In recent week there have been various statements made by a Deputy Minister about the promotion of BioDiesel usage in Malaysia.
It seem that Malaysia will see lots of BioDiesel Vehicles on their streets starting year 2007. I will not be suprised if the PM announce some great incentives for BioDiesel usage in his Friday 9th Malaysia plans.
I am amused with the idea but let us look at both the Positive and Negative points on BioDiesel verses Natural Gas (NGV).
Biodiesel is defined as fuel that are made of high percentage of Petroleum Diesel plus not more then 20% of Palm Oil (B20). The lesser the amount of the Palm Oil the better is the calorific value when burned.
What are their advantages/disadvantages and compared with NGV?
1) Every liter of BioDiesel that burns, the exhaust gas produces 20% less as compared to a 100% Diesel. Right? This would mean 20% less pollutants as compared to burning 100% diesel. We are still polluting the air by 80%.
2) Biodiesel is suitable only for Diesel Operated Engines. U cannot use them on Petrol Operated vehicles. So out of 7.5 million vehicles in Malaysia only 500,000 commercial vehicles can use Biodiesel. In comparison, NGV can be used for all vehicles i.e. either Diesel operated or Petrol Operated.
3) Bulk of BioDiesel is actually Diesel (80%). If diesel is the bulked, then there is no way it can be much cheaper then NGV. Currently price of subsidised Diesel at any Petrol pump is RM1.58. If 20% is made up of Palm Oil, with currenlt palm oil price plus cost to built a refinary to process, it will never be less then RM1.25. You know that NGV retail price now is 68 sen.
4) If the goverment promote the use of Biodiesel, there will be two important things happenning. Firstly, there will be more palm oil plantation in this region and all those virgin jungles will be cut down and converted to Palm Oil Plantation. Our next Generation will no longer know what is orang hutan, rhino, elephant and etc. These animal will be totally disappeared. Secondly, we need to import more diesel to blend with the Palm Oil. Our trade balance will be effected.
Read this:
QUOTE:
Last week, the chairman of Malaysia's federal land development authority announced that he was about to build a new biodiesel plant. His was the ninth such decision in four months. Four new refineries are being built in Peninsula Malaysia, one in Sarawak and two in Rotterdam. Two foreign consortiums - one German, one American - are setting up rival plants in Singapore. All of them will be making biodiesel from the same source: oil from palm trees.
"The demand for biodiesel," the Malaysian Star reports, "will come from the European Community ... This fresh demand ... would, at the very least, take up most of Malaysia's crude palm oil inventories." Why? Because it is cheaper than biodiesel made from any other crop.
In September, Friends of the Earth published a report about the impact of palm oil production. "Between 1985 and 2000," it found, "the development of oil-palm plantations was responsible for an estimated 87 per cent of deforestation in Malaysia". In Sumatra and Borneo, some 4 million hectares of forest have been converted to palm farms. Now a further 6 million hectares are scheduled for clearance in Malaysia, and 16.5 million in Indonesia.
Almost all the remaining forest is at risk. Even the famous Tanjung Puting national park in Kalimantan is being ripped apart by oil planters. The orangutan is likely to become extinct in the wild. Sumatran rhinos, tigers, gibbons, tapirs, proboscis monkeys and thousands of other species could go the same way. Thousands of indigenous people have been evicted from their lands, and some 500 Indonesians have been tortured when they tried to resist. The forest fires which every so often smother the region in smog are mostly started by the palm growers. The entire region is being turned into a gigantic vegetable oil field.
Before oil palms, which are small and scrubby, are planted, vast forest trees, containing a much greater store of carbon, must be felled and burnt. Having used up the drier lands, the plantations are moving into the swamp forests, which grow on peat. When they've cut the trees, the planters drain the ground. As the peat dries it oxidises, releasing even more carbon dioxide than the trees. In terms of its impact on both the local and global environments, palm biodiesel is more destructive than crude oil from Nigeria.
UNQUOTE:
From: http://www.guardian.co.uk/Columnists/Column/0,5673,1659036,00.html
Well for NGV, we have huge reservoirs of Natural Gas at our backyard. We are the 12th largest Natural Gas reserve holder in the World. We have gas reserves that can last for more then 150 years if we properly managed. We have three LNG plants that can produced 23 Million Metric Tons a year. What we need the most is about 1 million a year to fuel all the vehicles on our road.
If you see what I see is that by choosing NGV, we will save the forest or at least slow down the cutting down of the virgin Jungles.
5) While we try to cut the air pollution down by 20%, assuming that we use B20 (biodiesel with 20% palm oil), we are actually creating much more pollution when we got to burn the jungles and Palm oil residues (the leaves, trunk, husk, kernel and etc) before and after we produce the Palm Oil. So the word "Reducing Air Pollution" when you use Biodiesel is nonsensical. If we use NGV, we are talking about 100% free of pollution when we burned the natural gas and no jungles and Palm oil residue will be burned or disposed off?
6) What about the cost to convert to NGV? Yes there is a slight cost impact but considering the amount of savings the cost outlay can be recovered withnin 18 months. The initial cost pay by itself. Please be reminded that converted from diesel to Biodiesel is not straight forward, there are various modification needed to be done on your vehicle. Your cooling system must be modified to reduce over heating when you are clocking long distant travelling. You saving by swithing to biodiesel is marginal and not very rewarding.
Based on the above, I think it is not sensible for Malaysians to switch to BioDiesel. We should demand that NGV be the first choice as our Alternative Fuel. We want those gas trapped in the gas reservoirs be produced and allowed Malaysian to enjoy the benefits and any excess will then be exported.
Thursday, March 30, 2006
Wednesday, March 22, 2006
ANOTHER NEW GAS FIELD STRIKE IN MALAYSIA !!!
Today March 22nd 2006, Petronas announced the strike of another new gas field off Sarawak, Malaysia. The news was from our Star newspaper:
QUOTE:
Wednesday March 22, 2006
PETRONAS MAKES NEW GAS DISCOVERY OFF SARAWAK.
KUALA LUMPUR: Petroliam Nasional Bhd (Petronas) has made a new gas discovery in waters off eastern Sarawak.
“The well, drilled by Petronas in its efforts to discover more gas reserves, encountered a single gas column of 630 metres, which is a new record for Sarawak,” it said in a statement. Other gas fields near the discovery were F38, F2 Attic, B12 and the gas-producing field of B11, Petronas said.
UNQUOTE.
Frankly this is nothing new. As mentioned in my last write up Malaysia is blessed with a Petroleum Malay Basin that can give as high as 60-90 percent chances of hitting Gas Reservoir(s). For oil it might be a bit lower like 40 percent.
Oil current proven Gas reserved is about 85 trillion Stantard Cubic Feet (SFC) and this latest finding might push our reserve to above 100 Trillion SCF. We are world no 12th World in Gas Reserves. Now we might move up toWorld Number 10th or 9th. BRAVO MALAYSIA!!!
Just look at the size of the payzone reported. A 630 meters of height and it is another record thickness. Just imagine if the size of this new field is as big as Brunei Darulsalam. Can U imagine the volume of Gas and Gas Condensate that it is packed with?
I am not suprise if next week Petronas make another announcement of a new finding. All in all we have a superb country with lots of Natural Gas stored in our seabed.
The issue here is that these findings does will bring much benefits to the Malaysian public if they are not being promoted and use as an Alternative Fuel.
Everytime this kind of announcement is made, all the big buyers from Korea, Japan and Taiwan will be waiting at Petronas doorstep blocking these gases for their country's used. An I am sure Petronas will sign a contract and there goes our Natural Gas. SOLD. So what do we get from it?
Petronas was initially set up to be the custodian of all our Oil and Gas assets. They started a small organisation and became a large organisation now. They are a National oil company whose function is to look after our asset and they have to understand that these assets belongs to the country and they have to be given preference to the Malaysian before selling any excess to Foreign countries. Since they belong to us we should be given the benefits to use them at a reasonable price, if possible cost price, and any big profit will only be recoop from sales to the foreign countries.
We are not asking a few trillion but just a few million scf a month. Just imagine if even all the 7.5 million vehicles in Malaysia are converted to NGV do we used a trillion scf a year? Nope. I estimate that the most we used is 10,000,000 scf a month. How unfortunate, we have only 14,900 vehicles on Malaysian streets with NGV right now.
More NGV dedicated stations shall be constructed to encourange more Malaysia to enjoy the use of our natural non polluting resource.More operators should be lisenced to sell the gas either in NGV or LNG. MiniLNG plants should be lisensed to produce LNG. All current Petrol stations operators shall be required to provide NGV dispensers and Natural gas shall be the ultimate Alternative Fuel for all Malaysian.
We should encourange every Malaysian vehicle owner to use NGV and make them pay more if they use Diesel and Petrol. The government should remove any subsidies on petroleum as soon as more NGV stations are make available.
We have the resources and we should be given the full right to use them at a reasonable price.
QUOTE:
Wednesday March 22, 2006
PETRONAS MAKES NEW GAS DISCOVERY OFF SARAWAK.
KUALA LUMPUR: Petroliam Nasional Bhd (Petronas) has made a new gas discovery in waters off eastern Sarawak.
“The well, drilled by Petronas in its efforts to discover more gas reserves, encountered a single gas column of 630 metres, which is a new record for Sarawak,” it said in a statement. Other gas fields near the discovery were F38, F2 Attic, B12 and the gas-producing field of B11, Petronas said.
