Energy and Climate are Hot: NGVs are Not ... but they could be!

Welcome to the third of a four part discussion and analysis on legislative and regulatory initiatives being undertaken by European Union policy makers, written especially for NGV Global.

PART 3

Directive on the Promotion of the Use of Renewable Energy Sources 

The European Council in March 2007 agreed to a 10% binding minimum target for the share of biofuels in transport by 2020. The Council, concerned about impacts on food prices, land use, and the destruction of forests (including rain forests)  attached strict conditions to this target, notably, “subject to production being sustainable, and that “second-generation biofuels” becoming commercially available and the Fuel Quality Directive being amended accordingly to allow for adequate levels of blending."

Energy and Climate are Hot: NGVs are Not ... but they could be!

Welcome to the final of a four part discussion and analysis on legislative and regulatory initiatives being undertaken by European Union policy makers, written especially for NGV Global. (Links to Parts 1, 2 and 3 at end of article)

PART 4

Euro VI Heavy Duty Emissions Regulations: Positive Changes for NGVs (COM 2007/851 final, 21/12/2007)

The NGV industry scored an important victory when a non-methane hydrocarbon (NMHC) standard was included by the European Commission in the latest proposed Euro VI heavy-duty vehicle emissions regulations (Meeting of the Motor Vehicles Emissions Group -- MVEG -- 6 November 2007).  Previous versions of Euro VI proposals omitted the NMHC, which was vigorously advocated at meetings of MVEG, in private conversations with Commission principals, and in the NGV industry response to Euro VI public consultation in September 2007.  The earlier lobbying efforts, at that time undertaken by ENGVA, and continued by Clean Fuels Consulting from October 2007 on behalf of the International Association for NGVs (IANGV) have proven, to this point, successful regarding hopes for the inclusion of an NMHC standard.

It would appear that the price of oil is going to be $100 per barrel or more for the foreseeable future.  As it's recent meeting, OPEC decided that while it is not going to cut production, it will not increase it.  It would also appear that there is likely to be a downturn in the economies all the developed countries which will naturally lead to reduced demand for oil.  However the demand for oil is increasing in Asia which at least to some extent will counteract the reduced demand for oil in other parts of the world.  In addition there is some doubt of the ability of OPEC to increase production. 

USA, Washington, D.C.

Cleaner & Cheaper

According to NGVAmerica President, Rich Kolodziej, natural gas powered commercial vehicles (NGVs) offers a timely economical alternative that is available right now. While our attention is focussed on reduction of green house gas emissions from light-duty vehicles, with alternatives such as the Toyota gasoline-hybrid Prius or the Honda natural gas GX being promoted, Kolodziej says much more immediate steps can be taken in the medium to heavy duty transport area.

UK

The UK gas industry trade association – SBGI (formerly the Society of British Gas Industries) – together with the UK Natural Gas Vehicle Association (NGVA) and the Renewable Energy Association (REA) are lobbying for renewable natural gas – or ‘biomethane’ – to be given equivalent treatment to renewable electricity. John Baldwin, Managing Director of CNG Services, supports this campaign and explains what it’s all about.

An article about biofuels by the Science Editor of the UK paper the Independent (16 Jan) was reprinted recently in the New Zealand Herald.  The article deals with such issues as:
“Will biofuel help to prevent global warming, or will it make things worse?”
“What are biofuels and how they meant to help fight global warming?”
“What has gone wrong with the biofuel dream?”

An article about biofuels by the Science Editor of the UK paper the Independent (16 Jan) was reprinted in the New Zealand Herald.  The article deal with such issues as:

“Will biofuel help to prevent global warming, or will it make things worse?”

“What are biofuels and how they meant to help fight global warming?”

“What has gone wrong with the biofuel dream?”

USA

Economics, Environmental and Energy Security Issues Rejuvenate Market

The following item first appeared in the October issue of American Gas Magazine and was accompanied by this item.

Vehicular natural gas use exceeded 200 million gasoline-gallon-equivalents (GGE) in 2005 and will likely surpass 225 million GGE (or 280 million therm) by year-end 2007, according to a new report prepared for the U.S. Department of Energy (DOE) by the Georgia-based Clean Vehicle Education Foundation (CVEF). The two-part report, which tracks natural gas vehicle (NGV) inventories and fuel use over the past forty years, reviews how economics, technology, government policy and utility activity affect the market’s development. Most important, the report sheds light on what works and why, and makes recommendations to help NGV industry participants and policymakers allocate limited resources to activities that will have the most impact.

The price of oil has gone over $80 per barrel.  What a great opportunity for NGVs!

The Economist discusses the reasons for this and the consequences in its 13 Sept edition.  It appears that OPEC has decided that $60 per barrel is as low as it wants the price to go as a year ago it reduced its output when the price fell to that level.  With oil now around $80, OPEC has decided to increase its production by 500,000 barrels per day.  This is 2% of its existing quotas not counting the 900,000 barrels per day that are produced by its members in excess of the quotas.  The reaction of the world consumers has been to drive the price over the $80 level.

CNG powered right hand drive VW EcoFuel Caddy specially produced for trials in the UK

When a German engineer  named Rudolf Diesel developed an engine in 1892 he intended it to use a variety of fuels, including peanut oil. At around the same time, his fellow Germans Gottlieb Daimler and Karl Benz were inventing the petrol engine. Some 120 years later, 99% of cars, buses and trucks continue to run on diesel and petrol. However, as the National Petroleum Council (NPC; www.npc.org) said in its July 2007 report on global energy supplies: ‘We are facing the hard truths about energy’ – which is code for ‘Opec has got all the oil and won’t sell it cheap to us anymore’.