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Ending the Myths Surrounding Natural Gas

César Stackpole - Acerall Energy Solutions
CEO

STORY INLINE POST

Alejandro Enríquez By Alejandro Enríquez | Journalist and Industry Analyst - Fri, 01/24/2020 - 12:25

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Q: What is Acerall’s differentiating value and what advantages does natural gas provide to vehicle owners?

A: Acerall provides technical consulting regarding issues for the configuration of compressed natural gas (CNG) and vehicular natural gas (GNV). We have a design team and an engineering area to tailor solutions for our clients that maximize profit and provide solid returns. Above all, our goal is to ensure the safety of both our clients’ staff and final users. 

The first advantage of this technology is its economic benefit. There is a large gap between the low price of natural gas and the high costs of other fuels. Mexico’s geographic proximity to the US, our main supplier of natural gas, also provides a positive cost difference. In some cases, ROI is visible in less than a year or two at most. 

From an ecological viewpoint, natural gas is cleaner than other fossil fuels, emitting less than 10 percent of pollutants compared to gasoline and diesel. Our equipment is strictly regulated and in operation around the world without incident. Both our equipment and our staff are certified. In specific cases, such as Mexico City’s limits on vehicles circulating in the city due to high levels of pollution, vehicles equipped with natural gas technology are exempted from restrictions. In addition, natural gas eliminates the possibility of theft due to the need for sophisticated equipment.

Q: What are some hurdles for the wider adoption of GNV?

A: Many people confuse natural gas with other kinds of fuel and worry about its impact on vehicular operations. Natural gas works perfectly with combustion equipment. New technologies allow ideal performance because they operate with purely stoichiometric combustion and the system’s maintenance is the same as in a normal car, the only thing that needs to be checked periodically is the tank’s grip. 

Q: What are the challenges when integrating this technology in fleets and what is your outlook?

A: The first challenge is increasing awareness among clients and final users that this is a mature and safe technology. The other challenge is the slow pace of regulatory implementation. Projections for the industry are encouraging because of Mexico’s privileged geographic position. One of the biggest producers in the world is in southern US, which provides us with affordable prices. We are expecting exponential growth.

Q: What success stories can you identify where GNV or CNG trumped other fuel alternatives?

A: We started to offer the necessary equipment for CNG to companies transporting natural gas such as Energex, Simsa and Neogas, all of which have reduced their fueling time up to 40 percent. As for CNG, we worked with Scania on adapting CNG tanks for its vehicles used in public transportation. We have worked with other transportation companies in different regions to develop their own stations.

Q: What role will natural gas play in the automotive sector in the near future?

A: Once the final customer ditches the myths around it, natural gas will become the industry’s new normal. Natural gas will grow exponentially. Any fleet or transportation company looking to reduce costs should turn to natural gas. Even though it can represent a considerable initial investment, ROI can be achieved in a short time frame considering companies can save up to 50 percent on fuel.

According to the US Energy Department’s projections, natural gas consumption is rising, whereas consumption of oil and other fuels is declining considerably. In addition, natural gas prices are unlikely to change since that would affect electricity costs and thus could have a spillover effect on the price of many other products. At the moment, less than 1 percent of the available natural gas is used in the automotive industry, with the remaining 99 percent used to produce electricity and in domestic and industrial applications.

Acerall Energy Solutions is a Mexican company that provides technical consulting. It is specialized in equipment issues for the configuration of compressed natural gas (CNG) and vehicular natural gas (GNV)

 

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