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We Will Be Active In All Ports In Turkey And Have A Share In The European Line

We Will Be Active In All Ports In Turkey And Have A Share In The European Line

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20 Mart 2019 Çarşamba - 17:51

'LNG Is Becoming a Competitive Alternative for Long Haul Transportation'

EPDK has estimated that the use of CNG and LNG fuels will improve competition by providing supply diversity.

 LNG Is Becoming a Competitive Alternative for Long Haul Transportation

As part of our Alternative Fuel Technologies file, we've asked for the opinion of T.R. Energy Market Regulatory Authority (EPDK) as well. "Thanks to their price advantages and eco-friendliness, the use of CNG and LNG are expected to rise and EPDK has estimated that the use of these fuels will improve competition by providing supply diversity. EPDK said: "The use of LNG in land vehicles continue to increase around the world. LNG is popular in land transportation thanks to its environmental and economic advantages. Especially in the USA, China and Europe, there are incentives for the use of LNG in long-haul transportation vehicles. There are also no issues with the distribution of LNG since it is easy to use the infrastructures of current fuel stations. Therefore, compared to other fuel types, LNG is becoming a competitive alternative for urban transportation vehicles as well as long distance passenger and cargo transportation vehicles."

 "Nations Have to Meet the Energy Demand and Reduce Their Carbon Emissions

"With industrialisation, population growth and urbanization, although at different rates in every country, the world's total energy demand continuously increases on a global scale. Meanwhile, if we look at the recent data on global warming, we can see that we have to take rapid and effective measures for carbon emissions. In that case, nations have to decide on the best energy policies to both meet the increasing energy demand and reduce the carbon emissions."

"Renewable Energy Sources Won't Be Enough to Reduce Emissions"

The recently published declaration by the United Nations Intergovernmental Panel on Climate Change and the International Energy Agency's report on the world's energy outlook, have shown that the renewable energy resources, which is the first thing that comes to mind about reducing carbon emissions, would not be enough on its own to reduce emissions in the near future. This steers countries towards increasing the use of natural gas among fossil fuels with solutions based on renewable energy resources to meet the increasing energy demand."

"There Are Significant Advancements in Technologies for The Use of Natural Gas in Land Vehicles and Marine Vessels"

As natural gas consumption trend grows faster compared to other fossil fuels in production, heating and transportation around the world, we can say that nations are shifting towards natural gas, a much more eco-friendlier fuel type than other fossil fuels, to meet the demand in these sectors. Natural gas is delivered from the source countries to end consumers, mostly through pipelines. In places where it is technically and economically impossible to bring a pipeline, it can be transported in its liquefied natural gas (LNG) or compressed natural gas (CNG)forms. This helps provide gas supply to commercial businesses and households located in places where pipelines cannot reach. In addition, there are significant advancement in technologies for the use of natural gas in land vehicles and marine vessels. Combined with the environmental and cost advantages of natural gas, its diverse areas of use and technological developments have led to easier supply of natural gas to the end user, making this energy source even more attractive."

"LNG Enters Our Country Through 4 Terminals"

"The Import LNG enters Turkey through 4 terminals. 2 of these are land terminals and the other 2 are floating LNG terminals, which is also known as FSRU. 2 of the facilities are operated by the private sector while the other 2 are operated by the state-owned BOTAŞ. The LNG imported to our countries through these terminals, are gasified and fed into the pipelines. In addition, specially manufactured road tankers are loaded with LNG to be delivered to end users in LNG form. There are still on-going efforts in Turkey to deliver natural gas to more consumers and further increase its use in alternative sectors. Compared to the previous year, natural gas consumption has increased by 15,8% in 2017 and reached 53.8 billion Sm3. With the increase in the shares of renewable energies in electricity production in 2018, the total consumption fell to about 51 billion Sm3. By the end of 2018, the total investments in the distribution network has reached 18 billion TL, resulting in gas supply to 81 provinces and 500 counties. In 2017, necessary regulations have been adopted to supply natural gas in LNG and CNG form to cities where natural gas can't reach through pipelines. Accordingly, 83 county or town level settlements have received natural gas supply in LNG and/or CNG form until the construction of pipelines."

"Use of Natural Gas as Vehicle Fuel Has Reached 92.318 Million Sm3"

"In 2018, 600.12 million Sm3 of LNG was consumed in our country. The use of natural gas as vehicle fuel rose from 83.6 million Sm3 in 2017 by approximately 10% in 2018 and reached 91.318 million Sm3."

 "CNG Has a Lower Unit Cost Than Other Fuels"

"While CNG has been accepted as a main fuel in recent years, it has also become an alternative fuel for passenger vehicles. CNG is becoming more and more popular around the world because it has a lower unit cost than other fuels and it is an eco-friendly fuel type as it reduces carbon emissions. There are numerous vehicle models that are powered solely by CNG. In recent years, CNG engines have also reached advanced technological levels."

"The 2017 Amendment Has Ensured Expansion of The OtoCNG Station Network"

"An extensive station network is one of the conditions required for the expansion of CNG's use in vehicles as fuel. In 2017, the Energy Market Regulatory Authority has made the necessary amendments to meet this condition. OtoCNG license was established as part of the Regulation on the Amendment of the Natural Gas Market License Regulation published in the Official Gazette dated 24/05/2017 and numbered 30075. The regulations have ensured that sales of CNG as road vehicle fuel would only be permitted under the OtoCNG license and helped expand the station network."

