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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4 comments:
I would appreciate any comment from U. If my articles are not true please advise me. I will adjust accordingly. If it hurts U I am sorry but do tell me. My intension is to express my findings about NGV that I am very facinated with.
Hi...I would like to know whether NGV is the way to go or any other alternative and advanced fuels will be the better choice?
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