UNQUOTE.
Frankly this is nothing new. As mentioned in my last write up Malaysia is blessed with a Petroleum Malay Basin that can give as high as 60-90 percent chances of hitting Gas Reservoir(s). For oil it might be a bit lower like 40 percent.
Oil current proven Gas reserved is about 85 trillion Stantard Cubic Feet (SFC) and this latest finding might push our reserve to above 100 Trillion SCF. We are world no 12th World in Gas Reserves. Now we might move up toWorld Number 10th or 9th. BRAVO MALAYSIA!!!
Just look at the size of the payzone reported. A 630 meters of height and it is another record thickness. Just imagine if the size of this new field is as big as Brunei Darulsalam. Can U imagine the volume of Gas and Gas Condensate that it is packed with?
I am not suprise if next week Petronas make another announcement of a new finding. All in all we have a superb country with lots of Natural Gas stored in our seabed.
The issue here is that these findings does will bring much benefits to the Malaysian public if they are not being promoted and use as an Alternative Fuel.
Everytime this kind of announcement is made, all the big buyers from Korea, Japan and Taiwan will be waiting at Petronas doorstep blocking these gases for their country's used. An I am sure Petronas will sign a contract and there goes our Natural Gas. SOLD. So what do we get from it?
Petronas was initially set up to be the custodian of all our Oil and Gas assets. They started a small organisation and became a large organisation now. They are a National oil company whose function is to look after our asset and they have to understand that these assets belongs to the country and they have to be given preference to the Malaysian before selling any excess to Foreign countries. Since they belong to us we should be given the benefits to use them at a reasonable price, if possible cost price, and any big profit will only be recoop from sales to the foreign countries.
We are not asking a few trillion but just a few million scf a month. Just imagine if even all the 7.5 million vehicles in Malaysia are converted to NGV do we used a trillion scf a year? Nope. I estimate that the most we used is 10,000,000 scf a month. How unfortunate, we have only 14,900 vehicles on Malaysian streets with NGV right now.
More NGV dedicated stations shall be constructed to encourange more Malaysia to enjoy the use of our natural non polluting resource.More operators should be lisenced to sell the gas either in NGV or LNG. MiniLNG plants should be lisensed to produce LNG. All current Petrol stations operators shall be required to provide NGV dispensers and Natural gas shall be the ultimate Alternative Fuel for all Malaysian.
We should encourange every Malaysian vehicle owner to use NGV and make them pay more if they use Diesel and Petrol. The government should remove any subsidies on petroleum as soon as more NGV stations are make available.
We have the resources and we should be given the full right to use them at a reasonable price.
Sunday, March 19, 2006
My Comment: The Star News On NGV Station March 19, 2006.
I was on the way to Genting Permai to view an Apartment that a seller have been pushing me to buy. Took my wife and on on the way bought The Star Newspaper.
On page 19 Nation Sunday Star I saw this news:
QUOTE:
SET UP MORE LNG STATIONS
By DERRICK VINESH
NIBONG TEBAL: Petronas has been directed to open 200 new natural gas stations by 2010 to encourage the use of natural gas as an alternative fuel.
Deputy Rural and Regional Development Minister Datuk Zainal Abidin Osman said the Cabinet had recently given the order to promote the use of natural gas vehicles (NGV) to reduce dependency on petrol and diesel.
“Petronas has 53 petrol stations selling natural gas. By providing an alternative fuel to consumers, we hope they will not get angry with the government when there is any increase in the prices of petrol and diesel.
“The government has also asked Proton to come up with new car models that use natural gas to complement this effort,” he said at a fuel price increase explanation event at Institut Latihan Perindustrian Arumugam Pillai here yesterday.
Zainal, who is also Nibong Tebal MP, said the government also gave out incentives to encourage the use of natural gas.
Owners of mono gas vehicles get 50% reduction in road tax for and those with bi-fuel and dual-gasoline vehicles get 25% reduction.
“The government has also fixed the price of natural gas at 50% lower than the price of petrol,” he said.
On a different matter, Zainal said he was upset that 308 rural businessmen had defaulted on payment of their Rural Economy and Loan Scheme since its inception in 2001.
“We gave out loans to 704 rural businessmen totalling RM90mil. Until now, 308 businessmen have yet to pay up.”
UNQUOTE:
My first reaction are:
a) At last there is some good news that the cabinet (Malaysian Goverment) have directed our National Oil Company, PETRONAS, to open 200 new NGV stations by year 2010. Something is better then nothing.
c) What ammused me is the head line : SET UP MORE LNG STATIONS. The writer do not know the different between LNG and NGV. I suggest that he read my latest blog about LNG utilisation in Sarawak. LNG is liquid Natural Gas while NGV is compressed gas used for vehicle. Though both come from the same source i.e Natural gas, LNG uses cooling to liquify the gas while NGV refer to Natural gas in Compressed mode.
d)The Minister seem to be very happy with the number of stations to be built but he is not making enought effort to get more people to convert to NGV. Reducing the road tax to 50% (mono) and 25%(dual) is not good enought. More should be done.
e) The next incentive given is the assurance that NGV will be 50% below petrol price. This can be very assuring and hope it will be there forever.
f) Seriuosly I believed the Goverment should show more commitment in making NGV as the altimate alternative fuel for all consumers. They should anounce the formation of a special Department in the Prime Minister Department to come out with a Masterplan which will see that NGV will be the most important gift to all Malaysian.
g) The Government should also call upon all Petrol & Diesel stations operators to allocate an island for NGV dispensers. This can be done by giving them the ruling whereby if they failed to comply their lisence will not be renewed. It this is implemented we will have more stations with NGV and not Petronas Stations only.
h) The Gorvernment should also make serious effort in issueing more lisence to new operators who have the plan to operate dedicated NGV stations. This will encourange more competitors in the market thus giving the consumers more choices to be served.
We are very proud and happy with this new announcement but there is a lot more that can be done.
We prefer a proper implementation plan then piece meal announcement just to make the public happy. We want a masterplan that are designed for a long term strategy to make NGV as the Alternative Fuel.
On page 19 Nation Sunday Star I saw this news:
QUOTE:
SET UP MORE LNG STATIONS
By DERRICK VINESH
NIBONG TEBAL: Petronas has been directed to open 200 new natural gas stations by 2010 to encourage the use of natural gas as an alternative fuel.
Deputy Rural and Regional Development Minister Datuk Zainal Abidin Osman said the Cabinet had recently given the order to promote the use of natural gas vehicles (NGV) to reduce dependency on petrol and diesel.
“Petronas has 53 petrol stations selling natural gas. By providing an alternative fuel to consumers, we hope they will not get angry with the government when there is any increase in the prices of petrol and diesel.
“The government has also asked Proton to come up with new car models that use natural gas to complement this effort,” he said at a fuel price increase explanation event at Institut Latihan Perindustrian Arumugam Pillai here yesterday.
Zainal, who is also Nibong Tebal MP, said the government also gave out incentives to encourage the use of natural gas.
Owners of mono gas vehicles get 50% reduction in road tax for and those with bi-fuel and dual-gasoline vehicles get 25% reduction.
“The government has also fixed the price of natural gas at 50% lower than the price of petrol,” he said.
On a different matter, Zainal said he was upset that 308 rural businessmen had defaulted on payment of their Rural Economy and Loan Scheme since its inception in 2001.
“We gave out loans to 704 rural businessmen totalling RM90mil. Until now, 308 businessmen have yet to pay up.”
UNQUOTE:
My first reaction are:
a) At last there is some good news that the cabinet (Malaysian Goverment) have directed our National Oil Company, PETRONAS, to open 200 new NGV stations by year 2010. Something is better then nothing.
c) What ammused me is the head line : SET UP MORE LNG STATIONS. The writer do not know the different between LNG and NGV. I suggest that he read my latest blog about LNG utilisation in Sarawak. LNG is liquid Natural Gas while NGV is compressed gas used for vehicle. Though both come from the same source i.e Natural gas, LNG uses cooling to liquify the gas while NGV refer to Natural gas in Compressed mode.
d)The Minister seem to be very happy with the number of stations to be built but he is not making enought effort to get more people to convert to NGV. Reducing the road tax to 50% (mono) and 25%(dual) is not good enought. More should be done.
e) The next incentive given is the assurance that NGV will be 50% below petrol price. This can be very assuring and hope it will be there forever.
f) Seriuosly I believed the Goverment should show more commitment in making NGV as the altimate alternative fuel for all consumers. They should anounce the formation of a special Department in the Prime Minister Department to come out with a Masterplan which will see that NGV will be the most important gift to all Malaysian.
g) The Government should also call upon all Petrol & Diesel stations operators to allocate an island for NGV dispensers. This can be done by giving them the ruling whereby if they failed to comply their lisence will not be renewed. It this is implemented we will have more stations with NGV and not Petronas Stations only.
h) The Gorvernment should also make serious effort in issueing more lisence to new operators who have the plan to operate dedicated NGV stations. This will encourange more competitors in the market thus giving the consumers more choices to be served.
We are very proud and happy with this new announcement but there is a lot more that can be done.
We prefer a proper implementation plan then piece meal announcement just to make the public happy. We want a masterplan that are designed for a long term strategy to make NGV as the Alternative Fuel.
LIQUID NATURAL GAS (LNG) CAN BE USED AS NGV FEEDSTOCK IN MALAYSIA !!!
