Page 172 - Proceeding of Atrans Young Researcher's Forum 2019_Neat

“Transportation for A Better Life:
Smart Mobility for Now and Then”

23 August 2019, Bangkok, Thailand

the current policies have highlighted the following and equipment suppliers, the refueling network and
favorable preconditions for NGV market service infrastructure.
development: Instruments that proved to be efficient in
 Low or free loan interest for buying new leading national NGV markets are as follows:
vehicles;  Customer and demand support measures:
 Government support in reducing initial costs  Incentives that support favorable price
of conversion/NGV purchase; differential between gasoline/diesel and
 Public investment of fuelling stations; natural gas for fuel purposes as this is a
The SWOT analysis model is a useful tool primary factor of choice for customers and
to analyze the angles of policies and to provide an infrastructure investors;
overview on the applicability of these policies with  Incentives designed to bring down initial
the context of Vietnam. costs of conversion kits installation/new
Table 4. SWOT analysis on the ability of NGV purchase by customers: subsidies,
applying lower taxes and import duties, low-interest
Policy loans, accelerated depreciation of
- Provide economic incentives to investments etc.;
Strengths encourage business participation  Technological, safety, economic and
- Most of enterprises in the
are small and medium so the investment information support;
in total vehicle fleet is limited.  Development of regulatory framework to
- Local budgets are often very limited ensure smooth market operation;
to expand the system.  Pro-active measures to organize cooperation
- The organizational structure between key NGV market stakeholders;
and management of investment
activities, as well as the  Ecological policy setting emission standards
complementary legal system in and providing non-financial incentives to
Weaknesses
Vietnam, are not very flexible environment-friendly modes of
to meet the low-carbon transport transportation (such as all-day a week
system.
- City budget must meet other priorities parking in city centers etc.);
rather than investing in the construction  Infrastructure and supply development
and operation of environmental friend support measures:
vehicles and facilities.  Realization of pilot projects and stimulation
- The current taxes and fees are of private investment in the NGV refueling
overlapping
- Policies to support technology network, conversion and service centers
transfer by the Government of (land allocation on a priority basis,
Vietnam is interested simplification of the licensing process etc.);
Opportunities - The explosion of low carbon  Simplification of private investment
emission technology.
procedures, including allocation of land for
NGV infrastructure objects, special-purpose
- Vietnam's unique market economy loans etc.;
will face the challenges of a new  Support of research, development and
market model that is both similar but
Threats very different from the conventional manufacture of NGVs, conversion kits and
financial market. other equipment. For instance, Argentina
- Policies need to create fair has developed highly effective conversion
competition among businesses. technologies and exports them to other
countries;
The most popular approach to national  Pilot projects of public transport and
market development is to start the process in selected municipal vehicle conversion to CNG
urban areas and ‘blue corridors’ rather than country- fueling, tendering terms preferential to
wide. Customer groups to focus on while beginning suppliers of environment-friendly transport;
the conversion project are public transport, taxis and  Establishing well developed technological
municipal special-purpose vehicles. and safety standards, verification and
The scope of instruments used at the initial certification procedures.
stage of NGV market development should support The world’s leading countries in LNG fleet
all NGV market stakeholders: customers, vehicle growth, China use small-scale LNG plants, since it

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