Wednesday, December 20, 2006

Natural gas: the missing alternative fuel

Rising oil prices and concern about Australia’s oil self sufficiency has prompted vigorous community debate about the potential of alternative fuels to not only meet our future fuel demands but also deliver environmental benefits.
A recent media story highlights the fact that the current public policy debate appears to be largely devoid of any serious discussion about the potential merits of using natural gas in transport. This is despite the fact that natural gas is being used by a small but growing number of truck fleets and is used in many of Australia’s major government bus fleets, including Sydney, Brisbane, Perth, Adelaide and Canberra.
The absence of any real policy discussion about the merits of natural gas is particularly confusing given that natural gas appears to be one of the few fuels that can potentially deliver a win for both the economy (in terms of lower fuel prices and lower input costs for the transport of goods and services) and the environment (in terms of lower air pollution and lower greenhouse pollution).
Proof of this success is provided by analysis of the recent experiences of the Commonwealth Government’s Alternative Fuels Conversion Programme (AFCP) – a federal government programme administered by the Commonwealth Department of the Environment and Heritage.
While there are certainly some challenges (in terms of establishing the necessary refuelling infrastructure and further improving natural gas engine technologies), the experiences of the AFCP and recent announcements by companies like Kleenheat suggest that these difficulties are being progressively overcome by industry in partnership with the Commonwealth Government.
To our way of thinking, there is no single alternative fuel that is likely to become a wholesale replacement for the conventional fuels. Consequently, our national fuel policy should seek to promote increased use of a range of cleaner alternative fuels – fuels that not only provide protection against the rising costs of oil-based fuels (i.e. indigenous to Australia and abundantly available) but also deliver better greenhouse and air quality outcomes for the Australian community when compared with oil-based fuels.
It is time to get serious about supporting the development of natural gas for road transport in Australia

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