This document is a project report on studying CNG and LPG-based vehicle systems in Pune and Ahmedabad, India. It includes an executive summary, objectives, theoretical background on alternative fuels, research methodology, data analysis, findings, limitations, conclusions, and recommendations. The project involved surveying officials, organizations, auto drivers, and the public in both cities to understand the infrastructure, costs, technical aspects, and public acceptance of converting to CNG and LPG vehicles. The data analysis section provides details on the CNG supply and distribution system in Ahmedabad as an example. The report provides an in-depth examination of introducing natural gas as a transportation fuel alternative.

1. - 1 -
A
PROJECT REPORT
ON
STUDY OF CNG AND LPG BASED VEHICLE SYSTEM IN PUNE
AND AHMEDABAD
FOR
SUBMITTED TO UNIVERSITY OF PUNE
IN PARTIAL FULFILMENT OF 2 YEARS FULL TIME COURSE
MASTERS IN BUSINESS ADMINISTRATION
SUBMITTED BY
CHANDRESH PAREKH
(BATCH 2006-07)
BRACT S
VISHWAKARMA INSTITUTE OF MANAGEMENT
S. NO. 3/4 BEHIND LAXMI NAGAR, KONDHWA (BUDRUK), PUNE-411048

2. - 2 -
Acknowledgement
It is always a difficult task to acknowledge all those who have been of
tremendous help in an academic project of this nature and magnitude nevertheless, I
have made a sincere attempt to express my gratitude to all those who have
contributed to the successful completion of this project through this project report.
As I present this report on Study of CNG and LPG Based System in Pune and
Ahmedabad I am aware of the humanity and gratitude towards all the individuals
who have so kindly offered me their time, skill, knowledge, advice, and facilities, or
guidance.
I am extremely grateful to Mr. Shailendra Singh Asst. Manager Marketing
GSPC GAS COMPANY LTD for giving his valuable input and opportunity to
develop this project and making all the resources available to me with the intention of
success of this project.
I would also like to thank Sanjiv Vaijanpurkar Dy. Env Engineer,
GUJARAT POLLUTION CONTROL BOARD (GPCB) for his idea, advice,
knowledge, and about all his support throughout this project
Would also o like to express my gratitude to Mr. Chinmoy Tikader
Technical Engineer, HINDUSTAN PETROLEUM CORPORATION (HPCL)
for being in constant touch with me through E-mails and thus helping me in
collecting and compiling data and preparing the report.
I also take this opportunity to express my deepest gratitude to my Project Guide
and our director Dr. Sharad Joshi for his constant support, guidance and
encouragement and thus being a constant source of inspiration for me
Last but not the least I would like to thank my parents, all the employees and all
my friends who have always been a strong support during the entire course of my
project and without their co-operation the completion of this project would not have
been possible.
Chandresh Parekh

3. - 3 -
Title Index
S.r. No Topic Page No
1 EXECUTIVE SUMMARY 1
2 OBJECTIVE AND SCOPE OF THE
PROJECT
2
3 THEORETICAL BACKGROUND 3
4 RESEARCH METHODOLOGY 8
5 DATA ANALYSIS 10
6 FINDINGS 35
7 LIMITATIONS 36
8 CONCLUSION 37
9 RECOMMENDATIONS 38
10 ABBREVATIONS 39
11 BIBLIOGRAPHY 40
12 ANNEXURE 41

4. - 4 -
Index of Tables, Charts and Diagrams
S.r. no Table / Chart Page No
1 Contribution To Air Pollution
By Various Sources
4
2 Composition of CNG and LPG 5
3 Comparative study of CNG and
LPG with other fuel on various
emission factors
5
4 Strategies of Reduction in
Emission Due to Vehicles in
India
7
5 Gas Supply Grid in Gujarat 10
6 Gas Sectors in Gujarat 11
7 Plan Layout Of HPCL Mother
Station
12
8 Description and Functionalities
of Each element in CNG Mother
Station
13
9 Typical CNG Mother Station 14
10 Comparative Chart Showing
Feature Of 2 Stroke and 4
Stroke CNG Autos
18
11 Pictures Of CNG LPG Auto and
CNG Dispensing Unit and LPG
Fitted 2 Wheeler
19,23
13
Statement Showing
Comparative Cost Analysis of
CNG and Diesel Vehicle Per Km
23
14 No. of CNG Stations of Leading
Oil Companies in Ahmd
24

5. - 5 -
15 No of LPG Stations in Pune and
Ahmd
25
16 No. of CNG Vehicles in Ahmd 26
17 No of Vehicles Converted To
LPG in Pune
27
18 Hesitation For Conversion To
LPG Autos in Pune
26
19 Post Problems in CNG Autos 29
20 Hesitation For CNG and LPG
Conversion in Private Vehicles
30
21 Public Response After
introduction Of CNG Buses
31
22 Pre CNG and Post CNG RSPM
Levels in Ahmd
32
23 Catering Level Of AMTS 33
24 Price Comparison Of Various
Kits
34

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1. ExecutiveSummary

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1. Executive summary
Automobiles are a necessary evil , while they have made living easy and convenient;
they have also made human life more complicated and vulnerable to both toxic
emissions and an increased risk of accidents.As we know that the petrol and diesel
prices are shooting up each month, apart from this, these fuels are polluting the
environment to the worst case possible by emitting harmful gases in the environment.
Thus it becomes necessary to look for a better alternative than petrol and diesel which
serves in terms of economy and health.
The Title of the project is Study of CNG and LPG Based Vehicle System in Pune
and Ahmedabad This project deals in this hot issue of CNG and LPG that can be
used as a better fuel alternative in the future and thus to some extent gives all those
necessary information needed to switch over to CNG and LPG based transport system
in any city. Personally it has broadened my horizon in understanding the problem and
helped me in suggesting few solutions for the problem.
The location selected for carrying the project were the City of Pune and Ahmedabad.
The duration of the project in Pune was 20 days and 25 days in Ahmedabad thus the
project survey was concluded in 45 days in all. This project was divided into 2 parts,
the first part included survey for LPG related details in Pune city and the second part
was survey for CNG related details in Ahmedabad. Both surveys included meeting the
authorities and bodies in concern like municipal corporations, state and public transport
systems, oil companies etc and interviewing general public and auto drivers for their
reaction on conversion to LPG and CNG in both cities.
The project gave a thorough understanding about the CNG and LPG related details
like;
1. Infrastructure requirements and the cost to set up the CNG and LPG transport
related system
2. Response of the general public and the people involved in setting up the system
3. Understanding the functioning of different elements involved in system
4. Technical aspects related to transportation and supply of CNG
5. Pros and Cons of the system

