Clean Energy Announced Natural Gas Fueling Commitments Across U.S.
Stronger and Safer than Gasoline or Diesel Tanks Reducing the Possibility of Accidental Release to Promote Growth in the Compressed Natural Gas Market
Increasing use of natural gas in the automotive industry is the major factor driving the growth of the compressed natural gas market. CNG can be used in the traditional internal combustion engines that have been originally designed for gasoline and diesel that is anticipated to fuel the growth of the compressed natural gas market. In addition, increase demand for hybrid vehicle and stringent regulation on the use of commercial passenger vehicles fitted with CNG as this cause low carbon emission is boosting the growth of the compressed natural gas market. However, lack of infrastructure and high installation cost for storage are the factors likely to hamper the growth of the compressed natural gas market during the forecast period. Furthermore, increasing research and development investment on dual fuel technology by the leading automobile manufacturers are anticipated to open several doors of opportunity foe the key players in the compressed natural gas market over the years to come.
Asia Pacific Region to Contribute to Growth in the Global Compressed Natural Gas Market
Asia Pacific is the largest consumer of compressed natural gas as transit buses and delivery & garbage truck fleets prefer CNG to fossil fuel. Europe followed by Asia pacific emerged as the second largest compressed natural gas market. Further, favorable government initiatives such as subsidies especially in key consuming economies such as China, and India are promoting the use of CNG due to its low greenhouse gases emission properties, which in turn is projected to fuel the demand for the CNG over the forecast period. On the other hand, Increasing exploration and production of conventional natural gas reserves especially in Middle East & Africa are anticipated to fuel the demand for compressed natural gas market.