Friday, June 28, 2013

$.5B to convert to CNG; priority to government vehicles

The government of Trinidad and Tobago plans to invest half a billion dollars to convert an estimated 17,500 vehicles to use compressed natural gas (CNG). 

Energy Minister Kevin Ramnarine said this is the first stage of a two-phase conversion project over the next five years. He added that the financing to convert 17,500 vehicles would come from the National Gas Company (NGC) and at no cost to companies and private citizens who wish to make the conversion.  In addition, CNG would be reduced by seven centes a litre from $1.07 to $1.00.

Ramnarine said NCG would create a subsidiary company to implement and drive the programme. 

In the first phase the target mainly government vehicles and maxi-taxis. He said the emphasis would also be on what he called "high-mileage" vehicles" such as San Fernando to Port-of-Spain taxis and buses. 

Ramnarine said the plan involves the construction of 22 CNG stations and the installation of CNG pumps at stations run by Unipet or National Petroleum (NP).

Ramnarine noted that the annual fuel subsidy is around $4.4 billion and the move to CNG could see significant savings that could be put to good use. “If you were able to reduce that subsidy, more money would be available for things like schools, recreation grounds, health facilities and so on,” he stated.

Converting to CNG would bring other benefits, he said, including greater foreign earnings and a reduced carbon footprint since CNG is a low emission green fuel.

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Jai & Sero

Jai & Sero

Our family at home in Toronto 2008

Our family at home in Toronto 2008
Amit, Heather, Fuzz, Aj, Jiv, Shiva, Rampa, Sero, Jai