Malaysia currently produces 23 Million Metric Tons of LNG per year. We have three plants and all are located at Bintulu, Sarawak.
Let me share with you on some ideas that can be done to use a small portion of this non polluting alternative fuel for all Malaysian.
LNG is a short word for Liquid Natural Gas. Frankly they come from the same source of NGV (Natural Gas for Vehicles) that is our Natural Gas. LNG is a result of cooling the natural gas to -260 Degree Centigrade while NGV is a result of compressing the gas to 260 bar pressure.
Once the gas is cleaned and cooled, it will turn into Liquid Natural Gas (LNG). It looks like water, colorless and odorless. If kept in a suitable container they can be transported to any part of the world for usage.
As compared to NGV, this liquefied gas can hold eight times the volume of NGV. Yes, a container of LNG is equivalent to eight (8) containers of NGV at 260 bar pressure.
It have another interesting characteristic. Any impurities that it contained during cooling process will remain as liquid. So this would mean that the gas produced after the LNG is transformed into gas for fuel usage is far superior then a normal NGV. It will be giving a higher octane value I presume.
We have these three plants in Bintulu producing 23 million metric tons a year. We export them to Taiwan, Japan, Korea and other countries. Out of the 23 million we export only 21.2 Metric tons. We have an excess of 1.8 million tons a year.
My question is " Can some one out there buy this excess LNG and distribute the LNG as the feedstock to NGV stations?".
Will PETRONAS allow? Will our Government support the move? Will someone out there see what I see?
We can start by deploying this non polluting LNG for Sarawakian NGV project. The Government can actually start National NGV on full scale project in Sarawak. I am sure Dato Taib Mahmud will give his blessing. What else since Sarawak is collecting a 5% royalty from these same product. (Dato Taib Mahmud is the Chief Minister of Sarawak. A very capable and humble man)
Any LNG excess available can be transported to Sabah and Peninsular Malaysia.
The idea is to open LCNG (Liquid Compressed Natural Gas)stations where the feedstock is LNG.
My conclusions are as follows:
a) The Government start NGV on a national basis by implementing the 1st phase in Sarawak. Get the state to work on the best method to allow local player to invest in moving towards NGV.
b) The Company set up shall buy the excess LNG from PETRONAS-LNG and deployed to all LCNG stations in the state.
c) In the meantime we shall look at phase II, a similar sister company shall start operation in Peninsular and Sabah to do the same. They will be able to get the excess LNG from Sarawak formed company.
This idea can be materialized if the Government give a small push to the state Government and PETRONAS. There is no reason why we are not allowed to use our own natural gas for our countries benefit.
Let me share with you on some ideas that can be done to use a small portion of this non polluting alternative fuel for all Malaysian.
LNG is a short word for Liquid Natural Gas. Frankly they come from the same source of NGV (Natural Gas for Vehicles) that is our Natural Gas. LNG is a result of cooling the natural gas to -260 Degree Centigrade while NGV is a result of compressing the gas to 260 bar pressure.
Once the gas is cleaned and cooled, it will turn into Liquid Natural Gas (LNG). It looks like water, colorless and odorless. If kept in a suitable container they can be transported to any part of the world for usage.
As compared to NGV, this liquefied gas can hold eight times the volume of NGV. Yes, a container of LNG is equivalent to eight (8) containers of NGV at 260 bar pressure.
It have another interesting characteristic. Any impurities that it contained during cooling process will remain as liquid. So this would mean that the gas produced after the LNG is transformed into gas for fuel usage is far superior then a normal NGV. It will be giving a higher octane value I presume.
We have these three plants in Bintulu producing 23 million metric tons a year. We export them to Taiwan, Japan, Korea and other countries. Out of the 23 million we export only 21.2 Metric tons. We have an excess of 1.8 million tons a year.
My question is " Can some one out there buy this excess LNG and distribute the LNG as the feedstock to NGV stations?".
Will PETRONAS allow? Will our Government support the move? Will someone out there see what I see?
We can start by deploying this non polluting LNG for Sarawakian NGV project. The Government can actually start National NGV on full scale project in Sarawak. I am sure Dato Taib Mahmud will give his blessing. What else since Sarawak is collecting a 5% royalty from these same product. (Dato Taib Mahmud is the Chief Minister of Sarawak. A very capable and humble man)
Any LNG excess available can be transported to Sabah and Peninsular Malaysia.
The idea is to open LCNG (Liquid Compressed Natural Gas)stations where the feedstock is LNG.
My conclusions are as follows:
a) The Government start NGV on a national basis by implementing the 1st phase in Sarawak. Get the state to work on the best method to allow local player to invest in moving towards NGV.
b) The Company set up shall buy the excess LNG from PETRONAS-LNG and deployed to all LCNG stations in the state.
c) In the meantime we shall look at phase II, a similar sister company shall start operation in Peninsular and Sabah to do the same. They will be able to get the excess LNG from Sarawak formed company.
This idea can be materialized if the Government give a small push to the state Government and PETRONAS. There is no reason why we are not allowed to use our own natural gas for our countries benefit.
Saturday, March 18, 2006
GO NGV & YOU ARE HELPING TO KEEP THE PLANET GREEN !!!
Today I wanted to share with you something that I came across while searching for information on High Speed Diesel in USA.
High speed diesel (D2) is one of the most important fuel used in America and of course in all parts of the world. They are used everywhere especially by trucks, trains, buses, industries and many more. In USA heavy agriculture machineries depend on D2 to keep them going. When D2 are burned, the exhaust fumes will generate lots of pollutants that contaminate our environment. The more the sulphur content the more will there this dangerous sulphur dioxide in the air.
My objective to search for this articles is to confirm that by June 2006, all D2 imported into America must meet the latest low sulphur ratio requirements. Current D2 sulphur content is within 3000 to 500 parts per million.
What happened next is what I would like to share with you.
I quickly open my Google search engine and typed "diesel regulations". The result is outstanding. I choose item number three "US Department of state: New Diesel regulations will bring cleaner air".
What I see is what you should also see.
The Americans have passed a bill and approved by the President that by June 2006, a tough law is to be implemented to reduce emission level by 90%. Sulphur content will be slashed by 99%.
Quote:
In 2000, EPA ( US Environment Protection Agency), moved forward on schedule with its rule to make heavy duty trucks, buses and heavy machineries to run cleaner. These vehicles which will be ready with new model in year 2007, will cut harmful emission by 95%. Sulphur in Diesel fuel must be lowered to enable modern pollution control technology to be effective on these trucks and buses. The agency will required a 97% reduction in sulphur content of highway diesel fuel from it current level of 500 parts per million (ppt) to 15 ppt.
Once this action is implemented 2.6 million tons of smog causing nitrogen oxide emission will be reduce each year. Soot or particulate matter will be reduced by 110,000 tons a year. An estimated 8,300 premature deaths, 5,500 cases of chronic bronchitis and 17,600 cases of acute bronchitis in children will also be prevented annually. It is also estimated to help avoid more than 360,000 asthma attacks and 386,000 cases of respiratory symptoms in asthmatic children every year. In addition, 1.5 million lost work days, 7,100 hospital visits and 2,400 emergency room visits for asthma will be prevented.
Significant lead time is provided in the rule for the introduction of new cleaner fuel into the marketplace. Engine manufacturers will have flexibility to meet the new standards through a phase-in approach between 2007 and 2010. The fuel provision will go into effect in June 2006 and will be phased-in through 2009. The program also includes various flexible approaches, including additional time for some refiners and special provisions for small refiners.
UNQUOTE
A very tough law but once implemented, the saving on public health is tremendous. It was estimated the saving on health related bill is US80 billion a year. This is not surprising since medical finding is pointing that air pollution is one of the main cause of lung cancer.
To make such a law is very drastic and it won't be surprised that the cost of Diesel in the US will be much higher and new engine have to be developed.
Most diesel imported into USA comes from Middle East or Russia. There are only three types of D2 available in the market Type 1 with sulphur content between 0.2 -0.5, Type 2 with sulphur content between 0.02 to 0.05 and Type 3 with sulphur content of Max 0.3. Type 1 and 2 is of Russian Origin while type 3 is PETRONAS.
The American is looking at a new type where the sulphur content must be within 0.0125% sulphur. This will be a super class, Super Low Sulphur Grade, while we Malaysian or PETRONAS have no plan to do that.
PETRONAS will stick to 0.3 Max and I am sure only the Government can make any drastic change to implement a new ruling. I doubt there will be any change even 10 years after june 2006.
According to the transport ministery we have not less then 450,000 commercial vehicles registered in Malaysia. All these vehicles are using Diesel as their fuel. All of them are using local diesel with 0.3 max sulphur. Each day these class of vehicle are spewing out tons of smog and soot plus many other toxic materials into the air we breath in.
So what can we do to reduce the air pollution what we breath in? My answer is Go NGV. This is also one of the recommended solution by the EPA.
No one will champion this cause but all of us can by going NGV.
High speed diesel (D2) is one of the most important fuel used in America and of course in all parts of the world. They are used everywhere especially by trucks, trains, buses, industries and many more. In USA heavy agriculture machineries depend on D2 to keep them going. When D2 are burned, the exhaust fumes will generate lots of pollutants that contaminate our environment. The more the sulphur content the more will there this dangerous sulphur dioxide in the air.
