New interest in natural gas as a transportation fuel

June 3, 2014 | By

In recent years, in many parts of the world, natural gas supplies have increased due to new pipelines and hydraulic fracturing, leading to reduced prices for natural gas and wider geographic availability of vehicle refueling. As a result, interest has been renewed in utilizing natural gas as a transportation fuel to reduce both the use of oil and greenhouse gas emissions, driving the light duty (LD) natural gas vehicle (NGV) market.

Credit: U.S. Navy photo by Photographer's Mate 2nd Class Susan Cornell

The momentum has been particularly strong in North America and Asia Pacific, according to Navigant Research who predicts that global annual LD NGV sales will grow from 2.3 million vehicles in 2014 to 3.8 million in 2023 thanks to key players like China, India, Thailand, and the United States.

Demand for LD NGVs in European countries will remain relatively uneven from country to country, although Navigant anticipates mature markets like Italy and Ukraine to see growth.

In some countries, such as India, China, Thailand, and Brazil, a robust market for natural gas vehicles already exists. In others, such as the United States and Germany, NGVs are a relatively small niche, even though some major automakers have refocused their efforts in the NGV market.

"Growth in the market for natural gas vehicles is being driven by increasing supplies of low-cost, readily available natural gas, along with expanding refueling infrastructure and increasingly strict vehicle emission requirements," said John Gartner, research director with Navigant Research. 

NGVs are undergoing technical change with the introduction of direct injection, which promises to increase fuel economy and reduce emissions, according to Navigant. The direct injection of natural gas has been a challenge in the past, due to poor ignition characteristics and challenges managing natural gas in the combustion cylinder, but automakers in Europe are planning to launch vehicles using the technology beginning in 2014.

For more:
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