Full Title: U.S. and Canadian Natural Gas Vehicle Market Analysis: Liquefied Natural Gas Infrastructure
Author(s): TIAX
Publisher(s): America's Natural Gas Alliance
Publication Date: May 1, 2012
Full Text: Download Resource
Description (excerpt):
Liquefied natural gas (LNG) as a vehicle fuel has the potential to be successful in select vehicle market segments based upon favorable economics. Success for LNG is an integrated network of public access stations and LNG infrastructure across the country that can support significant penetration of LNG natural gas vehicles (NGVs) for long distance, cross-country travel. LNG is unlike most other transportation fuels, and an effective LNG infrastructure business model requires an integrated effort by LNG providers, station owners and operators, and prospective LNG vehicle owners.
Successful LNG infrastructure implementation seeks to minimize one or more of the three main cost components of the LNG supply chain: feedgas cost, liquefaction and upgrade cost, and transportation cost. The most successful strategy to date has been to build a pipeline-fed liquefier dedicated to LNG vehicle fuel production. Other LNG pathway supply options, including peakshaving, pressure reduction liquefiers, nitrogen rejection units, gas separation plants, small-scale liquefaction, and imported LNG, each have had or will have a role in the development of an LNG infrastructure and supply network. Moving forward into a greenhouse gas (GHG) constrained economy, LNG from biomethane will also play a key role, offering significant GHG emissions reductions as the LNG pathway with the lowest carbon intensity as well as a positive public image. An LNG portfolio blending pipeline natural gas and biomethane LNG may be a prudent strategy for reducing GHG emissions, enhancing public perception of LNG as a low carbon fuel, while providing adequate quantities of competitively priced LNG.