My objective to search for this articles is to confirm that by June 2006, all D2 imported into America must meet the latest low sulphur ratio requirements. Current D2 sulphur content is within 3000 to 500 parts per million.
What happened next is what I would like to share with you.
I quickly open my Google search engine and typed "diesel regulations". The result is outstanding. I choose item number three "US Department of state: New Diesel regulations will bring cleaner air".
What I see is what you should also see.
The Americans have passed a bill and approved by the President that by June 2006, a tough law is to be implemented to reduce emission level by 90%. Sulphur content will be slashed by 99%.
Quote:
In 2000, EPA ( US Environment Protection Agency), moved forward on schedule with its rule to make heavy duty trucks, buses and heavy machineries to run cleaner. These vehicles which will be ready with new model in year 2007, will cut harmful emission by 95%. Sulphur in Diesel fuel must be lowered to enable modern pollution control technology to be effective on these trucks and buses. The agency will required a 97% reduction in sulphur content of highway diesel fuel from it current level of 500 parts per million (ppt) to 15 ppt.
Once this action is implemented 2.6 million tons of smog causing nitrogen oxide emission will be reduce each year. Soot or particulate matter will be reduced by 110,000 tons a year. An estimated 8,300 premature deaths, 5,500 cases of chronic bronchitis and 17,600 cases of acute bronchitis in children will also be prevented annually. It is also estimated to help avoid more than 360,000 asthma attacks and 386,000 cases of respiratory symptoms in asthmatic children every year. In addition, 1.5 million lost work days, 7,100 hospital visits and 2,400 emergency room visits for asthma will be prevented.
Significant lead time is provided in the rule for the introduction of new cleaner fuel into the marketplace. Engine manufacturers will have flexibility to meet the new standards through a phase-in approach between 2007 and 2010. The fuel provision will go into effect in June 2006 and will be phased-in through 2009. The program also includes various flexible approaches, including additional time for some refiners and special provisions for small refiners.
UNQUOTE
A very tough law but once implemented, the saving on public health is tremendous. It was estimated the saving on health related bill is US80 billion a year. This is not surprising since medical finding is pointing that air pollution is one of the main cause of lung cancer.
To make such a law is very drastic and it won't be surprised that the cost of Diesel in the US will be much higher and new engine have to be developed.
Most diesel imported into USA comes from Middle East or Russia. There are only three types of D2 available in the market Type 1 with sulphur content between 0.2 -0.5, Type 2 with sulphur content between 0.02 to 0.05 and Type 3 with sulphur content of Max 0.3. Type 1 and 2 is of Russian Origin while type 3 is PETRONAS.
The American is looking at a new type where the sulphur content must be within 0.0125% sulphur. This will be a super class, Super Low Sulphur Grade, while we Malaysian or PETRONAS have no plan to do that.
PETRONAS will stick to 0.3 Max and I am sure only the Government can make any drastic change to implement a new ruling. I doubt there will be any change even 10 years after june 2006.
According to the transport ministery we have not less then 450,000 commercial vehicles registered in Malaysia. All these vehicles are using Diesel as their fuel. All of them are using local diesel with 0.3 max sulphur. Each day these class of vehicle are spewing out tons of smog and soot plus many other toxic materials into the air we breath in.
So what can we do to reduce the air pollution what we breath in? My answer is Go NGV. This is also one of the recommended solution by the EPA.
No one will champion this cause but all of us can by going NGV.
Wednesday, March 15, 2006
HOW TO BE NGV FRIENDLY GOVERMENT !!!
Malaysian, according to IANGV list, is currently in 20th position in the number of NGV vehicles on their street (Refer to http://www.iangv.org/default.php?PageID=130). We have a total of 14,900 as at May 2005 as compared to world record of 4,903,477 vehicles.
Number 1 is Argentina (1,459,236) and number 2 is Brazil (1,035,348). These two are the only Countries with one million NGV vehicles and above.
What do you think our Government (Malaysian) can do to hit 1,000,000 NGV vehicles on the street within 10 years?
These are some suggestions that I have assembled. If you have any to add please sent to me in the comment section. Your contribution shall be most appreciated.
1) Make NGV as a National Project.
The idea is to adopt NGV on NATIONAL basis. The Government, championed by the Prime Minister, lead the country to NGV usage on all types of vehicles that are manufactured, assembled OR imported. All Government operated vehicle shall be required to NGV conversion by let say year 2010. The Prime Minister shall himself use NGV fueled vehicle to all his functions.
All functions organized in Malaysia either national and world level shall use only NGV fueled cars . This will give a very strong commitment to all world class delegates that we are serious in and doing our part in keeping the world less polluted.
2) Set Up An NGV Department Under the Prime Minister Department .
This department will be make responsible in drawing up a MASTERPLAN on NGV implementation nationwide. A 20 years plan shall be drawn up to ensure that every one is given the chance to use NGV as an alternative FUEL. They shall make monthly reports to the Prime Minister and the public what is happening with NGV implementation in Malaysia.
3) The Government set short term and long terms Targets.
The only way to gauge the progress of implementing NGV class population is to set a proper targets. The most critical is HOW MANY CARS AND NGV STATIONS ARE WE GOING TO HAVE ON THE ROAD BY WHAT YEAR.
Malaysia should set that by year 2016 we shall have 1,000,000 NGV class cars on the street. Give our population 10 years to works towards the said target.
Beside the number of vehicles, how about NGV stations. We should provide let say 2,000 stations available by the same year, 2016. Our ratio is just 500 per station.
4) Get more vehicles to be converted to NGV.
There many ways to do this. The best that the government to do is to impose higher road tax on Petrol and Diesel operated vehicles and lesser for NGV. Let make it simple . Cut the road tax to half (currently 25%).
The next is to impose toxic gas tax. Any cars that are manufactured, assembled or imported into the country without NGV kit shall be subjected to a tax of 150%. For NGV class the tax shall be zero.
5) Easy Finance for Conversion to NGV class.
The Government will allocate a fund called "NGV EasyPay" to encourage every car owner to convert to NGV. The fund shall be deployed to all financial institution such as finance companies, co-opt, banks or any qualified firm to finance the conversion of any kind of cars to NGV class. Every car owner is entitled to convert and no exception. Once withdrawn they will be required to pay on a monthly installment of 150 Ringgit for say 24 months
Maybe car owners will be allowed to withdraw, one time, from their EPF saving to finance the conversion. In this way they can save much more by reducing their monthly Petrol bill. You see if the conversion exercise cost 3000 Ringgit, their saving is at least 180 per month. This is equivalent to 2,160 (180 X 12 months) Ringgit per year or a income opportunity of 72% a year. EPF will only pay the most 10% a year or 300 Ringgit.
6) Create NGV day in the Malaysian Calendar.
Every year NGV day shall be celebrated on a national scale. This will be the day where we make people realize how important they are to reduce the air pollution. Make them know on the country's targets and ask them to help to achieve the target. All newspaper will be required to print two pages dedicated to NGV day.
In every capital town, NGV exhibition will be held. There will be national singer driving NGV cars to the function. New invention and new model of vehicles manufactured locally or oversea shall be exhibited to the public.
Invite speaker to all the exhibition to give talks. Academician or professors or importers or those who uses NGV tell their stories on NGV.
7) Have more Private companies to be Involved in NGV.
Currently only one operator is involved in setting up of NGV stations. The government should have at least 4 more operators. They can either be the current Petrol Stations Operators or Newcomers who would like to participate in getting more stations install.
Provide lots of capital incentives’ to these player who will eventually install more stations with gas dispensers through out the country.
All new Petrol stations will be required to install at least one dispenser. This can be easily implemented by ensuring that any new PDA license approved shall be with a clause where an NGV Gas Dispenser is COMPULSORY.
8) Set a Target When the Petrol Subsidies will be totally lifted.
If the government wanted to be very serious to get as many people as possible to move toward NGV society, they should consider setting a target when and make the people realized that using NGV will help to reduce the Petrol Subsidies.
The government spend more then 15 billion Ringgit last year as Petrol subsidy. If we can lift half of this subsidy, yearly there is 7.5 billion that can be used for some other purposes.
Assume that by year 2016, their will be no more subsidies at the petrol stations. People are given 10 years to convert their cars to NGV. Every week there are advertisement and news on the date given. Let them move towards NGV.
If this is done in a professional manner every one will realize the potential in switching to NGV and there is no need for them to rush on day one.
9) Tax relieve to all businesses related to NGV.
If we look NGV at a national level, there a many spin-offs that we can think off. The NGV era will create many new jobs and opportunities to be grab my small business operator and big operators.
These are the kind of spin-off that are available:
a) Manufacture of cylinders.
b) Manufacture of conversion kits.
c) Assemble of system harness.
d) Installation of NGV kits on vehicles.
e) Manufacturing of dispensers.
f) Manufacturing of CNG pumps.
g) School, college and institutions on NGV training.
h) Sales of NGV class cars and vehicles.
i) Importation of NGV class cars and vehicles.
j) Selling of Gas.
k) Installation of stations
l) Construction of NGV stations.
m) Manage and direct sales of NGV gas.
n) Export of NGV class vehicles to countries that are implementing similar consept.
o) Creation of Experts in NGV to act as consultants.
p) Import of NGV parts and equipment.
q) Services of vehicles that are running on NGV.
r) Sales of special lubricants suitable for NGV vehicles.
All these business shall be given special incentives for any new business operators and special tax exemption be given.
10) Set Up an R&D on NGV.
