LNG is the Future Fuel for Heavy Commercial Vehicles, Says IOC Director Sujoy Choudhary

Sujoy Choudhary, Director of Planning & Development at Indian Oil Corp., believes LNG is a profitable alternative fuel for heavy commercial vehicles. It offers a cleaner and potentially more cost-effective option compared to diesel. Both the commercial vehicle sector and the government are exploring this fuel as a viable alternative for long-haul trucks and buses. The exploration is driven by its environmental and economic advantages. Notably, China has already seen success with LNG-powered commercial vehicles.

India's truck market is poised for significant growth, expected to reach a staggering 17 million units by 2050, compared to 4 million in 2022. Liquefied Natural Gas is well-positioned to play a key role in this expanding market, offering a cleaner and potentially more economical solution. Several automakers, including Ashok Leyland, Tata Motors, and Blue Energy, have already launched LNG trucks in India. However, the infrastructure for its refueling is still limited, with only around 10 LNG stations currently available.

IOC Director Sujoy Choudhary Highlights LNG's Promising Future for Heavy Vehicles

Sujoy Choudhary, while speaking at the Indian Commercial Vehicle Conclave 2024, says, “The major area where we are seeing significant traction is LNG. This is a sunrise area that we are seeing. LNG by road is a journey that is definitely going to be there. In the heavy vehicle segment, LNG appears as the brightest spot.”

He also added, “Already 50 LNG stations are being planned across the golden quadrilateral, of which Indian Oil is setting up 16. We have already commissioned our first station and another 5-6 stations are in the last stages of completion.”

In the end, he highlighted,“We have seen that if the vehicle runs for 8,000 km a month or 1 lakh km a year, you get the payback by two years.”

Government Support for LNG

The Indian government is actively promoting LNG use through various incentives. Niti Aayog, a government think tank, has proposed fiscal and non-fiscal benefits like tax breaks and priority lanes for LNG trucks. Additionally, the government recently inaugurated India's first small-scale LNG (SSLNG) unit to address the challenge of supplying LNG to non-pipelined areas.

Looking Ahead: A Sustainable Future for Transportation

The recent inauguration of India's first small-scale LNG (SSLNG) unit is another positive step. SSLNG units can supply this fuel to remote areas not connected by pipelines. This further expands the reach of this clean fuel option.
With continued industry investment, government support, and infrastructure development, LNG has the potential to revolutionize the heavy-duty trucking industry. Additionally, it creates a path for a cleaner and more sustainable transportation future.