More Malaysian motorists switch to cheaper CNG

Straits Times 8 Jun 08;

Johor Baru - More motorists are switching to compressed natural gas (CNG) and converting their vehicles to run on the cheaper fuel.

Installation workshops are reporting better business, with operators working additional shifts to cope with the surge in demand.

Managing director Sharida Abd Samad, of Suria Professional Service Centre, said 20 vehicle owners had installed the kit on Thursday, a day after higher fuel prices came into effect.

The workshop usually fits about 30 cars monthly, but since the price hike, workers have had to work until 2am to cope with the additional demand, she said.

The New Straits Times daily reported another workshop - Perisind Auto Care - landing 14 orders in one day, which is more than what the company normally gets in a month.

Converting a vehicle to run on CNG costs at least RM2,900 (S$1,200), but owners stand to save in the long run.

CNG costs less than 70 Malaysian sen a litre. This is about a quarter the cost of the new price of petrol.

Lawyer Norman Fernandez said that he was considering converting his car to run on CNG, as it would save a lot of money in the long term.

'I was put off by the huge tank that will take up a lot of space in my car but, with the rise in petrol price, I am considering it,' The Star daily quoted him as saying.

Meanwhile, local fuel giant Petronas has said it will open 200 more stations to sell CNG, adding to its nearly 40 stations currently equipped with such facilities.

Many taxis around Malaysia already run on CNG, which the government is trying to promote as a cleaner, more environmentally friendly fuel.

The government actively supports its use with incentives and legislation, such as exempting conversion kits from import duty and sales tax.