One of the best things to get the project moving is to provide fund on NGV research and development. All technical schools, colleges and varsities shall be given these funds to conduct R&D on any NGV related project.
There are many areas that can help to reduce cost by using NGV. This include portable NGV cylinders, fill my car tank at home, NGV for fishing boats, NGV for Motorcycle, NGV for train, NGV for Proton and many more. We can design our own conversion kits for petrol and diesel engines.
Malaysia should lead in NGV among the Muslim countries. We can be NGV leader like what we are in the OIC. If we do them properly we can export our products to these countries.
We must realized that NGV is nothing compared to Rocket Science exploring the distant stars our other galaxies. This is flat simple and are important to every consumers who have a car at home.
Number 1 is Argentina (1,459,236) and number 2 is Brazil (1,035,348). These two are the only Countries with one million NGV vehicles and above.
What do you think our Government (Malaysian) can do to hit 1,000,000 NGV vehicles on the street within 10 years?
These are some suggestions that I have assembled. If you have any to add please sent to me in the comment section. Your contribution shall be most appreciated.
1) Make NGV as a National Project.
The idea is to adopt NGV on NATIONAL basis. The Government, championed by the Prime Minister, lead the country to NGV usage on all types of vehicles that are manufactured, assembled OR imported. All Government operated vehicle shall be required to NGV conversion by let say year 2010. The Prime Minister shall himself use NGV fueled vehicle to all his functions.
All functions organized in Malaysia either national and world level shall use only NGV fueled cars . This will give a very strong commitment to all world class delegates that we are serious in and doing our part in keeping the world less polluted.
2) Set Up An NGV Department Under the Prime Minister Department .
This department will be make responsible in drawing up a MASTERPLAN on NGV implementation nationwide. A 20 years plan shall be drawn up to ensure that every one is given the chance to use NGV as an alternative FUEL. They shall make monthly reports to the Prime Minister and the public what is happening with NGV implementation in Malaysia.
3) The Government set short term and long terms Targets.
The only way to gauge the progress of implementing NGV class population is to set a proper targets. The most critical is HOW MANY CARS AND NGV STATIONS ARE WE GOING TO HAVE ON THE ROAD BY WHAT YEAR.
Malaysia should set that by year 2016 we shall have 1,000,000 NGV class cars on the street. Give our population 10 years to works towards the said target.
Beside the number of vehicles, how about NGV stations. We should provide let say 2,000 stations available by the same year, 2016. Our ratio is just 500 per station.
4) Get more vehicles to be converted to NGV.
There many ways to do this. The best that the government to do is to impose higher road tax on Petrol and Diesel operated vehicles and lesser for NGV. Let make it simple . Cut the road tax to half (currently 25%).
The next is to impose toxic gas tax. Any cars that are manufactured, assembled or imported into the country without NGV kit shall be subjected to a tax of 150%. For NGV class the tax shall be zero.
5) Easy Finance for Conversion to NGV class.
The Government will allocate a fund called "NGV EasyPay" to encourage every car owner to convert to NGV. The fund shall be deployed to all financial institution such as finance companies, co-opt, banks or any qualified firm to finance the conversion of any kind of cars to NGV class. Every car owner is entitled to convert and no exception. Once withdrawn they will be required to pay on a monthly installment of 150 Ringgit for say 24 months
Maybe car owners will be allowed to withdraw, one time, from their EPF saving to finance the conversion. In this way they can save much more by reducing their monthly Petrol bill. You see if the conversion exercise cost 3000 Ringgit, their saving is at least 180 per month. This is equivalent to 2,160 (180 X 12 months) Ringgit per year or a income opportunity of 72% a year. EPF will only pay the most 10% a year or 300 Ringgit.
6) Create NGV day in the Malaysian Calendar.
Every year NGV day shall be celebrated on a national scale. This will be the day where we make people realize how important they are to reduce the air pollution. Make them know on the country's targets and ask them to help to achieve the target. All newspaper will be required to print two pages dedicated to NGV day.
In every capital town, NGV exhibition will be held. There will be national singer driving NGV cars to the function. New invention and new model of vehicles manufactured locally or oversea shall be exhibited to the public.
Invite speaker to all the exhibition to give talks. Academician or professors or importers or those who uses NGV tell their stories on NGV.
7) Have more Private companies to be Involved in NGV.
Currently only one operator is involved in setting up of NGV stations. The government should have at least 4 more operators. They can either be the current Petrol Stations Operators or Newcomers who would like to participate in getting more stations install.
Provide lots of capital incentives’ to these player who will eventually install more stations with gas dispensers through out the country.
All new Petrol stations will be required to install at least one dispenser. This can be easily implemented by ensuring that any new PDA license approved shall be with a clause where an NGV Gas Dispenser is COMPULSORY.
8) Set a Target When the Petrol Subsidies will be totally lifted.
If the government wanted to be very serious to get as many people as possible to move toward NGV society, they should consider setting a target when and make the people realized that using NGV will help to reduce the Petrol Subsidies.
The government spend more then 15 billion Ringgit last year as Petrol subsidy. If we can lift half of this subsidy, yearly there is 7.5 billion that can be used for some other purposes.
Assume that by year 2016, their will be no more subsidies at the petrol stations. People are given 10 years to convert their cars to NGV. Every week there are advertisement and news on the date given. Let them move towards NGV.
If this is done in a professional manner every one will realize the potential in switching to NGV and there is no need for them to rush on day one.
9) Tax relieve to all businesses related to NGV.
If we look NGV at a national level, there a many spin-offs that we can think off. The NGV era will create many new jobs and opportunities to be grab my small business operator and big operators.
These are the kind of spin-off that are available:
a) Manufacture of cylinders.
b) Manufacture of conversion kits.
c) Assemble of system harness.
d) Installation of NGV kits on vehicles.
e) Manufacturing of dispensers.
f) Manufacturing of CNG pumps.
g) School, college and institutions on NGV training.
h) Sales of NGV class cars and vehicles.
i) Importation of NGV class cars and vehicles.
j) Selling of Gas.
k) Installation of stations
l) Construction of NGV stations.
m) Manage and direct sales of NGV gas.
n) Export of NGV class vehicles to countries that are implementing similar consept.
o) Creation of Experts in NGV to act as consultants.
p) Import of NGV parts and equipment.
q) Services of vehicles that are running on NGV.
r) Sales of special lubricants suitable for NGV vehicles.
All these business shall be given special incentives for any new business operators and special tax exemption be given.
10) Set Up an R&D on NGV.
One of the best things to get the project moving is to provide fund on NGV research and development. All technical schools, colleges and varsities shall be given these funds to conduct R&D on any NGV related project.
There are many areas that can help to reduce cost by using NGV. This include portable NGV cylinders, fill my car tank at home, NGV for fishing boats, NGV for Motorcycle, NGV for train, NGV for Proton and many more. We can design our own conversion kits for petrol and diesel engines.
Malaysia should lead in NGV among the Muslim countries. We can be NGV leader like what we are in the OIC. If we do them properly we can export our products to these countries.
We must realized that NGV is nothing compared to Rocket Science exploring the distant stars our other galaxies. This is flat simple and are important to every consumers who have a car at home.
Friday, March 10, 2006
DEVELOPMENT OF NATURAL GAS IN PENINSULAR MALAYSIA !
Natural Gas is a naturally formed gas consist of mainly methane and some other type of gases. It is relatively the cleanest when burned i.e it does not produce any toxic residues or other polluting gases when burned.
It is the ideal fuel to replace both diesel and petrol. It can be used for industries, power plants, transportation sectors and any kind of power requirement that uses diesel or petrol.
Malaysia have a huge deposit of this wonderful fuel. They are mainly hidden in reservoirs located deep below our sea bed in the south china sea. There are at least 183 proven natural gas reservoirs and 22 have been developed. Since there are still exploration works being carried out, there will automatically more new reservoirs be added as our asset. We can safely assume that every two months one new exploration well will be drilled and each exploration well will have a VERY HIGH possibility of hitting gas (60-70%).
Again we have many oil reservoirs in Malaysia. There are at least 140 provent reserves. Out of the 140 we are producing 55 of them.
Do you know what happened when we produce a barrel of oil deep from a reservoir of 3000 to 7000 feet? Remember at this depth the oil is under high compression and high temperature. Once produced the oil will travelled from these reservoirs upward to the surface for collection. When these oil reached surface temperature and pressure they will normally try to stabilise to suit the environment that they are in. To stabilised they releases lots of gas which we called associated gas. Each barrel will now become less then 60% of the oil beneath the sea bed.
These associated gas were initially burned away on our platforms and it will be like a huge torch in the south china sea. During early days the Vietnamese uses these torch as their guidance to enter Malaysian waters. After many long years of debating and confrontation, the gases were collected from various platforms and piped to the Kertih, cleaned and used as fuel. That was how the gas era started in Peninsular Malaysia. The plan was to use these associated gas as the main feedstock to various Independent Power Plants and once their volume decreases (due to decrease in oil production) non associated gas fields will be developed to top up and stabilise daily output.
These gases after being cleaned and dried are pump into the transpipeline. The transpipeline consist of 36 inch pipelines that were laid from Kertih to Segamat and from Segamat they brached out to Pasir Gudang to the South and up to Perlis at the Northen tip of Peninsular Malaysia. Now we have more the 980 Kilometers of pipeline full of clean fuel.