8. - 8 -
2. ObjectiveandScopeof theProject

9. - 9 -
2. Objective & Scope of the project
Title of the project
Study of CNG and LPG conversion in selected cities
Different objective of the project
Primary objective
To understand the CNG and LPG conversion system in Pune and
Ahmedabad beginning from source to supply of the fuel
Secondary Objective
To know public acceptance level for the new system
To serve the project as text book study for cities like Pune for
installation of this system
Scope of the project
Area of operation
Area of operation included interviewing the officials in oil companies,
government authorities, and general public, private firms, etc.
The duration of the project in Pune was 20 days and 25 days in Ahmedabad
thus the project survey was concluded in 45 days in all.
Location area covered
Survey was conducted in city of Pune and Ahmedabad and sampling
included Random and Deliberate sampling technique

10. - 10 -
Theoretical Background

11. - 11 -
3. Theoretical Background
Introduction
Automobiles are a necessary evil , while they have made living easy and
convenient; they have also made human life more complicated and vulnerable
to both toxic emissions and an increased risk of accidents
The rapid growth in motor vehicle activity in India and other rapidly
industrializing low-income countries is contributing to high levels of urban air
pollution, among other adverse socioeconomic, environmental, health, and
welfare impacts. To overcome there should be emission controls and air quality
management programs
Air Quality Management
An organized effort for achieving ambient air quality standards to
minimize aesthetic, environmental and health risks
A systematic planning to reduce / regulate pollutant emissions and
ensuring continuous improvement
Factors Contributing to Urban Air Pollution in India
There are several factors that are contributing to toxic emissions, major of them
in urban and sub urban which are no less to be called as Toxic Slums.
Some of the factors are:
High vehicular growth
Burning of fossil fuel
Increased industrial activity
Small scale industries
Urban Population growth
unplanned- slums
Rapid increase in vehicle miles traveled
Slow increase of road coverage
Traffic jams
Fuel quality- adulteration
Social and Economic constraints in adopting control measures

12. - 12 -
Contribution to air pollution by various sources
Back ground of the subject
Hon ble Supreme Court of India is considering a Public Interest Litigation
regarding the pollution in some cities like Delhi, Ahmedabad, Mumbai,
Bangalore etc in India. Solapur and Pune have been subsequently included in
the petition and directions have been given by the Apex Court to prepare Action
Plans for these cities which inter-alias should include the pollution reduction
strategy in those cities.
In August 2003, Hon ble Supreme Court of India has issued a directive to the
Union of India and the state governments to draw plans to introduce clean fuels
in 11 cities apart from the existing cities of Delhi and Mumbai.
These are:
Bhurelal Authority has been appointed for reviewing the actions taken by the
respective States/ SPCBs on the implementation of the directives of the Hon ble
Supreme Court of India to control the RSPM and SPM levels in these cities
Under its Project Blue Sky, GAIL has already drawn plans to implement city
gas projects in the five cities of Kanpur, Lucknow, Agra, Bareilly and Pune in
phases at an estimated investment of Rs. 554 crores (equivalent to 118 Million
USD).
INDUSTRY
25%
TRANSPORT
70%
OTHERS
5%

13. - 13 -
With the increasing number of pollutants in Ahmedabad air and with the
background of increasing trend in the use of CNG in the other parts of the
world. The Hon ble Supreme Court had directed the Government of India to
take initiative in promoting the use of CNG, an established clean fuel in the
world and as transport fuel in Ahmedabad to control the increasing levels of
ambient air pollution.
What are CNG and LPG?
CNG is the abbreviated form of Compressed Natural Gas. The Natural Gas has
less energy density as compared to Liquid Fuel and hence it is compressed to
over 200 Kg/cm² (g) pressure to make it CNG for use in the automobile sector.
In its natural form it is colorless, odorless, non-toxic and non-carcinogenic.
However, this natural gas is mixed with an odorant to add flavor similar to the
odor of LPG from a domestic cylinder so as to facilitate detection of its
leakage.:
LPG is a by-product of natural gas processing or a product that comes from
crude oil refining and is composed primarily of propane and butane with
smaller amounts of propylene and butylenes. Since LPG is largely propane, the
characteristics of propane sometimes are taken as a close approximation to
those of LPG
Comparative study of CNG and LPG with other fuel on various emission factors
FUEL/ EMISSIONS CO2 UHC CO NOx SOx PM
PETROL 22,000 85 634 78 8.3 1.1
DIESEL 21,000 21 106 108 21 12.5
LPG 18,200 18 168 37 0.38 0.29
CNG 16,275 5.6 22.2 25.8 0.15 0.29

14. - 14 -
Major Benefits of CNG and LPG are:
1. Cleaner Environment due to improvement in Ambient Air Quality
2. Economical Fuel for the customers
3. Readily available Natural Gas pipeline
4. Reduction in emissions.
5. Very less carbon build-up increases life of engine parts like spark plugs.
6. Time needed Fueling is also similar to diesel or gasoline.
7. Service life of a vehicle increases with LPG.
8. Higher octane number.
Need for Alternate Fuel program in India
With India emerging as a global player in world market .it becomes the
responsibility of a nation to be concern about its environment to have a global
stand in world ecology.
Some of the prime concerns for India are:
1. Rising urban pollution
2. Rising global concern for environment
3. Increasing vehicular pollution from conventional fuels
4. Rising public awareness & expectations
5. Exponential rise in pollution related diseases
6. Economics
7. Fuel security
Government s role in setting up CNG and LPG based Transport System
1. State Governments support for marketing of AutoLPG and CNG
2. Allotment of additional land at existing Retail Outlets located in Govt.
lands for setting up ALDS and CNG dispensing units
3. NOC for Additional Land
4. Permission to Retrofitters for marketing of Conversion Kits
5. Endorsement of RC Books of vehicles converted to Auto LPG and CNG
6. Stringent emission checks of vehicles to be enforced
7. Stringent deterrents for violators

