VietNamNet Bridge – HCM City plans to introduce 800 new buses that run on compressed natural gas (CNG) by the end of this year.

A demonstration of a CNG bus being refilled in HCM City – File photo

In preparation for their operation, the People’s Committee has called on the Viet Nam National Oil and Gas Group (PVN) to set up nine for more CNG filling stations and expand the four existing ones.

It also wants PVN to keep CNG prices at 60 per cent of that of diesel.

The city already has 256 buses running on the green fuel, which has helped reduce pollution.

But the Department of Transport said this year PVN had increased CNG prices by more than 6 per cent and plans to increase further in the coming years besides temporarily stopping setting up of new CNG filling stations.

“This has seriously affected the city’s CNG buses development policy,” a city official told Sai Gon Giai Phong (Liberated Sai Gon) newspaper.

“In the long term, CNG buses will be used mostly for public transportation and PVN should set up CNG filling stations.”

Since 2011 the city has been running 21 CNG public transport buses on an experimental basis, and after one year they had saved VND2 billion (US$90,000) or 23 per cent compared to diesel.

In addition, harmful air and Carbon dioxide (CO2) had been recorded to reduce 53 – 63 per cent and 20 per cent respectively.

To get more of these buses, the city should consider more financial support because each CNG bus needs to pay VND35 – 40 million ($1,800) each month for seven years and expand the CNG filling station network. 

VNS