

The plans, which form part of a wider government initiative to promote alternatives to diesel fuel, will be discussed with the Ministry of Finance next week.

Mr. Pornchai Rujiprapha, Deputy Permanent Secretary for Energy, said that the proposals would include a reduction in import tax for NGV equipment and the lowering of corporate income tax for companies producing both NGV equipment and the gas itself.

Conceding that the promotion of NGV had to date been sluggish, he expressed confidence that the new measures would serve to encourage greater NGV use.

At present the installation of NGV equipment in cars and taxis costs a prohibitive Bt40,000-50,000 per vehicle.

Mr. Pornchai said that the measures to encourage investment in NGV production would also include plans from the Board of Investment of Thailand (BOI).

Two or three foreign companies have recently said that they are ready to invest in the production of NGV equipment and buses running on NGV in Thailand.

The Ministry of Energy has, meanwhile, teamed up with petrol and gas giant, PTT Public Company Limited (PTT), which now distributes NGV at nearly 50 petrol stations.

Noting that the use of NGV in Thailand would slash transportation costs, Mr. Pornchai said that the government would also seek to promote NGV use in trucks.

--TNA 2005-02-11

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Hawthorne Power System in San Diego, which sells tractors and engines, provides natural gas engine conversions at its Kearny Mesa division. According to Scott Smith, product support representative, it costs about $4,000 to $6,000 to convert a gasoline engine, and $7,000 to $9,000 to convert a diesel engine.

Obviously, the average consumer isn't likely to spend that kind of money for a conversion, but commercial vehicle owners have an incentive.

http://www.sdearthtimes.com/et0595/et0595s5.html

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