15. - 15 -
Strategies of Reduction in Emission Due to Vehicles in India
Identification of
Potential Traffic Control Measures
Development of Criteria for
Transportation Control Measures
Screening of Transportation Control
Measures & Selection of Measures
Choosing a
Base Case
Analysis of Traffic
Control Measures
Analysis of Regional Traffic Effects
Analysis and Evaluation of Changes in
Regional Emissions and Air Quality

16. - 16 -
4. ResearchMethodology

17. - 17 -
4. Research Methodology
Research
It can be defined as a scientific and systematic search for pertinent information
on specific topic.
It is also a careful investigation or inquiry especially through search for new
facts in any branch of knowledge or one can say that it is systematic away to
gain knowledge
Type of Research Undertaken
Descriptive study is a fact finding investigation with adequate interpretation .It
is the simplest type of research .It is more specific than an explanatory study, as
it has focus on particular aspects in the dimensions of the problem studied. It is
designed together descriptive information and provides information for
formulating more sophisticated studies .Data are collected by using one or more
appropriate methods like observation ,interviewing and preparing questionnaire
Different sources and methods of data collection
1. Questionnaire was given to public for their response on CNG and LPG
system being introduced for public and private transport in Ahmedabad and
Pune respectively
2. A formal Interview technique was used to get information from top
executives in all well recognized private and public organization dealing
with CNG and auto LPG directly or indirectly on and an informal interview
or discussion technique was used in some private outlets and auto drivers
and private vehicle owners
3. Observation was done at the gas stations to observe how the situation is
different from that of a petrol pump and at kit installer s place.

18. - 18 -
Primary and secondary data collection
1. Primary data are those which are collected afresh and for the first time and
thus happening to be original in character.
In the project primary data was collected through means of questionnaire to
public using public transport, auto drivers and private vehicle owners
2. Secondary data are those which have been already collected by some one
else and which have been already passed through process.
This was collected while interviewing some officials as they handed over
some statistical data directly in the form of printed copy and also through
internet.
Sampling
Sample is the small group taken under consideration from the total group. The
small group represents the total group, in the project the market segment, which
was ask to be studied was Mumbai market but there was a limitation of the
project to approach all the stockiest, dealers and retailers of the city. The areas
selected for the sample are present further in annexure.
Sample Space - Pune and Ahmedabad
Samples
Municipal Transport in Ahmedabad and Pune
respectively
General Public
Private and Public organization dealing with CNG
and Auto LPG directly or indirectly and an informal
interview or discussion technique was used in some
private outlets and auto drivers and private vehicle
owners
Sampling Technique - Random Sampling
Contact method - Direct Interview and Observation
Sample Size - Sample size
LPG Autos 80
CNG Autos 75
Private Vehicles 25
General Public 25

19. - 19 -
5. DataAnalysis

20. - 20 -
5. Data Analysis
Study of elements involved in CNG vehicle system
As we know that implanting a CNG system in any place is not an easy task, it
takes high level of planning and investment. It is not easy as installing LPG
based system where the planning and investment in comparatively low.
Installing a CNG system needs a proper and continuous supply, infrastructure,
safety precaution, technical know how and finally awareness in people to adapt
the change over
Let us take an example of Ahmedabad city and try to under stand how the
whole system functions from origin to engine.
Supply
Commissioned
Under construction
RoU in Progress

21. - 21 -
Gas Sectors in Gujarat
Companies Area
Reliance LNG project / Exploratio Jamnagar, Saurashtra
Essar Oil Jamnagar, Saurashtra
Petronet LNG Bharuch, South Gujarat.
GAIL LPG Bharuch, South Gujarat
British Gas - LNG terminal Pipavav, Saurashtra
Shell - LNG terminal Hazira, South Gujarat
Gujarat Petronet Gas Network Vapi to Mehsana & Pipavav to Ahmedabd
Wimco LPG Jamnagar, Saurashtra
Jamnagar based Pipelines LPG, Crude oil, product & gas.
IOC Baroda
About 75 percent of India s known reserves are located in the Bombay High
region and onshore and offshore regions of Gujarat. Arrival of LNG imports at
Dahej have increased gas availability. HBJ pipeline originates from Hazira and
runs through industrial belt of South Gujarat .State-wide gas grid under
implementation. There are 2 LNG Terminals at Dahej & Hazira; this gas is at
low pressure before reaching the mother station where it is compressed to 250
bars. The Gas Grid Project is 2200 km is a long pipeline with 60-70 MMCD
capacity. The task of GSPL (Gujarat state Petronet limited) is subsidiary
company of GSPC (Gujarat state petroleum corporation limited).GSPC
purchase gas from various sources like Petronet LNG, Shell Hazira, Niko etc.
GSPL is doing the transportation of these gas thru there pipelines. GSPL has
one segment of pipeline called BKPL (Baroda-Kalol pipeline) which is 24"
diameter. HPCL has tapped from this line with a 4" line to receive in our
mother station. Pipelines are made of carbon steel seamless pipe, with
polyethylene coating on it to protect it from corrosion. CNG station are as per
petroleum rules 1976,gas cylinder rules 1981,NZS 5425 1980

