DOE seeks investors in CNG transport program

The Department of Energy (DOE) is encouraging investors to support the Natural Gas Vehicle Program for Public Transport (NGVPPT) which enters the commercial phase next year.

DOE director Mario Marasigan told reporters that they expect at least two compressed natural gas (CNG) projects to be constructed in 2009 by the private sector.

Without naming the investors, Marasigan said they have received proposals for the construction of the CNG refilling stations.

Marasigan said the NGVPPT is open to everybody who is interested.

In 2009, the DOE  will push for the accreditation of more bus operators and the conversion of more units into CNG-run buses.

Next year, the DOE is looking at accrediting 185 more CNG buses. The target is to have 2,000 buses running with CNG fuel by 2010.

The department has already issued four certificate of authority to import more CNG buses to accredited bus operators.

There are currently 24 CNG buses plying the Cubao-Batangas/Laguna route.  

This year, the DOE renewed the accreditation of seven CNG bus operators including KL CNGBUS Transport and HM Transport.

Canadian firm IMW Industries Ltd. will assist the DOE in conducting a study on the development of CNG particularly for the transport industry.

Callandra, backed by Filipino and US investors, is also eyeing to participate in the construction of CNG refilling stations.

KL CNG Bus Transport Corp. has asked the Department of Energy (DOE) to approve its proposed P200-million compressed natural gas (CNG) project in Baclaran.

The DOE is now working out a way to allocate a portion of the additional gas to be produced from the $4.5-billion Malampaya gas project in Palawan to the transport sector.

The full implementation of the NGVPTP hinges on the availability of natural gas in the market. Potential investors for the NGVPTP want to be assured that they have enough supply of gas before engaging in their respective projects.