Market Trends of Europe Compressed Natural Gas Dispenser Industry
Fast-Fill Segment to Dominate the Market
- Most fast-fill stations are suitable for retail situations where vehicles arrive randomly and must be filled up quickly. All public CNG stations provide fast-fill services.
- A fast-fill station receives fuel from a local utility line at a low pressure and compresses it to a high pressure using a compressor on-site. The compressed CNG is then stored in a series of storage vessels to be easily refilled. CNG can also be delivered in dispensers with gasoline or other fuel dispensers.
- CNG at fast-fill stations is often stored in vessels at high service pressure (4,300 psi) so the dispenser can quickly deliver it to a vehicle. The dispenser uses sensors to determine the pressure and the number of gasoline gallon equivalents (GGEs) delivered to the tank, taking temperature into account.
- By 2021, natural gas-powered vehicles will become increasingly popular, with over two million Europeans using CNG-powered vehicles. These are suitable for all types of transport, including private vehicles and public transportation.
- CNG cars now emit far fewer greenhouse gases than future environmental standards requirement, which is an important step towards energy sustainability and the transition to a more environmentally friendly fuel. For example, in Germany, where there are strict rules for the environmental protection of the urban environment, they are free to enter areas with limited urban mobility. It is why more and more companies and utilities in Europe are also adopting CNG fleets.
- Between 2013 and 2020, the number of compressed natural gas (CNG) vehicles registered in Hungary grew by almost 2000 units. As of 2021, there were 2,277 registered CNG vehicles in the country.
- In November 2021, the United Kingdom government announced to ban the sale of new diesel and petrol heavy goods vehicles (HGVs) by 2040 to decarbonize the transport sector. As per government plans, many companies are opting for CNG vehicles. For instance, in February 2022, Hermes UK launched Iveco's 70 S-way CNG vehicles to its fleet as a part of its plans to reach net-zero direct and indirect carbon emissions by 2035. The additions bring Hermes' total compressed natural gas (CNG) fleet to 160 - roughly half of its core tractor fleet. Each Iveco S-way unit emits 80% less carbon dioxide than a Euro 6 diesel.
- The factors mentioned above are expected to drive the demand for the fast-fill segment in the compressed natural gas dispenser market over the study period.
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Italy to Dominate the Market
- An increase in natural gas refuelling stations in Italy is observed for several years. CNG network renovation and development began in the early 1990s. At that time, 150 stations were installed, mainly in the northern and central regions. Now, all regions include natural gas vehicles (NGVs) refuelling stations.
- During the next decade, some critical regions, including Piemonte, Lombardia, and Trentino-Alto Adige, contributed to the growth of NGVs. Greater attention was paid to the environmental benefits of these vehicles, and fuel operators were encouraged to create a network of CNG stations in their areas.
- By 2021, there were 1,571 CNG refuelling in the country, contributing a significant share of 37.4% in the entire European region.
- The number of CNG vehicles is increasing in the country. As of 2021, there were 27,346 registered CNG vehicles in the country.
- In June 2022, A framework agreement was awarded for the supply of natural gas buses to central/local governments and public transport companies by Consip (the central purchasing department of the Italian public administration). As part of this initiative, more than 1,000 vehicles (including 800 CNG buses and 200 LNG buses) will be made available (including the buses). Using the resources provided by the Complementary National Plan (PNC) fund, under the National Recovery and Resilience Plan (PNRR), public administrations will be able to purchase buses of different types and sizes quickly through a "ready to use" contract. This tender is divided into eight lots, and USD 473 million is allocated.
- Therefore, based on the above factors, Italy is expected to include a significant share of the compressed natural gas market during the forecast period.
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