22. - 22 -
Gas Station
Plan layout of HPCL mother station

23. - 23 -
Legend
Particular Measurement ( 00)
1. HT substation 40 * 40
2. DG foundation 30 * 62
3. Transformer room 40 * 40
4. Central stores 8.7m * 12.9m
5. AUR room 49 * 35
6. Electrical room 87 * 40
7. Cascade (1) 56 * 19
a. Cascade (2) 56 * 19
b. Cascade (future) 56 * 19
8. Compressor(1) 55 * 35
a. Compressor(2) 55 * 35
b. Compressor(future) 55 * 35
9. Odorizing unit 20 * 70
10. Office bldg 90 * 120
11. Mobile cascade filling 80 * 120
12. Car dispenser station 160 * 120
13. Bus dispenser station 160 * 120
14. Green belt
Description and functionalities of each of the legend
S,r.
no
Particulars Description
1 HT Substation High Tension Substation (power received at 11000 KV at
that yard)
2 DG Foundation It is foundation of generator is being used at power failure
3 Transformer Room Indoor type transformer has been kept in that room. It
steps down 11000 KV to 440 volt
4 Central Stores Store room of spares used at Mother Station
5 AUR Room AVR Room (Automatic Voltage regulator room )
6 Electrical Room Electrical room has all the MCCB Panels in that room
along with LDB (Lighting distribution panel, Emergency
panels)
7 Green Belt It is advised form Pollution control board to have greenery
in any industry or installation the maximum. Green belt is
a patch of Lawn or garden.
8 Odorizing unit To ethyl mercaptan for detection CNG during leakage

24. - 24 -
Typical CNG Mother Station
Once the gas reaches the mother station it is then compressed to 250 Bars with
the help of compressors, prior to this the gas is mixed with odorizing gas which
gives the gas a typical smell, so it becomes easier to detect the gas .then the gas
is transformed to fixed cascade where the gas is stored and then it is distributed
to either dispensing or mobile cascade on buses to be delivered to other
daughter stations On an average 325-330 kg of gas is filled in one bus and 1 bus
takes 15 min to fill completely. 11(capacity) * 31(cylinders) * 50(buses) kg of
CNG from HPCL mother station to daughter stations is transferred through bus
cascades daily. CNG dispensing capacity in Ahmedabad is around, 2, 50,000
kgs/day. CNG dispensed (sale) at present: around 1, 50,000 kgs /day.
Cascades are filled at low pressure and out at high pressure at daughter station.
Fillings are done at 30 degree in cascade. Leakage is detected through whistle
and surf solution. Cost of one trip of bus depends upon distance of daughter
station. As we send thru Mobile cascades it is costlier than transportation thru
pipeline. Average spending is Rs 1.6/Kg (HPCL)on transportation of CNG
from mother station to daughter station. It varies on the distance of mother
station to daughter station.
Average no autos visit HPCL mother station is 1200. Vehicle can be filled upto
250m bar pr. There is no harm in it. But generally in crowdie outlets it is

25. - 25 -
common observations vehicle is not filled up at 250m bar pr. because,
Compressor itself supplies at pr 250 bar. Then there is must be some drop of
pressure (10 bars to 15 bars) to dispenser. If no of dispenser is more and
capacity of compressor is less, then it takes time to build up pressure upto 250
bars. So they are being filled up at lesser pressure. Special safety norm are to be
followed in compressor area, electrical room, while filling the cascades,
dispensing gas in auto and also for the auto drivers who come to station for
filling their autos. Even private bus come in CNG .The bus has 130 ltr capacity
tanks which gives an avg of 4 km/kg .Price of the kits is 4 lacs. Kits are bought
from Bombay. Only 3 bus on an average per day visit at HPCL station. Only
Rajdhani and Rajwadi transport from Ahmd to Baroda and south Gujarat visit
the pump.
Minimum ITI is required for operation of compressor, attending of breakdowns
of dispensers. Minimum Graduate engineers are required to run a CNG station.
Different people need different type of training Driveway fillers, compressor
operator, fitter, electrician, supervisor, LCV drivers all can be trained through
in house training program.
Particulars about company owned CNG and LPG gas stations
LPG gas stations - Pune
1. LPG gas stations Started 1.5 years back i.e. in 2004-05
2. Currently there are 8 LPG stations ( Solapur road -3 , Nagar road 2 , B.P
3 , Chinchwad (WIP) 3 )
3. LPG supply is from URAN(Mumbai) through bullet tankers
4. It is requires to take care of safety precautions while transferring and
dispensing the fuel
5. There Cannot be stand alone LPG station unlike CNG gas stations
6. Space required for the installation of LPG station is 18m * 20 as per norms
7. License problem for LPG gas station due to varied norms regarding space
and safety
8. Setting up a LPG station costs around 50 lacs

26. - 26 -
IOC LPG station - Ahmd
1. LPG gas stations Started 2 years back i.e. in 2004
2. LPG supply is from Gujarat Refinery
3. Trip cost 784 800 Rs per ton from site to LPG station
4. Safety measures as per OISD, CCOE are followed
5. It takes around 3 4 months to set up one LPG station
6. LPG vehicle gives more avg than CNG vehicle
7. Commission to retailers on Auto LPG is Rs1200/ton
8. Training is given to workers on safety and proper handling of gas
9. Machinery for LPG station is bought from L & T
CNG gas stations Ahmd
1. CNG gas stations Started 2 years back i.e. in 2004
2. CNG gas stations can function as stand alone or in collaboration with other
companies also.
3. Safety measures as per OISD, CCOE are followed
4. Petrol demand has reduced in Ahmd due increase CNG vehicles
5. Machinery is bought from Italy, Germany, India, New Zealand,
6. CNG tax structure (%) 12.5 % vat, 10.2 % service tax, 16 % excise duty, 3
% Octroi
7. CNG is mixed with odorizing chemical to detect smell i.e. ethyl mercaptan
8. Transferred through Pipes and bullet casket
9. Requires uninterrupted power for compressors, odorizing unit etc.
10. Petrol commission 70 paisa, CNG commission 1 Re.
11. Costing of 1 CNG station.
Compressor 1cr
Dispenser 20 lacs
Cascade 12 lacs
others 5 lacs
Total ~ 1.37 - 1.50 Cr

