New analysis from Frost & Sullivan, as part of the report titled “Strategic Analysis of the Medium- to Heavy-duty Natural Gas Commercial Vehicle Market in Europe,” found that compression ignition technology will dominate in the liquefied natural gas (LNG) truck market, at around 60 percent share. In the natural gas bus market, spark-ignited technology will dominate, at 90 percent share. The company forecasts production levels in Europe of nearly 18,000 natural gas-fueled vehicles by 2018.
Frost & Sullivan said compression ignition technology would facilitate the use of natural gas vehicles for long haul applications, which would compensate for the higher up-front cost of these types of vehicles. This assumes the lower cost of natural gas fuel exists.
In general, Frost & Sullivan said Europe is set to become a strong regional market for medium- to heavy-duty natural gas (NG) commercial vehicle. Factors driving growth in the natural gas vehicle market include energy price volatility, tighter emission standards, and the recent availability of shale gas in the United States, according to the company.
Technologies that will put the least amount of pressure on existing natural gas infrastructure in Europe include compressed natural gas (CNG) and biomethane.
“OEMs need to develop duty-cycle focused product platforms and collaborate with fuel suppliers and governments to create a favorable environment for the adoption of NG vehicles by fleet owners,” said Frost & Sullivan Automotive & Transportation Consulting Analyst Saideep Sudhakar. “Suppliers need to focus on vertical integration to ensure sustainable growth and development of the market.”