American Gas - March 2014 - (Page 14)

by the numbers natural gas vehicles are becoming more common, and that's especially true of the truck and bus segment, where fleet owners find the fuel both cost-effective and environmentally sound. NATURAL GAS VEHICLES IN USE, NORTH AMERICA 1,000,000 The number of natural gas vehicles in use in North America is expected to reach nearly 887,000 by 2022, according to 800,000 the Navigant Research firm. Limited infrastructure may be vehicles in use holding that growth back somewhat. "In North America, where natural gas costs remain low, the number of vehicles is outstripping the development of refueling stations," said Dave Hurst, principal research analyst with Navigant. Far more natural gas vehicles will be in use in Europe (more than 3.5 million) and Asia Pacific (nearly 19.9 million) in 2022. Nevertheless, growth in North America will be strong. 600,000 400,000 200,000 0 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Source: Navigant Research TOTAL NATURAL GAS TRUCKS AND BUSES IN USE, NORTH AMERICA 250,000 Operators of truck and bus fleets are increasingly interested in natural gas vehicles, says Navigant, and there will be more than 288,000 of these vehicles on the road in 2022. Fleets find the lower costs of natural gas appealing: Fuel is one of the main vehicles in use 200,000 150,000 50,000 emissions. And fleet operations can typically rely on fewer refueling stations, compared to consumer vehicles. MEDIUM AND HEAVY DUTY BUSES 0 2013 drivers of fleet operating costs, and natural gas is significantly cheaper than diesel fuel. Natural gas can help cut fleet MEDIUM AND HEAVY DUTY TRUCKS 100,000 2014 2015 2016 2017 2018 2019 2020 2021 2022 Source: Navigant Research NATURAL GAS CONSUMED BY VEHICLES, NORTH AMERICA Although light duty natural gas vehicles will significantly outnumber similarly powered trucks and buses in 2022 (578,503 vs. 104,069, respectively), the heavier vehicles will account for the lion's share of vehicle natural gas usage, helping to drive a seven-fold increase in demand for the fuel. Navigant estimates that the payback period for using natural-gas powered heavy duty trucks in North American can be a little as 1.5 years. (million cubic feet) Medium Duty Vehicles Heavy Duty Trucks Heavy Duty Buses 2013 13,462 1,994 19,711 12,241 2022 41,246 11,041 244,132 38,212 Source: Navigant Research 14 AmericAn GAs march 2014 alex reardon Light Duty Vehicles

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American Gas - March 2014