27. - 27 -
Testing / approving authorities for CNG kits and cylinders
For CNG conversion kits.
Automotive Research Association of India, Pune. ARAI
Vehicle Research Development and Establishment, Ahmednagar
Indian Institute of Petroleum, Dehradun.
For CNG cylinders.
Chief Controller of Explosives, Nagpur.
BIS, New Delhi.
Approved CNG Kits and cylinders used
For 4 wheelers :
Transenergy, India.
Tartarini, Italy
Landi Renzo, Italy
Lovato, Italy
MTM s.r.l, Italy,
Bedini, Italy.
For 3 wheelers :
Vanaz, India
Sagas, India
MTM s.r.l, Italy.
Bedini, Italy
Cylinders :
Everest Kanto, India.
Maruti Koatsu, India.
BPCL, India.
Faber, Italy
Worthington, USA.
Argentoil, Argentina

28. - 28 -
CNG kits are the costliest amonst all the available types of kits .4 wheeler CNG
kits are the most expensive (40 k) this might be one of the reasons for less of
private vehicles getting converted to CNG
3 wheeler LPG kits are the cheapest. As per Vanaz of the CNG and LPG kit
Dealer major problems are Line cleaning and filter cleaning related. Some other
are Pick up problem, average and starting are general problem. These dealers do
not give any financial assistance to customers. Mainly Maruti, Hyundai, Omni,
Santro are the cars that come for conversion in both segments i.e. CNG and
LPG
3 wheeler CNG kits are sold more i.e. 7 kits per day followed by LPG 4
wheeler kits i.e. 4 on avg daily whereas 4 wheeler CNG and 3 wheeler LPG kits
are sold in less no. Price of 3 wheeler kit: - ~15,000 + 200(service) + 150(paper
work) in cash and takes around 3 hrs for installation in auto. If taken on Loan: -
17,500 + 200(service) + 150(paper work). Employees are trained before actual
installation is allowed. 1 year warranty on kits is given.
Company fitted CNG autos
There are 26500 CNG autos in Ahmd which include about 13,500 new CNG
(OEM) rickshaws, and rest are conversion kit based. Demand of CNG auto
(OEM) has increased by 2%.unfortunately there are only 2 dealers in Ahmd
(Deepkamal and Manan motors) .1000 autos are sold per month. They keep
Stock of 50 each 2 and 4 stroke autos. It takes 2 days of delivery, assembling of
accessories at Deepkamal kits come pre fitted from company i.e. from Pune
Bajaj and Waluj (Aurangabad)
Comparative chart showing feature of 2 stroke and 4 stroke CNG Autos
Feature 4 stroke 2 stroke
Average 50-55 60-65
Start Self Kick
Price 1.19 Lacs 1.35 Lacs
Oil 2t Oil No Oil
Kits Minda,Vanaz Minda
Tech Prblem Less More
Sales Less More

29. - 29 -
.
CNG Auto
CNG Dispensing Unit
LPG Gas kit fitted Auto

30. - 30 -
LPG and CNG PUC CENTRE
There is tremendous change in the PUC centers as compared to previous which
were easily manipulated. After the introduction of CNG in the city, to keep a
regular check in the emission norms of CNG vehicles, advanced PUC centers
have being introduced which are completely computerized. These machines do
not allow any kind of manipulation The emissions norms are pre fed in to the
computer, receipt is printed from printer only if the vehicle is following the pre
fed emission norms. The cost to set up such PUC centre is comparatively high
as every thing is computerized. It Costs around 1.90 lacs (gas analyzer
computer, printer, fees) to set up a PUC center
Revised idle emission norms for (CO) and (HC) W.E.F 1-10-04
Sr
no
Vehicle type Manufactured
before(31 3
200)
Manugactured
After(31/3/20
00)
Bharat
stage II
CNG/LPG
CO% HC CO
%
HC CO
%
HC CO
%
HC
1 2 wheeler 2 stroke 4.5 9000 - 6000 - - - -
2 2 wheeler 4 stroke 4.5 9000 3.5 4500 - - - -
3 3 wheeler 2 stroke 4.5 9000 - 4500 - - - -
4 3 wheeler 4 stroke 4.5 9000 3.5 4500 - - - -
5 4 wheeler
(petrol/CNG/LP
G)(Bharat stage II)
3.0 1500 3.0 1500 0.5 750 0.5 750
Government Transport System in Ahmedabad
There is only Single depot I Ahmd unlike other cities having more than 1 depot
like Pune. At one stage when the municipal transport in Ahmd was thinking of
privatizing the transport system, the decision taken by Bhurelal committee to
convert the transport system into CNG based proved to be savior for the
municipal transport, it has not given profits but shown significant reduction in
losses for the Govt as a result today Ahmedabd municipal transport catering
level has risen to 14% as compared to 7% before the introduction of CNG
buses. A detailed study is mentioned in the following section.

31. - 31 -
Since 2004-2005, today no of CNG buses of AMTS on road is 400 and above
this it has placed orders for 210 more CNG buses that are likely to be on road
in six months increasing the fleet to 610. In this fleet there are buses that are
taken from private companies on contract basis. Daily requirement per bus is 70
kg of CNG. These buses produce an average of 5.3 Km/kg. Initially Buses were
running on routes were filling is easier and the route is economical to cover up
the cost of plying the buses on that route and then expand to all the routes.
Talking about the GSRTC, currently there are 200 CNG buses in the State. Out
of which 90 CNG buses are plying on Ahmedabad - Gandhinagar route. 50
more CNG buses are likely to be put up on Ahmedabad- Gandhinagar route in
next six months to make entire fleet of 140 CNG buses on this route. GRTC has
purchased these buses from Leyland Tata. The new bus costs around15.50 lac.
The Old buses are scrapped at 7 lacs. GRTC had 5 biodiesel on trial base, but
did not work as availability and cost were the issue of concern. All the CNG
related issues are taken care by Gujarat CNG act.
Some common issues related to GSRTC and AMTS
1. Buses were bought in lots to avoid the problem of delivery during
purchasing
2. Preventive maintenance training given to drivers, conductors and shop floor
workers
3. EURO II and EURO III STD buses are purchased
4. Special gas filling station for these buses to avoid unnecessary rush and
easy accessibility to fuel.

