CNG is now becoming a popular choice for commercial vehicles

11 Feb 2022 CW Team

Compressed natural gas (CNG), a popular choice among cost-conscious vehicle buyers, is now also the fuel of choice for commercial vehicles (CVs), during an increase in the price of diesel.

There has been an increase in demand for CNG-driven commercial vehicles, especially in the last 12 to 18 months.

Sanjeev Kumar working at Ashok Leyland said that the price differential between diesel and CNG has grown in the past several months.The prices of diesel and CNG have increased. However, CNG has headroom to grow. Because of better cost efficiency, the sales of CNG vehicles are increasing.

It is expected that the increase in demand for CNG vehicles will persist, especially on shorter routes.

VE Commercial Vehicles managing director, Vinod Aggarwal further confirms the higher demand. He said the migration towards CNG has been huge in light as well as medium-duty trucks. The price differential between diesel and CNG in Delhi is over Rs 40. The efficiency of fuel is somewhat similar. The older vehicles are now being replaced with CNG by various operators.

The cost of fuel to run a medium-duty truck for 7,000 km, at 7 km per liter diesel costs between Rs 80,000 and Rs 90,000. However, in the case of CNG fuel resources, it is reduced to Rs 45,000-50,000. On Wednesday, the diesel and petrol prices were Rs 86.67 per liter and Rs 95.41 per liter, respectively. While CNG was Rs 43.40 per kg.

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Also read: Commercial vehicle sales likely to rescale FY19 peak in two years

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