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    Gas-fired transport program gets go-ahead
     
    By Paul Isla
    Reporter

    SOME compressed natural gas (CNG)-fired buses will now be plying from as far as Batangas and Laguna to Manila with the government’s Natural Gas Vehicle Program for Public Transport (NGVPPT) finally getting a green light after several years of delay.

    “This station will soon help lessen the country’s dependence on imported oil as well as carbon emissions in accordance with the Kyoto Protocol,” President Arroyo said in her keynote speech at the launch of Pilipinas Shell Petroleum Corp.’s CNG daughter station at the northbound Biñan service station along the South Luzon Expressway.

    The Chief Executive commended Shell for finally commencing the commercial operation of its CNG daughter refilling station. She thanked the bus operators who stayed committed to the project despite the delays it faced.

    She noted that 22 CNG-fired buses are already in the country and she expects 200 CNG-fired buses within six months.

    Under the NGVPPT, CNG will be sold at P14.52 a cubic meter for seven years.

    Shell’s CNG will be exclusively sold to buses accredited by the Department of Energy (DOE) plying the Laguna-Cubao/Lawton and Batangas-Cubao/Lawton routes under a seven-year pilot program.

    The clean, indigenous gas is extracted from the Malampaya well, 80 kilometers northwest offshore Palawan, compressed at a mother station in Batangas and transported to the Biñan daughter station.

    “The government has encouraged this project, not because of its economic implications, but also out of its commitment to reduce air pollution,” said Edgar O. Chua, country chairman of Shell Group of Companies in the Philippines.

    The Shell official congratulated the government for this milestone in the local fuels industry.

    He expressed a commitment to support the government push to make CNG an alternative fuel that will power the local public-transport sector.

    As a key player in the natural-gas sector, Shell is committed to push for the use of natural gas, according to Chua.

    “Shell has found success developing CNG in other parts of the world and it is our intention to do the same in the country,” Chua said.

    Supposedly operational by September 2005, Shell CNG operations were deferred to June this year due to “technical problems” in the mother station located in Tabangao, Batangas and its daughter station in Biñan, Laguna along the South Luzon Tollway.

    The (NGVPPT) provides incentives to participants, such as: income tax holiday for pioneering projects qualifying under the BOI’s Investment Priorities Plan; zero rate of duty on imported NGV industry- related equipment, facilities, parts and components; preferential and exclusive franchises from LTFRB for NGVs on newly opened routes; accelerated issuance by the Department of Environment and Natural Resources (DENR) of environmental compliance certificate (ECC) for NGV facilities and refueling stations; affordable and commercially tenable financial packages from GFIs, among others.

    At least 22 of the 200 buses the Department of Energy (DOE) targets to have for the pilot program are already out on the streets, and of the 200 buses, 185 buses have already been committed by the seven bus operators to the government.

    The DOE has accredited seven bus operators that committed to acquire 185 CNG buses by the end of the year. These are HM Transport Inc., 80 units; RRCG  Transport System Inc., 20 units; KL CNG Bus Transport Corp., 40 units; Pascual Liner Inc., 20 units; Greenstar Express, 10 units; Biñan Bus line, 5 units; and CNG Vehicles Corp., 10 units.

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