INDIA REPORT
With the increasing penetration of the Compressed Natural Gas (CNG) network across India, many cities may transition from conventional diesel-powered vehicles to CNG for the last mile.
Liquefied Natural Gas (LNG) could be a favorable option for heavy and long hauls due to its higher energy density and hence a lower payload penalty and potential range, a lower carbon footprint/noise levels and its cryogenic temperatures which makes it a theft-proof fuel option.
At the same time, the use of HPDI (High-Pressure Direct Injection), a system that enables heavy–duty trucks to operate on natural gas with diesel- like performance would also aid in the switch to LNG.
Companies Consider LNG. Many companies are developing LNG-powered options, and several partnerships have been created to develop LNG-powered units.
- Volvo Trucks India showcased its LNG-powered FM 420 4×2 tractor at Auto Expo 2023. The company plans to use this truck to meet the growing demand for long-haul applications such as e-commerce, where timely and speedy delivery are expected.
- FPT Industrial has acquired a minority stake in Blue Energy Motors, which will further strengthen the future of LNG trucks in the country, as well as the development of the next-generation heavy-duty electric (BEV) truck platform for the Indian market.
- GreenLine Logistics, an LNG-fueled heavy trucking logistics company, has entered into an LNG supply agreement with Baidyanath LNG Private Limited.
Source: ET Auto.com Read The Article
PSR Analysis: Transportation options are plentiful, but they are limited when it comes to heavy-duty long-haul transportation. Electrification in this segment faces challenges of cost, range, and infrastructure. Although hydrogen is a possible alternative, it may take up to 5-7 years to become commercially viable.
Therefore, we believe that LNG is the best solution for immediate adoption in long-distance transportation and can aid the transition to green trucking. Additionally, LNG fuel is cost-effective and has a superior emissions profile compared to other options. PSR
Aditya Kondejkar is Research Analyst – South Asia Operations, for Power Systems Research