32. - 32 -
Pune is implementing the LPG system efficiently, when it comes to CNG ,after
meeting one of the officials at the Swargate depot and asking him about the
launch of CNG plan his views were as follows:-
1. Plan to replace buses still can run for next 4 years to buy 300 to 400 new
buses
2. The plan has to be implemented in phases and not at once as it will put
pressure on the authorities at financial and administrative level.
3. A proper coordinated way of planning and implementation should be
amongst all the authorities and departments taking part in the project and
also at the same time should be responsible for it
4. Infrastructure needs to be in place to make the plan properly functional like
the depot capacity needs to increase to accommodate the new fleet of buses.
5. Technically trained Manpower should be ready .
6. The road capacity needs to be widened so that the new fleet does not make
congestion on the roads.
7. This in turn will increase the fuel demand which should be met timely, for
this the no of fuel station should be expanded.
8. Demands should be met with adequate and timely supply.
9. All rules and regulation should be properly drafted before the plan comes to
existence.
10. New system should not add financial burden on the general public, so a
well planned strategy should be made for the smooth and long running of
the system
11. The authorities should be ready to bear the loss or enjoy the benefit of the
new system.

33. - 33 -
Statement showing comparative cost analysis of CNG and diesel vehicle per km
Sr no Particulars CNG vehicle Diesel vehicle Difference
1. Capital cost in Rs(chassis
and body building)
16.70 lacs 11.98 lacs +4.72
2. KMPL 5.30 5.60 -0.30
3. Fuel cost in Rs 27.57 per kg 35.53 per ltr -7.76
4. Maintenance cost in paise 97 97 0
5. Spare parts cost in paise 30 30 0
CNG and LPG in two wheelers
Weight of kit, lack of space and safety issues adds to the difficulty in designing
and thus retricting 2 wheeler CNG and LPG vehicles to be adopted legally. But
still Many cities have already adopted it illegally like kozhikode, Bangalore
(Dhanyalaksmi Bangalore) etc.Illegal installation of gas kits costs around Rs
3000 ( ACTIVA) gives an economic average of 20 paise per km. Bajaj Auto
Ltd is to come up with first ever LPG based 2 wheeler .

34. - 34 -
1. No. of CNG stations of leading oil companies In Ahmd
Interpretation
1. Adani been private player has 25 CNG stations whereas HPCL even
though been Govt undertaking , just have 10 CNG stations which means
there lies scope for private players to invest in these growing business as
Govt is giving a helping hand to it.
2. The above CNG stations include mother stations, booster station and
daughter stations as well.
Leading Oil Companies Nos
Adanis 25
HPCL 10
Total 35
No of CNG Gas stations of leading oil
companies
25, 71%
10, 29%
Adanis
HPCL

35. - 35 -
2. No of LPG stations in Pune and Ahmd
City Nos
Ahmedabad 10
Pune 7
LPG stations in Pune and Ahmedabad
10
7
0
2
4
6
8
10
12
Ahmedabad Pune
City
Nos
LPG station
Interpretation
Ahmedabad being metro city just has 10 LPG stations on the other hand Pune
having ¾ of population than Pune has 7 stations secondly Ahmedabad had
implemented the system long back than Pune then too it has just got t 10 which
means Ahmedabad not stressing on LPG whereas Pune emphasizing on LPG
and planning to install more 10 LPG station in next 8 months,which signifies
that there must be some constraint for Ahmedabad in terms of using LPG being
used as Auto fuel

36. - 36 -
3. No of CNG and LPG stations in Ahmd
Type Nos
CNG 35
LPG 10
Total 45
Interpretations
From the above graph we can say that 78% (35) of gas stations are of CNG and
remaining 22% (10) is of LPG which says that CNG is being used as dominant
Alternative fuel than LPG in Ahmd. We can also interpret that there may be
strong infrastructural support for CNG which may not be in the case of LPG.
No of CNG and LPG stations in Ahmd
10, 22%
35, 78%
CNG
LPG

37. - 37 -
4. No. of CNG vehicles in Ahmd
Type Nos
Autos 26500
AMTS Buses 400
GSRTC Buses 200
private vehicle 500
Total 27600
CNG vehicles in Ahmd
400, 1%
500, 2%
200, 1%
26500, 96%
Autos
AMTS Buses
GSRTC Buses
private vehicle
Interpretation
1. 96 % of CNG vehicles are autos
2. GSRTC and AMTS i.e. Govt transport is having a slow progress as it just
contributes to only 2% in total vehicles converted
3. Emphasis is not given to private vehicle conversion as it contributes to only
2%

38. - 38 -
5. No of vehicles converted to LPG in Pune
Type Nos
Auto: 4600
3 wheeler (goods) : 780
LMV cars: 10000
Total 15380
No of LPG vehicles in pune
4600, 30%
780, 5%10000, 65%
Auto:
3 wheeler (goods) :
LMV cars:
Interpretation
1. No Govt transport is converted to LPG
2. 65% of vehicles are private vehicles which shows relatively good awareness
amongst citizens
3. Auto conversion to LPG is not to the mark in nos (4600 only) as compared
to the total of more than 10000 autos in Pune

