CNG Drivers Are Celebrating Low Fuel Costs

Unusually high demand for CNG vehicles in Utah is driving used car sales there. The state currently has 91 filling stations that dispense CNG, 20 of which are open to the public. Currently, CNG drivers can fill their tanks for about $5.00.

Honda is currently the only manufacturer that makes CNG vehicles at one Ohio plant. The cars are only available for sale in California and New York, California has many more CNG filling stations, but the equivalent per-gallon cost is about $2.50.

Drivers in Utah are combing the Internet and other sources, looking for used CNG vehicles, which some dealers are importing by the truckload. Honda says it may consider selling new CNG vehicles in Utah, in part because of consumer interest in them.

Currently, the state estimates that there are about 5,000 CNG vehicles licensed in Utah. Most CNG vehicles are fleet vehicles, like school buses and delivery trucks. Conventional vehicles can be converted to natural gas for about $10,000 - $12,000, and federal and state tax credits can be used to offset about $7,000 of that.

Jon Huntsman, Utah's governor, paid about $12,000 of his own money to have a state Chevy Suburban converted to compressed natural gas. Huntsman estimates that fuel costs for the Suburban are the equivalent of $0.63 per gallon.

Source: AP, via PhysOrg
Photo Credit: Nicholas Sales