Thailand looks set to open the way for Liquified Natural Gas (LNG) to be retailed as an alternative road transportation fuel to diesel and compressed natural gas (CNG) in 2014, after comments delivered by the Department of Energy Business’s director-general Somnuk Bamrungsalee, reports Bangkok Post.
Furthermore, the government would stop intervening in the retail price of LNG, allowing market forces to dictate cost likely tied to the Henry Hub, the pricing point for natural gas futures in North America.
“The department expects to grant a licence for LNG retail next year, as another alternative for motorists who currently suffer from long queues at CNG filling stations,” the Director-general said, with the intention being to provide an alternative fuel mainly for long-distance trips.
In Thailand, Shell and Siam Gas Plc have reportedly shown interest in retailing LNG but are waiting for clear signals from the Energy Ministry.
LNG is becoming increasingly popular as a transportation fuel in other parts of Asia, primarily for buses and heavy duty trucks.
Bangkok is home to the 2014 edition of AFT Asia next April, an event endorsed by NGV Global, where heavy transport industry sectors in the region will take a high profile.