News ID: 5128
Date: Wednesday 26 November 2025 - 21:00

Two decades after the introduction of CNG, the share of this clean fuel is still 11 percent

Two decades after the introduction of CNG, the share of this clean fuel is still 11 percent
Two decades after the introduction of CNG; the share of this clean fuel is still 11 percent. Nearly two decades have passed since the official introduction of CNG into the country's fuel basket, but this clean fuel has not been able to account for more than 11 percent of the transportation sector's fuel consumption; while official statistics indicate a huge saving of 110 billion liters of gasoline due to the use of CNG.

Energy Press reported, citing the National Refining and Distribution Company, Mohammad Hossein Safaei, an expert on downstream oil industries, wrote: The 14th government has once again put the development of this fuel on the agenda as the main solution to confront the imbalance in gasoline and prevent fuel smuggling. An ambitious program includes the construction of 100 new stations, the free conversion of tens of thousands of public vehicles, and the production of 55,000 zero-kilometer dual-fuel vehicles that promise to save 330 million liters of gasoline annually. However, experts warn against repeating the failed experience of the past. The most important obstacle to this plan is the small price gap between CNG and gasoline. When the price of CNG per cubic meter is 450 tomans and the rationed gasoline is 1,500 tomans, there is little economic incentive for the consumer. The price imbalance in the transportation sector’s fuel basket has created a vicious cycle, such that the lack of consumer acceptance of gas-powered vehicles and the decline in sales of this new fuel, especially since 1402, have led to losses for CNG stations. This has also led to a decrease in demand and, ultimately, the lack of proper development of the required infrastructure; so that free vehicle conversion schemes have not been effective as an incentive solution. The safety challenge and high cost of repairs for gas-powered vehicles also remain, although officials attribute accidents to substandard manipulations, but this issue requires culture building and raising public awareness and education to reduce concerns instead of public opinion. In general, the lack of support policies for the import of standard gas-based vehicles on the one hand, and the lack of attention from domestic automakers to the optimal and standard production of gas-based vehicles due to monopoly and other related reasons, constitute other circles of challenges in this sector. Although the proposal to provide free CNG from the trade association seems attractive, in practice it will face budgetary and gas supply obstacles. Another significant root of this challenge is the use of old (first generation) fuel conversion kits, which lead to rapid engine wear, especially the cylinder head of the vehicles. This imposes heavy repair costs on owners to the extent that it may completely neutralize the savings from using CNG. The technical solution to this problem is the use of fourth generation kits. These kits significantly reduce engine wear, improve output power, reduce fuel consumption, and reduce emissions. In this regard, the use of fourth-generation kits in workshop conversions and new vehicle production will play an effective role in reducing owner costs and the sustainable development of CNG.

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