In line with the National Development Plan 2030 (NDP) and the Industrial Action Policy Plan (IPAP2), the IDC is investing in new technologies with economic growth, sustainability and job creation as the primary objectives. When considering technologies that could benefit the South African population at large, reduce inflation across many industries and bring about environmental benefits, compressed natural gas is one of the few new developments that can fulfil on all the facets.
In such, CNG Holdings was formed in partnership with the IDC and other investors, with the vision of bringing natural gas and all its benefits to the broader population.
Alternative fuel source
While Compressed Natural Gas is not a new technology, having been a global alternative fuel source for many years, the economic down turn combined with the global warming crisis and the increasing cost of energy in general created a greater need for the roll-out of the alternative energy source. In South Africa this need was further enhanced by the unreliability of power supply and issues caused by strike action and an under-developed electricity grid.
The enhanced need sparked further research and investigation into implementation possibilities. A study was conducted by The South African National Energy Research Institute (SANERI) in the South African public transport sector, especially as globally there are already 10 million vehicles running on CNG.
The CNG group of companies is thus working with their various partners to establish projects through a R100 million expansion plan, estimated to take approximately 18 months. The test run of the use of CNG in South Africa has shown impressive results and those utilising this technology have received much respite from the ever -increasing fuel prices.
Through its use in taxi fleets, passengers have also benefitted due to decreased transport costs. To date 35 taxis have already been converted. The target is to convert 1000 taxis during the first rollout phase. There are currently 50 applications in for conversions to be carried out.
Although CNG Holdings is currently targeting taxi fleets, the overriding aim is to release the product to the general public as soon as possible. A filling station in Johannesburg has already been adapted to supply CNG and various other stations will be adapted across South Africa. As CNG is the only economically viable, sustainable fuel that is available for immediate roll out in South Africa, it is the obvious (and most beneficial) choice.
The advantages of using CNG are that; it does not contain any lead, prolonging the life of the vehicle's spark plugs, it emits less pollution and provides more efficiency, and it is more cost effective than traditional fuels while also offering users decreased maintenance costs on their vehicles and an increased life of lubricating oils. As CNG fuel systems are sealed, the occurrences of spillages or evaporation are prevented. The gas is also safer to use than petrol or diesel as it is less likely to ignite on hot surfaces due to its high auto-ignition temperature and narrow flammability range.
The only disadvantage of using CNG is that, due to the nature of the gas, the tank needed to carry it is much larger than a regular petrol or diesel tank, meaning that vehicles that are converted may lose some space in their boot. Vehicles abroad that are being fitted with natural gas tanks from inception in the factory have been modified to accommodate the tank underneath the vehicle to prevent this from being a problem.
CNG is the fuel of the future and due to its characteristics it ensures that the whole population, either directly or indirectly, as well as the environment, benefits from a switch to CNG.