2013 US Trucking Industry News – Proposed Bill to Promote Conversion From Gas to Alternative Fuels

At an Ohio statehouse, a group of representatives has mentioned that they would provide tax breaks for people who have used compressed natural gasses in personal and commercial vehicles. This bill will create tax incentives for buying and converting vehicles to compressed natural gasses. The bipartisan plan, which has included over 61 sponsors, would offer a sales tax reduction going up to $500 for purchasing electric vehicles.

Rep. David Hall has said that this change is needed to help Ohio keep up with its competitors in the alternative fuels market. Hall has also mentioned that they haven’t fully harnessed the potential of natural gas right after its development.

These incentives would be funded by existing oil and gas taxes.

Another thing included in the bill is a five-year-old phase for a motor fuel tax focusing on alternative fuels, which is comparable to a 28-cent-per-gallon tax on gas and diesel.

Hall has said that natural gas that is available has given Ohio an enormous opportunity. He also quoted that “Not only has developing shale created jobs, but they can also use the captured natural gas to heat their residences, and give energy to their factories, cars, and trucks.”

The bill, known as the HHB 336, is found in the House Finance and Appropriations Committee. The Ohio General Assembly is also heading towards the end of the first year of their two-year session.

Compressed Natural Gas

Compressed Natural Gas can be used as a replacement for gasoline, diesel fuel, and propane. Combustion of CNG produces lesser undesirable gasses than the previous three fuels. This makes it safer to use because in the event of a fuel spill, natural gas can be easily dispersed after release because it is lighter than air. CNGs can be found above oil deposits. They can also be found in landfills or wastewater treatment plants, where it is known as a biogas.

CNG is used by traditional gasoline automobiles that are modified, or in vehicles which have been manufactured for CNG use, either with a segregated or a lone gasoline system. It can also be used in conjunction with another type of fuel such as diesel.

The placement and cost of fuel storage tanks is a major barrier. The adoption of CNG as a type of fuel is quicker and wider. It is also the reason why municipal governments and public transportation vehicles were the most visible early adopters of it. They can quickly amortize the money that is invested in the new and cheaper fuel.

Vehicles that use compressed natural gas need a greater amount of space for fuel storage, rather than conventional gas powered vehicles. And instead of being in a liquid form like other types of gasoline, it is a compressed gas. The CNG occupies more space for each GGE (gasoline gallon equivalent). Tanks that are used to store CNG take up more space in the trunk of a car or the bed of a pickup truck which runs on CNG.

Advantages of CNG

It does not contain any traces of lead.
Vehicles that run on CNG have lower maintenance costs than other fuel-powered vehicles.
Increased life of lubricating oil, since CNGs do not contaminate or dilute the crankcase oil.
CNG mixes easily in the air, since it is a gaseous fuel.
It is less likely to ignite on hot surfaces.
CNG vehicles are safer than gasoline-powered vehicles.

CNG powered Truck

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