AGL to roll out CNG network

Australia's alternative fuel market is set to receive a boost, with AGL unveiling plans for a network of CNG outlets on the east coast

Energy provider AGL chose the recent International Truck, Trailer & Equipment Show to announce its plans to roll out a new network of Compressed Natural Gas (CNG) refuelling outlets on Australia’s east coast.

The use of CNG is fairly widespread in some Western markets – AGL says there are some 120,000 CNG-fuelled trucks operation in the USA, for example – but it’s only in its infancy here in Australia.

It’s estimated that as much as 30 per cent of the USA’s trucking fleet could be running on natural gas (both CNG and LNG) by the end of this decade.

AGL plans to be a driving force behind the alternative fuel’s adoption in Australia, beginning with focusing on the development of the network’s infrastructure in Melbourne, Vic, later this year. It says the refuelling network will include both public outlets as well as on-site outlets at major trucking depots.

Compressed natural gas offers equivalent mileage to conventional fuels at a cheaper cost. Its use also produces reduced carbon dioxide emissions and it can be sourced locally, reducing Australia’s fuel dependency on overseas suppliers.

The announcement at the ITTES was attended by Russell Northe, Victorian Minister for Energy and Resources and Minister for Small Business (pictured, right), along with AGL’s Managing Director, Michael Fraser (pictured, left).

Mr Fraser said developing Australia’s CNG infrastructure would bring with it many benefits.

“Diversifying our fuel mix and building an alternative fuels industry locally is part of the solution to developing a more resilient economy,” he said.

“Today’s announcement represents an important step towards bolstering Australia’s alternative transport fuel capacity. It is a step which we hope will not only help Australian businesses become more competitive and productive, but also contribute to the nation’s longer term energy security.”

Mr Northe said AGL’s vision represented a major coup for the alternative fuel industry in this country.

“It is promising to see industry evolving with a changing economy and environment where efficiency and innovation are integral to the sustainability of the transport sector, both for large industry players such as AGL and small businesses that will benefit from more cost-effective methods of transport,” he said.

AGL to roll out CNG network

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