"Mother-Daughter Model Was Used to Popularise the Use of CNG in Vehicles"

"Accordingly, the goal of the new regulations that allow the use of a practice known as the "mother-daughter" model around the world, in our country; is to expand and establish more affordable CNG stations on especially highways through a system that could be defined as a secondary system, which would help reduce carbon emissions. In addition; Article 5 of the Natural Gas Market License Regulation legislates that natural or legal persons who are not engaged in sales activities and only use CNG or LNG for their own needs, and legal persons who are not engaged in sales activities to use CNG as a fuel in their own vehicles by compressing the LNG or gaseous natural gas received from license holders, do not need to obtain a license on condition that they comply with the technical criteria in the relevant legislation and other legislation and fulfil the obligations of obtaining permission, license and approval from other legislation."

"There Are 17 OtoCNG Licensed Stations in Our Country"

"As of 2019, there are 17 OtoCNG stations that operate under the OtoCNG license. Additionally, there are also municipalities and enterprises that have established CNG facilities without license by taking the license under Article 5 of Natural Gas Market License Regulation and using CNG as fuel in their own buses."

"LNG Is Becoming a Competitive Alternative for Transportation Vehicles and Long-Distance Passenger and Cargo Transportation"

"The use of LNG in land vehicles continue to increase around the world. LNG is popular in land transportation thanks to its environmental and economic advantages. Especially in the USA, China and Europe, there are incentives for the use of LNG in long-haul transportation vehicles. There are also no issues with the distribution of LNG since it is easy to use the infrastructures of current fuel stations. Therefore, compared to other fuel types, LNG is becoming a competitive alternative for urban transportation vehicles as well as long distance passenger and cargo transportation vehicles."

"There Must Be Additional Measures Besides Electrification to Reduce Carbon Emissions"

According to the 2018 World Energy Outlook Report of the International Energy Agency, it was indicated that some of the important factors of energy systems, such as long-distance road transport, transportation and aviation, are not electrified by today's technologies and that there must be additional measures besides electrification to reduce carbon emissions. Countries' use of LNG as a fuel in land vehicles and marine vessels that conduct long haul transportation, is considered one of the important measure to reduce these emissions."

"Nobody Applied for A Wholesale with LNG Station License"

"Wholesale (with LNG Station) license was established as part of the Regulation on the Amendment of the Natural Gas Market License Regulation prepared by EMRA in Turkey and published in the Official Gazette dated 09/02/2017 and numbered 29974 for the supply of liquefied natural gas (LNG) to vehicles at stations. Ministry of Treasury and Finance has determined the necessary Special Consumption Tax rate for the use of LNG as a vehicle fuel and added it to its Special Consumption Tax table. Market players still haven't applied for a Wholesale (with LNG station) license to EMRA."

"Sulphur Emission Limits Reduced From 1% to 0.1% For Ships"

"The Use of LNG and CNG as a fuel for marine vessels is becoming more and more common. Our country is located over the world's important waterways and due to its geography, it is considered a marine country. Therefore, the territorial waters of our country have a strong potential in LNG and CNG supply to marine vessels. On the other hand, according to the decisions of International Maritime Organization – IMO in 2015, the sulphur emission limits of ships have been reduced from 1% to 0.1% in areas defined as Emission Control Areas (ECA), which include the Baltic Sea, North Sea and North American coast. It is indicated that Mediterranean coasts may also be defined as an ECA region in 2020. Additionally, IMO has decided that the current 3.5% global sulphur emission limits shall be reduced to 0.5% as of 2020."

"The Use of LNG As a Bunker Fuel Is Expected to Rise as of 2020"

"Products that are used as fuel in ships are called bunker and providing fuel supply services to ships is called bunkering. Fuel oil and diesel fuel comprise most of the bunker fuels used around the world. The use of these two fuel types cause sulphur emissions at various rates. LNG's sulphur emission rate is 0%. That's why, the use of LNG as a bunker fuel is expected to rise as of 2020."

"The Use of LNG and CNG as Fuel in Turkish Territorial Waters Has Been Legislated In 2016"

"In order to ensure the use of LNG and CNG as a fuel for marine vessels in Turkish territorial waters, the amendment on "permission of wholesale natural gas license holders for the sales of natural gas as a liquefied natural gas (LNG) in accordance with the provisions of the relevant and other legislations, and the permission of compressed natural gas (CNG) license holders for the sales of natural gas as CNG for the purpose of meeting the fuel needs of domestic and/or foreign vessels in Turkish territorial waters" has been completed by the EMRA decision no. 6605-5 dated 23/11/2016. Thanks to this amendment, the wholesale license holder companies are now allowed to sell LNG and CNG license holders can sell CNG in order to meet the fuel needs of marine vessels in Turkish territorial waters. Carbon emissions are expected to decrease thanks to these amendments that allow the use of LNG and CNG as fuel in road and marine transportation in Turkey. Thanks to their price advantages and eco-friendliness, the use of CNG and LNG in vehicles is expected to rise while it is also estimated that it will improve competition in the fuel sector by providing supply diversity."

"Natural Gas Will Play an Important Role in Meeting the Energy Demand"

According to the recent developments in energy and the environment in the world, it can be seen that natural gas, which is an eco-friendly and economic resource among fossil resources, will play an important role in meeting the increasing energy demand in the future. The positive developments in LNG and CNG demand in especially the transportation sector, provides attractive opportunities to market players. In order for our investors and our country to take maximum advantage of these opportunities, it is very important to follow developments in LNG and CNG technologies around the world, make the necessary R&D investments in these areas and amend the necessary legal regulations on time. EMRA also closely follows the developments in LNG and CNG technologies in the world and if necessary, makes amendments to the legislations."

 
''LNG, Uzun Yol Taşımacılığında Rekabetçi Bir Alternatif Haline Geliyor''
 
Türkiye’nin İlk LNG’li Çekicisi: IVECO Stralis NP 460
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