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New strategies required for natural gas as a fuel

dena research shows that the number of natural gas vehicles in Germany could increase to 1.4 million by 2020

21/01/10

According to research carried out by the Deutsche Energie-Agentur (dena) – the German Energy Agency – the use of natural gas and renewable natural gas (biomethane) for fuel continues to lie well below potential in Germany, although both sources have proven to be reliable and produce far fewer CO2 emissions and pollutants than diesel or petrol. A coordinated approach by government, fuel stations, gas industry, auto manufacturers and research could increase the market contribution of these fuels from a current 0.3 percent to at least four percent in the year 2020, with a corresponding rise in the number of natural gas vehicles from 85,000 to around 1.4 million.

"If we can get everyone involved to develop a mutual roadmap and follow it without hesitation, natural gas and biomethane could quickly make an important contribution to the mitigation of climate change" says Stephan Kohler, Chief Executive of dena. "A new fuel strategy would enable the German government to offer planning security, which in turn would allow business to be more consistent in the development of our fuel station network and the vehicles for sale. We also need a transparent labelling system for fuel prices which uses a uniform reference base for the various fuels, allowing consumers to make a true comparison of the cost."

The government needs to give the markets for natural gas and biomethane in transportation a long-term perspective, including tax relief for low-carbon fuels and an ambitious blend ratio for the biomethane injected into the gas grid.

"A cost comparison also highlights the advantages of natural gas" agrees Timm Kehler, Managing Director of erdgas mobil GmbH. "If you fill up a natural gas vehicle today you can drive the same distance for half what the petrol would cost you, and it's still a third cheaper than diesel. And NGVs now also have the edge if the cost of acquisition and maintenance are included in the calculation. Natural gas is worth it – both for the driver and the climate – and thanks to the increasing addition of environmentally friendly biomethane to the blend we are getting even better results."

Natural gas is the fossil fuel with the best carbon balance, and to top this it can be blended with biomethane, which is produced from renewable sources. Today, natural gas vehicles offer the same performance and comfort as conventional cars. At the same time, a natural gas car gives off 24 percent less CO2 emissions than its petrol-powered counterpart, and if blended with biomethane this proportion rises to almost 40 percent. The number of natural gas refuelling stations in Germany  will rise to 900 in the first few months of this year.

More information on the findings of dena's research into the role of natural gas and biomethane in the fuel mix of the future, including required action and possible solutions for its accelerated introduction,  can be downloaded from dena.de/de/infos/presse/studien-umfragen.

The report is currently available in German only.

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