The National Gas Company of Trinidad and Tobago Limited (NGC) will invest TTD 500 million (USD 78m) in developing phase one of a two phased five year Compressed Natural Gas (CNG) plan for all vehicles in Trinidad and Tobago. Phase one of the plan would involve the conversion of 17,500 vehicles – maxi-taxis, buses, government vehicles and high mileage vehicles to CNG.
Minister of Energy and Energy Affairs, Kevin Ramnarine explained at a post-cabinet news conference that the cost for the conversion of the vehicles would be covered by the NGC and there will be no cost to state agencies. To implement this, the Minister said a subsidiary company of the NGC would be created.
The second phase of the project, which has not been approved by Cabinet as yet, would involve the construction of 22 CNG stand-alone stations and the installation of CNG pumps in existing stations.
Ramnarine noted that previous plans to implement CNG fuel had not borne fruit for various reasons; however the government was intent on reducing the cost of fuel subsidies (2012 fuel subsidy was $404 billion (USD 63b)) and increasing export earnings, freeing up funds for health and education programs and other national requirements.
The Minister said his country has a “significant gas reserve”. He also explained that when both phases come on stream the price of CNG would also be reduced. Currently, CNG is priced at $1.07 per liter (USD 0.17). Ramnnarine explained that price should drop to $1.00 per liter.
(Source: Government of the Republic of Trinidad and Tobago)