Initially the cleaned gas was designed to be for big users like the IPPs and Pewaja Steel. There are at least 7 IPPs using the gas right now. All the IPPs draw the gas at a very cheap rate and sold the power generated to Tenaga Nasional Berhad (TNB).
Pewaja Steel used to be a heavy user of the clean gas to convert scrap irons and iron ores to steel billets. In view of so many designed problems they have scaled down their operations and now no longer a major gas user.
One entity that is making lots of money from the gas pipeline is Gas Malaysia Sdn Bhd. Last year their profit jumps to more then 800 million Ringgit. This gas retriculation makes money buy buying gas from Petronas Gas and piped them to various industries located along the transpipeline. They have more then 36 towns that they tapped the main pipeline and distribute to the industrial areas in Peninsular Malaysia.
They have done a marvellous job to convert many medium industries to use Gas and therfore clean our admosphere. The only short coming is that they do it mainly for profit but not for the sake of the Public. If they have the intention of public they should have started NGV stations and encourage people to convert their vehicle to NGV class.
It is sad that they make so much money every year but have little commitment to use the Gas as alternative fuel for Vehicles.
These gases can be used as NGV too. Yes they are more or less the same in composition and produce the same amount of energy when burned.
It is the ideal fuel to replace both diesel and petrol. It can be used for industries, power plants, transportation sectors and any kind of power requirement that uses diesel or petrol.
Malaysia have a huge deposit of this wonderful fuel. They are mainly hidden in reservoirs located deep below our sea bed in the south china sea. There are at least 183 proven natural gas reservoirs and 22 have been developed. Since there are still exploration works being carried out, there will automatically more new reservoirs be added as our asset. We can safely assume that every two months one new exploration well will be drilled and each exploration well will have a VERY HIGH possibility of hitting gas (60-70%).
Again we have many oil reservoirs in Malaysia. There are at least 140 provent reserves. Out of the 140 we are producing 55 of them.
Do you know what happened when we produce a barrel of oil deep from a reservoir of 3000 to 7000 feet? Remember at this depth the oil is under high compression and high temperature. Once produced the oil will travelled from these reservoirs upward to the surface for collection. When these oil reached surface temperature and pressure they will normally try to stabilise to suit the environment that they are in. To stabilised they releases lots of gas which we called associated gas. Each barrel will now become less then 60% of the oil beneath the sea bed.
These associated gas were initially burned away on our platforms and it will be like a huge torch in the south china sea. During early days the Vietnamese uses these torch as their guidance to enter Malaysian waters. After many long years of debating and confrontation, the gases were collected from various platforms and piped to the Kertih, cleaned and used as fuel. That was how the gas era started in Peninsular Malaysia. The plan was to use these associated gas as the main feedstock to various Independent Power Plants and once their volume decreases (due to decrease in oil production) non associated gas fields will be developed to top up and stabilise daily output.
These gases after being cleaned and dried are pump into the transpipeline. The transpipeline consist of 36 inch pipelines that were laid from Kertih to Segamat and from Segamat they brached out to Pasir Gudang to the South and up to Perlis at the Northen tip of Peninsular Malaysia. Now we have more the 980 Kilometers of pipeline full of clean fuel.
Initially the cleaned gas was designed to be for big users like the IPPs and Pewaja Steel. There are at least 7 IPPs using the gas right now. All the IPPs draw the gas at a very cheap rate and sold the power generated to Tenaga Nasional Berhad (TNB).
Pewaja Steel used to be a heavy user of the clean gas to convert scrap irons and iron ores to steel billets. In view of so many designed problems they have scaled down their operations and now no longer a major gas user.
One entity that is making lots of money from the gas pipeline is Gas Malaysia Sdn Bhd. Last year their profit jumps to more then 800 million Ringgit. This gas retriculation makes money buy buying gas from Petronas Gas and piped them to various industries located along the transpipeline. They have more then 36 towns that they tapped the main pipeline and distribute to the industrial areas in Peninsular Malaysia.
They have done a marvellous job to convert many medium industries to use Gas and therfore clean our admosphere. The only short coming is that they do it mainly for profit but not for the sake of the Public. If they have the intention of public they should have started NGV stations and encourage people to convert their vehicle to NGV class.
It is sad that they make so much money every year but have little commitment to use the Gas as alternative fuel for Vehicles.
These gases can be used as NGV too. Yes they are more or less the same in composition and produce the same amount of energy when burned.
GOVERMENT SHOULD ENCOURAGE MORE PRIVATE SECTORS TO BE INVOLVED IN NGV !!!
How many cars are there on the Malaysian roads? I am not very sure but I read somewhere that we have 7.5 million cars and more are being registered every day.
How many cars are using NGV? The answer we have is 13,600 (recorded by Domestic Trade) up to year 2005. Maybe JPJ (Road Transport Department) can tell us the exact numbers recorded in their database. This is due to the fact if once convert to NGVclass they will automatically enjoy road tax reduction of 25%. Well that again will depend on wether JPJ database is well runned, connected to a central database and can actually give the latest cummulative figure.
How many petrol stations are there in Malaysia, to serve the estimated 7.5 million cars? Only our Domestic Trade Department can give the exact figure. They are responsible in issueing Operating Lisences for every station. Assuming that one station can handle 2,000 cars a day then we should have about 3,750 stations. There are at least 7 operators which include Petronas, Shell, Esso, Mobil, Caltex, Boestead and Projet.
How many NGV stations do we have in operation? The answer is 1 plus 36. One is fully NGV (at KLCC) while the rest are with one small island among the Petrol and Diesel Dispensers. We term them as PARASITIC. Every morning we see long que of NGV taxis queing up to wait for their turn. We understand that Petronas NGV planned to built one more dedicated NGV station in Shah Alam. It will take more then 12 months for the station to be up and running.
How many NGV operators are there operating in Malaysia? Only one. Yes Miserable one i.e Petronas NGV Sdn Bhd. There were news that a new Company, Malaysian NGV Sdn Bhd, is coming up with their chain of 100 NGV intergrated stations but God knows when they will be operating?
Why the rest of the Petrol Station Operators do not want to take part in NGV distribution? The answer could be that the cost to built a station is to heavy and not financially viable. Maybe there is not enought gas in the pipeline? Or maybe there is not enought vehicles with NGV kits operating on the street? Maybe the Goverment is not giving enought incentives to go for GAS? Or maybe they are not bothered to do their part in cleaning of the admosphere?
They are making enought profits yearly from current Petrol and Diesel sales. Why should they spend million to have gas dispensers in their stations?
Maybe Petronas is not very keen to provide the gas to these Operators! Somewhere in the newspaper recently reported that more then 80% of the gas produced and pump into the transpipeline are taken up by the IPPs (IndustrialPower Plants). Due to overusage Petronas have to buy some from Thailand.
How many NGV station do we have after 12 years of NGV being introduced in Malaysia? One plus 36. One dedicated stations (at KLCC) and 36 Parasitic station (only at Petronas stations). Recently during our PM budget speach in the Parliment he managed to commit 37 more. So we will have a total of 74 so call parasitic stations in Malaysia soon. Horrraaayyyy !!!
What suprise us is our neighbour Thailand. They started to use NGV much later then us. Petronas used to be their SIFU (teacher). And yet they have a massive plan to install 600 new NGV stations. We can see that they are fully commited and they realised the potential in NGV. Yes Thailand beat us flat in this arena.
In one of Bangkok Newspaper, Daimler plan to set up a plant in Thailand to built NGV class Mercede Cars. Details at:
http://www.greencarcongress.com/2005/mercedes_expansion.html
http://www.geocities.com/excaliburcng/ngvforum.html
Their reason being Thai Goverment is fully commited to Natural Gas/NGV usage. PTT of Thailand (Same like Petronas in Malaysia) plan to install 160 NGV stations by year end and 740 stations by 2010.
So where are we (Malaysian)? During the occassion their PM was given the latest NGV E200NGT. They wanted him to be their embessador to promote NGV. He will be the first Prime Minister who will use NGV class vehicle. What a brilliant idea?
I think our Prime Minister, Dato Abdulah Badawi, should also be driving NGV class vehicle?? Or perhaps all Malaysian Members of Parliment be made compulsory to use NGV class vehicles and allow them to appreciate NGV. All the Yang Berhormat (YB) will then have this eperience the joy of queing up together with the Taxi Drivers and NGV users for their NGV top up. After 2-3 hours of queing up they can take up the matter in the Parliment. Soon we can hear the Parliment announcement that we will beat Thailand and have 1000 stations planned for 2020.
Not long ago, a Deputy Minister of Transport announced that the Goverment is looking into getting the rest of the Petrol Stations Operators to provide NGV, at least an island. Until today nothing happenned. He should have kept his mouth shut. It must be amberrasing when not a single Petroleum Company herd his call. Mama Mia !!!
Why can't the Goverment impose conditions that every station must provide at least one island for NGV dispenser? If this is implemented within 12 -24 months we have 3,750 parasitic NGV stations instantly. Every year when these companies or operators renew their PDA lisences, just put a condition that they will be required to provide the facility? If they refuse to comply then ask them to do some other business. We (Goverment) mean business. In this way we are assured of implementing what is good for the Public.
At the same time provide incentives to make them comply to the conditions by removing any taxes imposed on NGV related equipments for them to expand their stations.
The cost to expand the station to provide NGV is tax FREE.
The Goverment might provide special fund for the expansion at no interest.
