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CNG Powered Cars – The Next Big Boom for Indian Auto Market

After Diesel run cars, it’s time for compressed natural gas or CNG-powered cars to capture the market and surely they will move the future of the Indian auto market, as according to automakers. However, there is a restricted availability of CNG but still carmakers anticipate a good boost in CNG-run vehicles and a considerably good hike in their sales count. CNG type of cars catch up demand because of their fantastic fuel efficiency and lower emission levels, moreover the credit goes to frequent increase in petrol prices.

The managing executive officer – marketing of Maruti Suzuki India, Mr. Mayank Pareek said, “From 15,000 units in 2010-11, the sale of our CNG cars grew to 40,000 units in 2011-12.”

Maruti Suzuki offers few CNG build cars in Indian market and the range comprises from Alto, Eeco, Estilo to Wagon R and SX4 models. On the contrary Hyundai offers the CNG option in i10, Santro and Accent.

Other major automobile manufacturers like Hyundai and General Motors are also confronting a surge in sales of their CNG cars. They hold the view that buyers are very much keen on investing in a CNG vehicle as the same comes with higher fuel economy, all thanks to de-regulation of petrol prices.

As per specifications, the running cost of petrol car is Rs. 5.05 whereas CNG cars attract Rs. 2.09. Moreover, adding a CNG kit to the vehicle, makes it pricier by Rs. 60,000 and its total running cost after 50,000 km is calculated to be Rs. 1,04,500 as against to petrol run car of Rs. 2,52,500.

According to Vice President of General Motors India, Mr. P Balendran, “The availability of CNG cars is limited to Delhi, Mumbai and Gujarat. As on December 2011, the number of CNG stations in India stood at around 635. We understand that there is a plan to expand it to 900 stations in 2013. Instead of 200 new CNG stations every year, we should have 400 if we want to see 4 million cars run on natural gas by 2015.”

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