LNG Vehicle Needs Government to Support

www.chinatrucks.com. In recent years, the production of natural gas in China is on the rapid rise. The production reached 6.97 million ton in the first 8 months of 2012, a 5.4% year-on-year growth. The natural gas market is faced with an unprecedented opportunity for development. However, under influences of natural gas price policy, vehicle technologies and the amount of gas stations, efforts are direly needed in expanding the LNG vehicles.

The transformation from oil to gas shows huge cost advantages, meanwhile, it eases the energy pressure in the country. However, the transformation is faced with bottleneck at the moment. Specifically speaking, the price and technology need further improvement and the amount of gas station can’t meet the real demands. In practices, financial constrains are adding limitations on the development of LNG vehicles due to early investment and maintenance of the vehicles. Furthermore, manufacturers of the vehicles, engine and LNG gas cylinder suppliers are operating independently in separate market; therefore, financial and technological supports are insufficient in developing and marketing.

Relevant policies from the government are needed to promote and guide the LNG process in order to ease the tension of energy supply in China. Supports shall be provided in the developing stage to form the technology scale. Presently, independent research and development are adopted by manufacturers, besides the problems of small scale and low efficiency, repetitions often appears in the process. Policies for integrating the scattered resources shall be carried out to share all the scientific payoffs. In the meantime, preferential policies shall be conducted in technology development and market promotion to accelerate the structure optimization. Additionally, sophisticated market network shall be established to promote the development of LNG heavy truck.

The government shall support companies in the promotion, construction of gas stations to optimize the energy structure to help the country get out of the energy trouble. 

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