How about setting up a Body within Domestic trade to give special attention on NGV implementation in Malaysia.
The goverment should increase the number of NGV class vehicles on the street. Every vehicle locally assembled or imported must be fitted with NGV kits. If they are not impose a kind of tax call Toxicgas Tax, to make sure they are environmently gentle and with NGV kits. In Mynmar, for example, all cars imported are imposed with a penalty of RM 200,000 quivalent for any type of vehicle imported without NGV kits. Secondhand cars imported into the country have to be first fitted with NGV.
They can do it, why can't Malaysia do the same? They might be a bit backward but in environment they are a class above us. What a shame? That spirit of Malaysia Boleh seem to be just the last echo once Mahathir say goodbye !
We still have the time. The only thing is to ammend the policies and come out with new strategies to suit current Oil Price Scenerios.
Just imagine 12 months from now the oil price touches US100 per barrel. What drastic changes the Goverment will undertake? Why don't you make a quick GUESS???
Their best and the easiest way out is to increase the price of petrol and diesel again. What are we, the car owners, can do? Nothing more then keeping quite and swallow their bitter pill. We need to push the Goverment to do more to us. Give us the alternative. Let us have NGV to fuel our vehicles. Yes we want more stations with NGV, we want our car to be converted to use NGV at an effortable cost.
We have three big plants located in Bintulu, Sarawak producing LNG with total capacity of 23 million tons a year. We are exporting 21.2 million MTons. Why can't the excess capacity of 1.8 million Tons be used as feedstock to NGV stations in Malaysia? We can firstly distribute the excess LNG to Sarawakian, since this is the cheapeast option and any excess should be shipped to Sabah and Peninsular Malaysia.
Well I am not a politician and I regret for not being one. . . . . . . . . . . . . .
How many cars are using NGV? The answer we have is 13,600 (recorded by Domestic Trade) up to year 2005. Maybe JPJ (Road Transport Department) can tell us the exact numbers recorded in their database. This is due to the fact if once convert to NGVclass they will automatically enjoy road tax reduction of 25%. Well that again will depend on wether JPJ database is well runned, connected to a central database and can actually give the latest cummulative figure.
How many petrol stations are there in Malaysia, to serve the estimated 7.5 million cars? Only our Domestic Trade Department can give the exact figure. They are responsible in issueing Operating Lisences for every station. Assuming that one station can handle 2,000 cars a day then we should have about 3,750 stations. There are at least 7 operators which include Petronas, Shell, Esso, Mobil, Caltex, Boestead and Projet.
How many NGV stations do we have in operation? The answer is 1 plus 36. One is fully NGV (at KLCC) while the rest are with one small island among the Petrol and Diesel Dispensers. We term them as PARASITIC. Every morning we see long que of NGV taxis queing up to wait for their turn. We understand that Petronas NGV planned to built one more dedicated NGV station in Shah Alam. It will take more then 12 months for the station to be up and running.
How many NGV operators are there operating in Malaysia? Only one. Yes Miserable one i.e Petronas NGV Sdn Bhd. There were news that a new Company, Malaysian NGV Sdn Bhd, is coming up with their chain of 100 NGV intergrated stations but God knows when they will be operating?
Why the rest of the Petrol Station Operators do not want to take part in NGV distribution? The answer could be that the cost to built a station is to heavy and not financially viable. Maybe there is not enought gas in the pipeline? Or maybe there is not enought vehicles with NGV kits operating on the street? Maybe the Goverment is not giving enought incentives to go for GAS? Or maybe they are not bothered to do their part in cleaning of the admosphere?
They are making enought profits yearly from current Petrol and Diesel sales. Why should they spend million to have gas dispensers in their stations?
Maybe Petronas is not very keen to provide the gas to these Operators! Somewhere in the newspaper recently reported that more then 80% of the gas produced and pump into the transpipeline are taken up by the IPPs (IndustrialPower Plants). Due to overusage Petronas have to buy some from Thailand.
How many NGV station do we have after 12 years of NGV being introduced in Malaysia? One plus 36. One dedicated stations (at KLCC) and 36 Parasitic station (only at Petronas stations). Recently during our PM budget speach in the Parliment he managed to commit 37 more. So we will have a total of 74 so call parasitic stations in Malaysia soon. Horrraaayyyy !!!
What suprise us is our neighbour Thailand. They started to use NGV much later then us. Petronas used to be their SIFU (teacher). And yet they have a massive plan to install 600 new NGV stations. We can see that they are fully commited and they realised the potential in NGV. Yes Thailand beat us flat in this arena.
In one of Bangkok Newspaper, Daimler plan to set up a plant in Thailand to built NGV class Mercede Cars. Details at:
http://www.greencarcongress.com/2005/mercedes_expansion.html
http://www.geocities.com/excaliburcng/ngvforum.html
Their reason being Thai Goverment is fully commited to Natural Gas/NGV usage. PTT of Thailand (Same like Petronas in Malaysia) plan to install 160 NGV stations by year end and 740 stations by 2010.
So where are we (Malaysian)? During the occassion their PM was given the latest NGV E200NGT. They wanted him to be their embessador to promote NGV. He will be the first Prime Minister who will use NGV class vehicle. What a brilliant idea?
I think our Prime Minister, Dato Abdulah Badawi, should also be driving NGV class vehicle?? Or perhaps all Malaysian Members of Parliment be made compulsory to use NGV class vehicles and allow them to appreciate NGV. All the Yang Berhormat (YB) will then have this eperience the joy of queing up together with the Taxi Drivers and NGV users for their NGV top up. After 2-3 hours of queing up they can take up the matter in the Parliment. Soon we can hear the Parliment announcement that we will beat Thailand and have 1000 stations planned for 2020.
Not long ago, a Deputy Minister of Transport announced that the Goverment is looking into getting the rest of the Petrol Stations Operators to provide NGV, at least an island. Until today nothing happenned. He should have kept his mouth shut. It must be amberrasing when not a single Petroleum Company herd his call. Mama Mia !!!
Why can't the Goverment impose conditions that every station must provide at least one island for NGV dispenser? If this is implemented within 12 -24 months we have 3,750 parasitic NGV stations instantly. Every year when these companies or operators renew their PDA lisences, just put a condition that they will be required to provide the facility? If they refuse to comply then ask them to do some other business. We (Goverment) mean business. In this way we are assured of implementing what is good for the Public.
At the same time provide incentives to make them comply to the conditions by removing any taxes imposed on NGV related equipments for them to expand their stations.
The cost to expand the station to provide NGV is tax FREE.
The Goverment might provide special fund for the expansion at no interest.
How about setting up a Body within Domestic trade to give special attention on NGV implementation in Malaysia.
The goverment should increase the number of NGV class vehicles on the street. Every vehicle locally assembled or imported must be fitted with NGV kits. If they are not impose a kind of tax call Toxicgas Tax, to make sure they are environmently gentle and with NGV kits. In Mynmar, for example, all cars imported are imposed with a penalty of RM 200,000 quivalent for any type of vehicle imported without NGV kits. Secondhand cars imported into the country have to be first fitted with NGV.
They can do it, why can't Malaysia do the same? They might be a bit backward but in environment they are a class above us. What a shame? That spirit of Malaysia Boleh seem to be just the last echo once Mahathir say goodbye !
We still have the time. The only thing is to ammend the policies and come out with new strategies to suit current Oil Price Scenerios.
Just imagine 12 months from now the oil price touches US100 per barrel. What drastic changes the Goverment will undertake? Why don't you make a quick GUESS???
Their best and the easiest way out is to increase the price of petrol and diesel again. What are we, the car owners, can do? Nothing more then keeping quite and swallow their bitter pill. We need to push the Goverment to do more to us. Give us the alternative. Let us have NGV to fuel our vehicles. Yes we want more stations with NGV, we want our car to be converted to use NGV at an effortable cost.
We have three big plants located in Bintulu, Sarawak producing LNG with total capacity of 23 million tons a year. We are exporting 21.2 million MTons. Why can't the excess capacity of 1.8 million Tons be used as feedstock to NGV stations in Malaysia? We can firstly distribute the excess LNG to Sarawakian, since this is the cheapeast option and any excess should be shipped to Sabah and Peninsular Malaysia.
Well I am not a politician and I regret for not being one. . . . . . . . . . . . . .
Tuesday, March 07, 2006
ALTERNATIVE FUEL FOR ALL MALAYSIAN: NGV WHAT ELSE !!!
NGV is a short word for Natural Gas For Vehicles. The gas consist mainly Methane, Ethane and Propane. They are found nearly everywhere such as at any Garbage Dump area, Forest or even in your House waste bin.
In Malaysia we are blessed with Natural Gas and Oil. We have lots of them stored offshore deep in the Malay Basin both in East and Peninsular Malaysia. Most of these oil and gas reservoirs are located around 3,000 to 10,000 feet deep in our sea bed.
The first oil was discovered in year 1909 on land in Miri, Sarawak. A Dutch company which now call Shell was the explorer. The fields were all exploited to the maximum and forced to shut down. When no more oil were in production they look at the sea. After exhausting every avenue to find oil on land they started to explore off the coast. Their exploration now proved that there are lots of oil and gas out there in the sea.
Beside Shell we have more then 9 other explorers sign contracts with Petronas to look for Oil and Gas. They are ExxonMobil, Talisman, Murphy Oil, Amarada, Nippon Oil, Carigali plus a few new comers. The outcome is astonishing. We are able to announce one finding nearly every two to three months. As far as I know, from a reliable source, every well that are drilled by these exploration companies will have more then 80% chances to hit GAS.