39. - 39 -
6. Hesitation for conversion to LPG Autos in Pune
Factors , Rank Nos
Not enough pumps , I 28
Technical problems , II 15
No knowledgeable service centers , III 10
Loan problems , IV 7
Others , V 20
Total 80
Hesitation for LPG Autos in Pune
28
15
10
7
20
0
5
10
15
20
25
30
Notenough
pumps,I
Technical
problems,II
No
knowldgeabl
eservice
centers,III
Loan
problems,IV
Others,V
Nos
Hesitation
Interpretation
Even though LPG serves as clean and economical fuel there are some
drawbacks when it comes to application part of it like:
1. Most the complain are been received for not setting up enough pumps in
the city
2. There has been some technical problems while handling LPG based autos
which is second major problem faced by the owners
3. Other problems include kit problem, renting better than ownership as no
maintenance tension etc

40. - 40 -
7. Post problems in CNG Autos
Problems , Rank Nos
Start problem , I 29
Pick up problem , II 14
Maintenance problem , II 14
Earnings reduced as no of autos increased , III 10
Others , IV 8
Total 75
Post Problems in CNG Auto
29
14 14
10 8
0
5
10
15
20
25
30
35
Start problem
, I
Pick
up
problem
,
II
M
aintenance
pro...
Earnings
reduced...
O
thers
, V
Problems
Interpretation
Even though CNG serves as clean and economical fuel there are some
drawbacks when it comes to application part of it like:
1. Most the complain are been received for start up problems
2. There has been some technical problems like pick up and maintenance
while handling CNG based autos which is second major problem faced by
the owners
3. Other problems include finance problem, accessories are costly etc.

41. - 41 -
8. Hesitation for CNG and LPG conversion in private vehicles
Factors Nos
Not service and proper kit fitting , I 24
High kit price (40 K CNG, 22 K LPG) , II 15
Buy company fitted cars , III 14
Technical problem , risks , IV 7
Hesitation
24
15 14
7
0
5
10
15
20
25
30
Not service
and proper kit
fitting , I
High kit price
(40 K CNG,
22 K LPG) , II
Buy company
fitted cars , III
Technical
problem ,
risks , IV
Hesitation
Interpretations
As far as private vehicles are concerned, people are hesitant to convert their
vehicle to LPG and CNG as they fear
1. Mainly for service and kit guarantee
2. Secondly the price is matter of concern for CNG kit as it cost around 40,000
so people are waiting it to reduce.
3. Interestingly people are aware of launch of LPG and CNG based cars and
thus are hesitant to convert their vehicles to LPG and CNG which they feel
it a bit risky

42. - 42 -
9. Public Response after introduction of CNG buses
Response , Rank Nos
Speed, punctuality I 19
Comfortable(less noise and better seats) II 14
Less breakdown III 10
others IV 7
Total 50
Public Response after introduction of CNG buses
19
14
10
7
0
5
10
15
20
Speed, punctuality
I
Comfortable(less
noise and better
seats) II
Less breakdow n III others IV
Public Response
Interpretations
People traveling in CNG buses appreciate and majority say that
1. CNG buses are speedy and thus have become punctual
2. CNG buses create less noise and give comfort feeling
3. Technically they are sound and thus have les break downs
4. Other features are ,drivers seat gets less hot, gives a mega city look, no
diesel smell etc
On the other hand it is has not benefited financially; has reduced losses
minutely, cannot be repaired on highways as mechanic not easily available,
more maintenance and frequent complains from drivers.

43. - 43 -
10. Pre CNG and Post CNG RSPM levels in Ahmd
Year Level
2000 190
2001 190
2004 CNG 135
2005 CNG 125
RSPM levels in Ahmd
190 190
135 125
0
50
100
150
200
2000 2001 2004 CNG 2005 CNG
RSPMLEVELS
Interpretations
1. Pre CNG scenario implies that situation was very critical as RSPM m levels
were as high as 190
2. Introduction of CNG has reduced RSPM levels by 34.2 % i.e. from 190 to
125 in 1 year
3. Even though LPG and CNG are both been introduced in Ahmd Majority of
the effect is due to CNG from graph no 3 and 4

44. - 44 -
11. Catering level of AMTS
Year % Need Catered
Pre CNG 7
Post CNG 2004-05 14
Post CNG 2005-06 18
% Need catered by AMTS
7
14
18
0
2
4
6
8
10
12
14
16
18
20
Pre CNG Post CNG
2004-05
Post CNG
2005-06
SCENARIO
%NEEDCATERED
Need Catered
Interpretations
1. As e result of chart 9 the catering level of AMTS has significantly
increased fro 7% to 14% (ideally for developed nations it is 45% - 50%)
2. There has been increase of 100% in the catering level
3. People have shown faith in AMTS
4. Chances of increase I nthe level is high once more of new fleet is
introduced

45. - 45 -
12. Price comparison of various kits
Type CNG kit LPG kit
3 Wheeler 20-23 k 12-15 k
4 Wheeler 38-42 k 15-20 k
Price comparision of CNG and LPG kits
22
13
40
17
0
5
10
15
20
25
30
35
40
45
CNG LPG
Types of kits
Rsin'000
3 Wheel
4 Wheel
Interpretations
1. CNG kits are the costliest
2. 4 wheeler kits are the most expensive (40 k) this might be one of the reason
for less of private vehicles getting converted to CNG
3. 3 wheeler kits are the cheapest

46. - 46 -
6. Findings

47. - 47 -
6. Findings
1. There lies scope for private players to invest in this growing business as
Govt is giving a helping hand to it.
2. Adani play a major role in CNG distribution in Ahmedabad
3. Ahmedabad has 35 CNG station and 10 LPG stations which shows that
Ahmedabad is not stressing on LPG whereas, which signifies that there
must be some constraint for Ahmedabad in terms of using LPG being used
as Auto fuel and it has favorable conditions for CNG setup
4. Pune emphasizing on LPG and planning to install more 10 LPG station in
next 8 months and has not come up with any CNG station yet which shows
that there are constraints for Pune to start with CNG distribution and has
favorable condition for LPG
5. Govt transport is having a slow progress in Ahmedabad as only 200
GSRTC buses are under CNG .This is due to less or no gas stations
available in other cities.
6. AMTS has done comparatively good work in adopting CNG and has helped
in reducing pollution levels to great extent.
7. Emphasis is not given to private vehicle conversion to CNG in Ahmedabad.
8. Auto drivers and private vehicle owners are still hesitant to go with CNG
and LPG due to various reasons as mentioned in earlier section.
9. Citizens of Ahmd are pretty satisfied the way AMTS is functioning
currently.

