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Nov 4, 2014

ALTERNATIVE FUEL STUDY * France: LNG

* France - LNG: Fuel of the future?
Paris,France -HCB (UK) -2 Nov 2014: -- There are plenty of reasons to think that LNG has a great future as a transport fuel. But just how great? And how reliable are those forecasts? Cedigaz has crunched the numbers ... “LNG as a fuel will capture a significant market share in the transport sector by 2035,” Cedigaz says. “The greatest potential is seen in road transport.” The use of LNG in land transport will be largely limited to heavy goods vehicles and bus fleets, Cedigaz says. In such applications, it sees that LNG demand will essentially be driven by the price differential between diesel and LNG and that environmental legislation is unlikely to play a major role...  In its base scenario, Cedigaz sees worldwide demand for LNG as a road fuel reaching 45 mta by 2025 and 96 mta by 2035, with China representing around half of this volume... At the end of 2013, China had at least 100,000 LNG-fuelled vehicles and 1,100 refuelling stations in place and thus has a head start over the rest of the world. However, gas price reform may slow further growth. There is potential for LNG to carve out a significant market share in the USA, Europe and the rest of Asia, Cedigaz says...

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