EUROPEAN AND WORLDWIDE UPDATE: NATURAL GAS VEHICLES

Working Party on GAsUnited Nations

Palais Nations, Geneva20 January 2009Presented by: Jeffrey Seisler

on behalf of:

International Association forNatural Gas Vehicles

Latin America

Asia Pacific

USA Pakistan IndiaCanadaNew

ZealandEurope

Regional Associations National Associations

Individual Members

Austria -Bulgaria – Canada - CzechFinland - France - Germany

Greece - Iceland - Italy – Ivory Coast – Netherlands - Norway --Portugal – Serbia - S. Africa -

Switzerland – Sweden -Ukraine - UK

Bangladesh - India Japan - Korea

Malaysia - Thailand Etc.

Argentina - Brazil Peru – Venezuela

Etc.Australia - Columbia – Egypt

Hong Kong - Iran - Mexico Nigeria - PakistanTrinidad & Tobago

Countries withDelegate Representation

Over 600 Members from 50+ Countries

Canada 12.140

USA 100.000

Venezuela 44.146Colombia 269.753

Bolivia 99.657

Argentina 1.740.911

Brazil 1.572.648

Egypt 98.738

China 336.062

Europe (incl. IT & RU)1.090.195

Russia 95.000

Thailand 117.727

World Total~ 9.4 M 14.169 1455

= Existing Fuel Stations = Under construction

NGVs IN THE WORLD2009

Data source: The GVR, January 2009

Italy

580.000

India 821.871

Australia 2.453

Iran 846.169

Pakistan 1.900.000 Japan

35.720

THE TOP TEN COUNTRIES WORLDWIDE

Country NGVs*Fuel

Stations*

% CNG Price less than Petrol

Pakistan 1.90 mil 2.430 46.7%

Argentina 1.74 mil 1.800 69.1%

Brazil 1.57 mil 1.683 52%

Iran 846.169 637 81.7%

India 821.872 325 68.4%

Italy 580.000 700 55.4%

China 336.062 1260 46.5%

Colombia 269.753 401 38.5%

Bangladesh 180.000 296 67.3%

Ukraine 120.000 224 67.5%

•Rounded up figures

Data source: The GVR, January 2009

THE TOP TEN COUNTRIES WORLDWIDE: NGV % of Total Vehicles

Country NGVs*Total Vehicle Population(Millions)

% NGVs

Pakistan 1.90 mil 6.85 24.1%

Argentina 1.74 mil 8.20 21.1%

Brazil 1.57 mil 25.59 6.1%

Iran 846.169 14.90 5.68%

India 821.872 13.92 5.9%

Italy 580.000 40.37 1.44%

China 336.062 40.09 0.84%

Colombia 269.753 36.00 0.7%

Bangladesh 180.000 0.852 21.1%

Ukraine 120.000 8.17 1.47%

•Rounded up figuresData source: The GVR, December 2008 & Wards 2007.

GROWTH RATES 2007-2008January 2009

2007 2008 %

WORLD 7.55 Million 9.44 Million 25%

CHINA 200,873 336.062 67.3%

BRAZIL 1.48 Million 1.57 Million 6.1%

EUROPE 748,749 1.09 Million 45.6%

UKRAINE 100,000 120.000 20%

ITALY 432,900 580.000 34%

Source: GVR Jan. 2009

GROWTH RATES 2007-2008January 2009

2007 2008 %

ARGENTINA 1.67 Million 1.74 Million 4.2%

PAKISTAN 1.65 Million 1.90 Million 15.2%

INDIA 334,820 821.872 145.5%

BANGLADESH 80,000 180.000 125%

Source: GVR Jan. 2009

NGV TECHNOLOGY IS AVAILABLE

• Technology is commercial in many parts of the world• More OEM Products available than any other

alternative fuel vehicles– ~65 Manufacturers worldwide producing 295+

vehicle models & engines• Distribution needs integration into OEM country

networks

NGVs IN EUROPE

Data source: The GVR, January 2009

Europe Total~ 1.090.195

NGVsRefuelling Stations ~ 3,028

Sweden 15.474

Belarus 5.500

France 10.150

Germany 64.454

Russia95.000

Ukraine 120.000

Italy580.000

UK368

Czech 1.230

Poland 8.850

Spain 1.863

Bulgaria60.255

Moldova 5.000

CH6.820

Austria 3.574

Turkey 3.056

Netherlands 1.100

* Rounded upfigures

Data source: The GVR, January 2009

Sweden 118

Belarus 25

France 125

Germany 804

Russia224

Ukraine 224

Italy 700

UK25

Czech 33

Poland 31

Spain 42

Bulgaria 70

Moldova 14CH

106

Austria 170

Turkey 9

Total Fuelling Stations (Public and Private)

