CNG conversions grow 70% in the first half of the year in Rio de Janeiro
November 2, 2021. The installations of compressed natural gas (CNG) kits in the first half of 2021 grew 64% in Brazil and 70% in the state of Rio de Janeiro, compared to the same period in 2020. The survey is from the Federation of Industries of the State of Rio de Janeiro (Firjan) at the request of the Union of the Vehicle Repair and Accessories Industry of Rio de Janeiro (Sindirepa).
The growth indicates the search for a double economy, considering not only the increase in gasoline -which accumulates 15 readjustments this year-, but also the discount of the Tax on the Property of Motor Vehicles (IPVA) -which is valid for the conversions made until next December 15. In the city of Rio, according to Firjan, the economy with the use of natural gas can reach 50% compared to gasoline.
When including the months of July and August 2021, the increase in the installation of CNG kits throughout the country amounts to 80%, in relation to the same period of the previous year. In the state of Rio de Janeiro, this index increased 44%, which represents two thirds of the national total. However, there is still room for recovery in the volume of CNG operations when considering the comparison with the first half of 2019, for example, which is 9% ahead of the result of the first half of 2021. In Rio, the second quarter of this year marked the return of the number of conversions to the level of the same period in 2019, therefore, before the pandemic.
The demand for CNG has grown even more this year due to the cost of gasoline prices. Only in 2021, the fuel had 15 adjustments and accumulates a rise of 63% in the refineries. Thus, CNG became a true alternative for drivers. According to Firjan, in Brazil, for every Real spent on CNG, the driver travels twice as much compared to gasoline and ethanol. In the state of Rio, this proportion is 2.5 times.
Likewise, the federation emphasizes that Rio de Janeiro leads with 75% of the total vehicles that adopt its use in the country. The Vice President of Firjan and President of Sindirepa, Celso Mattos, adds that the owners of cars that run on CNG have a discount on the IPVA in several states. However, in Rio de Janeiro, the payment is not 4% of the conventional rate, but 1.5%.