48. - 48 -
10. The prices CNG kits are much higher than LPG kit which is one barrier to
CNG conversion
11. Cost of setting up a CNG station is much higher than LPG station.
7. Limitations

49. - 49 -
7. Limitations
1. It took long hours to meet and get information from officials.
2. Officials were hesitant to provide data or information
3. As the project has a wide scope, some of the areas had to be neglected
like
4. Technical details, in depth judicial information, various aspects of
pollution etc.
5. As only 1 year has passed in the implementation of the system, no clear
idea was given by the auto respondents as all had bought a new autos so
the fault was not visible instantly ,it will take time of another year for
the real picture to come out
6. As the project duration was in the midst of rains, some time and
schedule constraints were there.
7. As there was email communication between me and some of the
officials , it took some time to collect information and compile it for the
documentation

50. - 50 -
8. Conclusion

51. - 51 -
8. Conclusion
Adopting alternate fuel is nothing but A No Escape Route for the developed
and developing nations. The sooner you welcome it, the better results you
achieve.
The stage is set for expanding the network to other cities. The success of CNG
Expansion Program would depend on many factors. The key factors being the
economy of CNG vis-à-vis other conventional fuels, adherence to safety
guidelines and the Government Support.
Auto LPG is also launched on a large scale in the country. At the end of the
day, it will be the quality of the fuel and economics which would be important
parameters for the commercial success of auto fuel. The emphasis would be on
fuels with lowest emissions. However, CNG is here for the time being till a
better fuel is discovered offering better economics to the users.

52. - 52 -
9. Recommendations

53. - 53 -
9. Recommendations
1. Govt should encourage more private companies so that the combined efforts
would bring early results
2. Policy reforms are needed to support growth opportunities for private
investment
3. Both the fuels should be encouraged so as to have balanced demand and supply
scenario and it does not happen that one fuel is pressurized under demand and
creates rise in its prices
4. Standalone LPG should be allowed just like standalone CNG stations
5. Proper awareness should be promoted amongst the citizens so as to clear their
misconception regarding use of these fuels.
6. Strict action should be taken on sale in branded and cheap kit providers
7. Citizens using gas cylinders in their vehicles illegally should be penalized
severely
8. Openings of more gas station should be encouraged by Govt by loosening the
legalities involved into it.
9. The road capacity needs to be widened so that the new fleet does not make
congestion on the roads.
10. To encourage people, prices of these fuels should not go up drastically.
11. New system should not add financial burden on the general public, so a well
planned strategy should be made for the smooth and long running of the
system.
12. Review meetings should be held periodically to discus the effectiveness of the
system and suggestion to make the system more efficient .
13. Study of geographical spread of CNG vehicles movement is a must analyze the
peak demand at individual CNG stations
14. Involvement of local government/transport authorities
15. Genuine cylinder kits and spare parts be used for CNG vehicles

54. - 54 -
16. Development of CNG infrastructure needs to be in line with growth of CNG
vehicles avoid accidents
17. Suitable codes/standards are to be in placed for CNG kit fitment, testing etc.
10. Abbreviations

55. - 55 -
10. Abbreviations
Ahmd AHMEDABAD
CNG COMPRESSED NATURAL GAS
LNG LIQUIFIED NATURAL GAS
LPG LIQUIFIED PETROLEUM GAS
ARAI AUTOMOTIVE RESEARCH AUTHORITY OF INDIA
PMC PUNE MINCIPAL CORPORATION
PMT PUNE MINCIPAL TRANSPORT
RTO ROAD AND TRANSPORT OFFICE
BPCL BHATRAT PETROLEUM CORPORATION LTD
IOC INDIAN OIL CORPORATION
HPCL HINDUSTAN PETROLEUM CORPORATION LTD
GSPC GUJARAT STATE PETROLEUM CORPORATION
GSRTC GUJARAT STATE ROAD AND TRANSPORT CORPORATION
GPCB GUJARAT POLLUTION CONTROL BOARD
AMC AHMEDABAD MUNCIPAL CORPORATION
AMT AHMEDABAD MUNCIPAL TRANSPORT

56. - 56 -
11. Bibliography

57. - 57 -
11. Bibliography
1. Research methodology C.R Kothari
2. ARAI Library
3. Printed record from GPCB ,GSPC ,HPCL ,GSRTC ,PUC outlet
4. Star news
5. www.Google.com
6. www.altfuels.com

58. - 58 -
12. Annexure

59. - 59 -
12. Annexure
Questionnaire For Autos and Private Vehicle Owners
1. Place:-___________________________
2. Name and Type of vehicle :- Mention type in the box
CNG LPG
3 Wheeler
4 Wheeler
3. Vehicle Age:- Tick the option applicable
A. 6 months - 1 year
B. 1 year 1.5 years
C. more than 1.5 years
4. Problems:- Mention first 5 basic problems
a. _______________________________
b. _______________________________
c. _______________________________
d. _______________________________
e. _______________________________
5. Benefits:- Mention first 5 significant benefits
a. _______________________________
b. _______________________________
c. _______________________________
d. _______________________________
e. _______________________________

60. - 60 -
6. Suggestions :- Technical, Administrative, Safety, Economical etc
_____________________________________________________
Questionnaire For Public response on Public Transport
1. Do you travel by public transport: - Yes / no
If Yes then, how frequent
a. Daily b. Most of the times c. sometimes
Current experience: - Good / Bad ,mention 4 features
a. _______________________
b. _______________________
c. _______________________
d. _______________________
Previous experience: - Good / Bad ,mention 4 features
. a. _______________________
b. _______________________
c. _______________________
d. _______________________
2. Suggestions( if any ): -_____________________________________

61. - 61 -

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