January 2009

Europe Total~ 1.090.195

NGVsRefuelling Stations ~3.028

StationsUnder

Construction 169

Netherlands21

* Rounded upfigures

Data source: The GVR, January 2009

Sweden 131

Belarus 220

France 81

Germany 80

Russia424

Ukraine 536

Italy 829

UK15

Czech 37

Poland 285

Spain 44

Bulgaria 861

Moldova 357CH

64

Austria 21

Turkey 340

ratio = # vehicles per fuelling station

Vehicles per fuelling station(600-1000 vehicles per station economically is optimal)

January 2009Europe Total~ 1.090.195

NGVsRefuelling Stations ~3.028

StationsUnder

Construction 169

Netherlands 53

EUROPE’S 5.000+ CLUBCountry NGVs* Fuel

Stations**% Nat.Gas

Price of Petrol

Italy 480,000 700 55.4%

Ukraine 120.000 224 67.5%

Russia 95.000 224 63.0%

Germany 64.454 804 55.7%

Bulgaria 60.255 70 48.1%

Sweden 15,474 118 39.2%

France 10.150 125 58.4%

Poland 8.850 31 57.5%

Switzerland 6.820 106 55.1%

Belarus 5.500 25 56.24%

* Rounded up figures** Total StationsData source: The GVR, January 2009

EUROPE’S <1.000 CLUBCountry NGVs* Fuel

Stations**% NG Price of

Petrol

Latvia 500 4 73.4

Greece 416 1 ?

Portugal 379 6 54.2

U.K. 368 25 53.0

Slovakia 337 7 54.5

Belgium 300 9 66.2

Finland 250 9 51.1

Serbia 210 7 67.8

Norway 180 9 71.3

Croatia 130 1 71.3

* Rounded up figures** Total Stations

Data source: The GVR, January 2009

EUROPE’S <1.000 CLUB

Country NGVs* Fuel Stations % NG Price of Petrol

Hungary 122 3 ?

Luxembourg 115 4 55.07%

Iceland 77 1 41.7%

Macedonia 50 1 ?-

Liechtenstein 41 1 22.6%

Lithuania 17 1 ?

Bosnia & Herz.

7 3 65.6%* Rounded up figures

Data source: The GVR, January 2009

Target Markets for NGVsTarget Markets for NGVsDedicated fleet vehicles Publicly fuelled NGVs

Urban buses

Heavy Duty Vehicles

Off-road Vehicles

Light/Medium Duty Vehicles

Individual Vehicles

Flavio Mariani, Flavio Mariani, Metauto - Eni divisione Gas & PowerSeptember, 20 -21 2005 – Cattolica

ITALIAN NGV GROWTH & FUELLING STATION GROWTH

IS BALANCED

280 290 300320

350 382

400.8 381.25

402.3370

280 290

355 360 368421

463 460

521543 609 fuel stations

050

100150200250300350400450500

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

0

100

200

300

400

500

600

700NGV FS

NGV

(x 1000)

NG

(x 1)

Source: The GVR 01.2007

580 NGVs

Available Light Duty OEM Vehicles (4 manufacturers/10 styles/17 models)

• FiatDoblo Passenger CarDoblo VanDucato Passenger CarDucato VanMultipla ELXMultipla ELX BlupowerMultipla SXMultipla Van

• CitroenBerlingo Multispace PlusBerlingo Kastenwagen 600Jumper Kastenwagen 33MH• OpelZafiraCorsa• PuntoPunto VanPunto PuntoSiena 1.4 TetrafuelPanda Panda or Panda Aria

GERMAN NGV GROWTH

19400

39000

64454

60000

25000

1500011000

34000

400 1000 2000 300042005500

7500

804655 720

35 50 65 80100 120 140

190

230

390

530

640

0

10000

20000

30000

40000

50000

60000

70000

1994

1996

1998

2000

2002

2004

2006

2008

0

100

200

300

400

500

600

700

800

900

NGV FS

NGV

(x 1)

NG

(x 1)

Source: The GVR

NGVs in SwitzerlandWhere they are today

26

35

50

61

78

98 100

350 730 1.245 1.9003.300

6.000

9.000

14.000

19.000

25.000

30.000

0

20

40

60

80

100

120

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Erd

gast

anks

telle

n

0

5.000

10.000

15.000

20.000

25.000

30.000

35.000

Erd

gasf

ahrz

euge

Situation in November 2008:> 100 CNG fuelling stations> Just under 7.000 NGVs

Objective 2012 : 30.000 vehicles to get return on investment. of €40 to 50 million for 100 fuelling stations

CN

G F

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ng s

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Vna

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SVGW 2009

China NGV Overview

• 336,000 NGVs NG Cars = 95,545; NG Buses =~9,500; ‘other’= 195,000 (April 2008)