Right now Malaysia have more then 323 oil and gas fields, mainly offshore. Some are producing and some are yet to be developed. Out the 323 fields only 75 fields are being developed. The number of gas fields proven is 183 and only 22 being developed. Which means we have another 161 virgin gas fields waiting to be developed. Can U immagine if all these 161 gas fields are put onstream?
Compare to Oil (5 .3 billion barrels) our gas proven reserve is 85.2 Trillion Cubic Feet. We (Malaysia) is the 12 largest gas reserves in the world. Most of our gas are being transformed into LNG (Liquid Natural Gas) and sold to various Foreign Countries. If they can use our resources why cann't we?
What we are trying to say is that Malaysia is blessed with a very huge amount of natural gas and we have enought gas to be used as Alternative Fuel for years to come. At the moment the produced 22 producing gas fields will last for 33 years but remember we have another 161 fields untouched. Someone from Petronas confirmed that if properly managed the gas we have will last nothing less then 150 years.
Our main question is: How come the Malaysian Goverment is not doing enought to promote the use of NGV as the best alternative fuel as compaired to Petrol and Diesel?
Recently we have a shocking price increase of 30 RM sen liter or about US$100 per Metric Ton. Cost of diesel today is US 430 per MTon CIF Port Klang. So the goverment have increased about 25%.
Every Malaysian is affected and God knows what is going to happen with the cost of food, transport, travelling and etc. No matter what and how the Goverment promised to control the cost of goods, it will be spiralling upward and never downward. The only thing is how fast the momentum of the sprillaring effect.
What I think the goverment should do is to look seriously into NGV.
We can use IRAN as a very good example. This was what were were verbally informed by an Iranian who visited Malaysia recently.
Iran have more or less the same scenario like Malaysia. They have about the same number of vehicles on the road, abundence oil and gas and yearly spending billion on Petroleum subsidies.
They are not that advance like Malaysia but they use logic. The subsidies are not doing any good to their goverment and every citizen. They are loosing lots of money in Petroleum subsidies and the natural gas are not being tapped efficiently.
Three years ago, the goverment get tought and decided to promote NGV as the ultimate Alternative Fuel. WHY? They are abundant, cheap and clean to use. The Goverment decided that within 8 years they want to stop subsidising their Pertroleum products and everybody have no choice but to convert to NGV. They issued a their plans and inform the public that there will be no more subsidies after 8 years. What the Iranian Goverment were doing is right. They gave their public enought time and a dateline and after that no more subsidies.
While doing that the Goverment came out with a very vigorous implement programmes that encourange people to convert to NGV plus any venture on NGV related business are provided with various tax holidays and incentives. All vehicles that are locally assembled or imported are required to be fitted with NGV converter kit. More stations are now mushrooming throughout the Country and more then 1000 vehicles are being converted daily. All gas fields are being look into as the biggest asset to the Goverment.
There have been many joint ventures on NGV related business were established in the manufacturing sectors. All NGV related goods are free tax and those who use NGV are given free road tax for one year and subsequent will be half.
Five years from now the Iranian goverment will no longer subsidies the Petroleum products but they give enought time and incentives to business to propel the use of NGV.
Why can we, do the same? Why can we learned from Iran? Why cann't we sent some of our high ranking Goverment officers to investigate how they implement and modify to suit our environment.
We cannot just increase the oil price as a when we like without giving the consumers an alternative. Put some carrot and move them to use NGV.
Petronas NGV have installed about 37 stations with NGV dispensers. They promised to doubled the number of stations after the Prime Minister insist that in his 2005 budget speech. If not only 10 or less was projected. The 37 so call NGV stationed are actually one island with the most two dispensers. After more then 12 years of going NGV the number of Malaysian cars converted to NGV class is only 13,600 vehicles out of 7,500,000 vehicles. Do U think there is something wrong some where?
The best solution for now is to allow additional Companies to participate in this line. We have at least two more slots for new players to help in promoting the use of NGV for Malaysian. Petronas and our Goverment should play a major role in this. Put together a Master plans where by year 2020 we will have a total of 1,500,000 vehicles will be on NGV and a total of 1000 NGV stations shall be established. With this in mind get the other two players to make it come true.
In Malaysia we are blessed with Natural Gas and Oil. We have lots of them stored offshore deep in the Malay Basin both in East and Peninsular Malaysia. Most of these oil and gas reservoirs are located around 3,000 to 10,000 feet deep in our sea bed.
The first oil was discovered in year 1909 on land in Miri, Sarawak. A Dutch company which now call Shell was the explorer. The fields were all exploited to the maximum and forced to shut down. When no more oil were in production they look at the sea. After exhausting every avenue to find oil on land they started to explore off the coast. Their exploration now proved that there are lots of oil and gas out there in the sea.
Beside Shell we have more then 9 other explorers sign contracts with Petronas to look for Oil and Gas. They are ExxonMobil, Talisman, Murphy Oil, Amarada, Nippon Oil, Carigali plus a few new comers. The outcome is astonishing. We are able to announce one finding nearly every two to three months. As far as I know, from a reliable source, every well that are drilled by these exploration companies will have more then 80% chances to hit GAS.
Right now Malaysia have more then 323 oil and gas fields, mainly offshore. Some are producing and some are yet to be developed. Out the 323 fields only 75 fields are being developed. The number of gas fields proven is 183 and only 22 being developed. Which means we have another 161 virgin gas fields waiting to be developed. Can U immagine if all these 161 gas fields are put onstream?
Compare to Oil (5 .3 billion barrels) our gas proven reserve is 85.2 Trillion Cubic Feet. We (Malaysia) is the 12 largest gas reserves in the world. Most of our gas are being transformed into LNG (Liquid Natural Gas) and sold to various Foreign Countries. If they can use our resources why cann't we?
What we are trying to say is that Malaysia is blessed with a very huge amount of natural gas and we have enought gas to be used as Alternative Fuel for years to come. At the moment the produced 22 producing gas fields will last for 33 years but remember we have another 161 fields untouched. Someone from Petronas confirmed that if properly managed the gas we have will last nothing less then 150 years.
Our main question is: How come the Malaysian Goverment is not doing enought to promote the use of NGV as the best alternative fuel as compaired to Petrol and Diesel?
Recently we have a shocking price increase of 30 RM sen liter or about US$100 per Metric Ton. Cost of diesel today is US 430 per MTon CIF Port Klang. So the goverment have increased about 25%.
Every Malaysian is affected and God knows what is going to happen with the cost of food, transport, travelling and etc. No matter what and how the Goverment promised to control the cost of goods, it will be spiralling upward and never downward. The only thing is how fast the momentum of the sprillaring effect.
What I think the goverment should do is to look seriously into NGV.
We can use IRAN as a very good example. This was what were were verbally informed by an Iranian who visited Malaysia recently.
Iran have more or less the same scenario like Malaysia. They have about the same number of vehicles on the road, abundence oil and gas and yearly spending billion on Petroleum subsidies.
They are not that advance like Malaysia but they use logic. The subsidies are not doing any good to their goverment and every citizen. They are loosing lots of money in Petroleum subsidies and the natural gas are not being tapped efficiently.
Three years ago, the goverment get tought and decided to promote NGV as the ultimate Alternative Fuel. WHY? They are abundant, cheap and clean to use. The Goverment decided that within 8 years they want to stop subsidising their Pertroleum products and everybody have no choice but to convert to NGV. They issued a their plans and inform the public that there will be no more subsidies after 8 years. What the Iranian Goverment were doing is right. They gave their public enought time and a dateline and after that no more subsidies.
While doing that the Goverment came out with a very vigorous implement programmes that encourange people to convert to NGV plus any venture on NGV related business are provided with various tax holidays and incentives. All vehicles that are locally assembled or imported are required to be fitted with NGV converter kit. More stations are now mushrooming throughout the Country and more then 1000 vehicles are being converted daily. All gas fields are being look into as the biggest asset to the Goverment.
There have been many joint ventures on NGV related business were established in the manufacturing sectors. All NGV related goods are free tax and those who use NGV are given free road tax for one year and subsequent will be half.
Five years from now the Iranian goverment will no longer subsidies the Petroleum products but they give enought time and incentives to business to propel the use of NGV.
Why can we, do the same? Why can we learned from Iran? Why cann't we sent some of our high ranking Goverment officers to investigate how they implement and modify to suit our environment.
We cannot just increase the oil price as a when we like without giving the consumers an alternative. Put some carrot and move them to use NGV.
Petronas NGV have installed about 37 stations with NGV dispensers. They promised to doubled the number of stations after the Prime Minister insist that in his 2005 budget speech. If not only 10 or less was projected. The 37 so call NGV stationed are actually one island with the most two dispensers. After more then 12 years of going NGV the number of Malaysian cars converted to NGV class is only 13,600 vehicles out of 7,500,000 vehicles. Do U think there is something wrong some where?
The best solution for now is to allow additional Companies to participate in this line. We have at least two more slots for new players to help in promoting the use of NGV for Malaysian. Petronas and our Goverment should play a major role in this. Put together a Master plans where by year 2020 we will have a total of 1,500,000 vehicles will be on NGV and a total of 1000 NGV stations shall be established. With this in mind get the other two players to make it come true.
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