Maruti to roll out CNG models of all small cars

NEW DELHI: Maruti Suzuki, the country’s largest carmaker, will make all the small cars in its portfolio available in compressed natural gas (CNG) variants to reduce dependence on imported oil and cut down on vehicular pollution. The company expects the increase in sales of CNG and hybrid vehicles to pick up the slack after its planned stoppage of diesel vehicle manufacture.“All small cars in our portfolio will get converted to CNG,” Maruti Suzuki chairman RC Bhargava told ET. “There is an acceptance from the government that CNG is a cleaner fuel, and it is being accepted for transportation. They are setting up 10,000 CNG distribution outlets.”The country’s No. 1 carmaker has borne the brunt of the drop in auto sales that’s part of the broader slump in the Indian economy. Maruti Suzuki posted a 35.9% decline in domestic sales to 94,728 units in August.Currently, the CNG option is available for eight Maruti Suzuki models, including Alto, Alto K10, WagonR, Celerio, DZire Tour S, Eeco, and Super Carry mini truck. The company has 16 models in its portfolio.70953269 ‘Encourage India-made CNG Kits’CNG-powered vehicles currently constitute around 7% of overall sales of the company.In states where CNG distribution outlets are available, variants running on the fuel account for about 30% of the sales of each model, company executives said.Maruti Suzuki sold 31,000 CNG vehicles in the first four months of the current fiscal year. CNG distribution outlets currently are mostly located in Delhi, Mumbai and Gujarat. The company increased production of CNG-powered vehicles by 40% last fiscal and is in the process of raising it by another 50% this year.Bhargava said factory-made CNG vehicles cost substantially more than those retrofitted with kits because of taxes and manufacturing costs but pointed out that they are also safer. “Retrofitment is done with imported parts — this is not Make in India,” he said. “To promote Make in India, the government must encourage factory-fitted CNG vehicles… We should make CNG kits in India. Safety levels of CNG cars should go up.”In a bid to push adoption of CNG vehicles in the personal mobility space, the petroleum and natural gas ministry had last year announced plans to set up 10,000 CNG distribution outlets in 10 years. It is estimated that the country will save nearly?2 lakh crore in oil imports if personal car users switched to CNG vehicles. Maruti Suzuki said earlier this year that it will discontinue production of diesel vehicles due to the steep increase in costs related to the transition to BS VI emission standards from April 1, 2020.

from Economic Times https://ift.tt/2NPzVEn