• NGVs represent 0.57% of total vehicle population (106.8 million total vehicles)

• 561 CNG fueling stations (81% are public; 19% private fleet operators)

• 598 NGVs per fueling station, • 74 cities have NGV fuelling stations

Gas Demand Outpacing Supply

China’s LNG Demand• Shanghai using 40,000

taxis on CNG (sourced from LNG)– Source is 100,000 gallon per

day liquefaction facility– 500 trucks transporting LNG

over 4,000 km (coming along the west-east pipeline)

– Originally planned to go by rail but did not get approval;

• Communities use LNG to directly serve residential households– Bypassing traditional pipeline

infrastructureSource: Max Universal, Inc.

WHAT ARE THE MARKET DRIVERS FOR NGVS IN

THEIR WORLD CONTEXT?

Primary Motivators to Develop NGV Program

• Economics• Environment• Energy security*

*Energy security ‘rationale’ includes policies to substitute the domestic use of oil by natural gas with the aim of increasing oil exports (i.e. Venezuela, Iran) or protect against imbalance of trade due to oil imports (India, Bangladesh, etc.)

WORLD WIDE TRENDS

• CNG will continue to grow; maybe not at the same rate as the past few years, but in many countries, very steadily

• LNG popularity will help drive the L-NGV market- China; Australia; Thailand; US; Spain; Russia;

Netherlands

• Biogas-to-biomethane will advance, but will be dependent on public commitment to new waste management infrastructure

- Sweden, Switzerland, Austria, France, Germany

Government Support

• Government incentives remain a key to NGV development

• A wide variety of government incentives have appeared worldwide

- Fiscal: cash rebates; exemption from congestion charges; tax benefits (road, income, property fuel; etc.)

- Free parking; lanes at airports/train stations

• Some countries mandate NGVs- Venezuela: 40,000 NGVs- Iran: As many that can be converted- India: Diesel buses, 8 regions and more to expand

INNOVATIONS WITH NGVs

4 cylinders, 1.6 l5.3 kg/100 km; 144 g CO 2/kmTurbo compressorMonovalent plus-CNG110 kW / 150 ch 210 Nm @ 2.300 rpm

From January 2009

A présent : 69 kW / 94 PS 133 Nm @ 4.200 rpm Source: Adam Opel AG

The new Opel Zafira 1.6 CNG Turbo

The Latest NGV of 2009

VW Passat TSI EcoFuelMotor 1.4l TSI CNGConforms to Euro-5

Engine power 110 kW / 150 chEngine speed 220 Nm (1.500 – 4.000 rpm)

Speed maxi. 210 km/hGears 6 manuelle, 7 DSG

Fuel Consumption* 4,6 kg / 100 kmEmissions CO2* 120 g / km

Driving Range on Total > 820 km On CNG & Petrol CNG > 420 km

3 CNG tanks 135 litres (22 kg)Driving range on gasoline 400 kmPlastic tanks with capacity of 31 litres

First quarter 2009

Source: Volkswagen AG

The Latest NGV of 2009

Innovative NGVs

The ‘modern’Tuk Tuk

Source: Swiss Gas & Water Association

AIRPORT TRACTOR

Source: Swiss Gas & Water Association

Natural Gas Injector with Pilot Diesel InjectorDual Fuel Operation

Diesel

GNC HP

Came

Poussoir

Diesel GNC

Servo

Injecteur

Unified injection

Naturalgas jet

dieselPilotinjection

Source: Swiss Gas & Water Association

Development s with new composite CNG tanks

Dedicated natural gas vehicle with integrated storage system

Supplemental cylinders are integrated into the vehicle bodyTransparent as a petrol vehicle

Source: Swiss Gas & Water Association

3-Wheel natural gas urban vehicle prototype by BMW with removable fuel storage system by WEH

OUTLOOK FOR NGVs is POSITIVE

• Economics (fuel price differential) should remain favorable (<30-50% natural gas to gasoline)

• Vehicle manufacturers should be motivated to provide more factory made NGVs– Environmental benefits, esp. CO2 excellent– Demand increasing (show us a market, we’ll show

you a vehicle!)– Balance between fuel alternatives will occur

• Natural gas is available and supply is strong• Government support should be positive• Fuel suppliers (pipeline/LNG) should be encouraged• Biomethane provides a renewable energy option

International Association for Natural Gas Vehicles – IANGV

Representing and in consultation with

ALGNV (Latin America)

ANGVA (Asia-Pacific)

NGVA Europe

and

national NGV associations worldwide

www.iangv.org

Brett Jarman

Executive Director

bjarman@iangv.org

Martin Siefert

Vice President – Govt and International Affairs

m.siefert@svgw.ch