Picture + Text: NGVA description Copyrights, photocredits

Transcription

1 REPORT of ACTIVITIES 2016/2017

2 Picture + Text: NGVA description Copyrights, photocredits NGVA Europe is a European association that promotes the use of natural and renewable gas as a fuel in vehicles and ships. Founded in 2008, it currently comprises more than 140 members from 40 countries. The association is a platform for industry involved in the production and distribution of vehicles and natural gas, including manufacturers of components, gas suppliers and gas distributors. It defends their interest to European decision makers to create accurate standards, fair regulations and equal market conditions. NGVA Europe creates networks with interested stakeholders to reach consensus on positions and actions that could expand the market for Natural Gas Vehicles (NGVs). It also collects, developments in this market. Copyright NGVA Europe, June 2017 Photo credits: NGVA Europe, Shutterstock, European Commission, thinkstep. Registration number: ROA-PP-V1 02

3 Index Foreword from the President Foreword from the Secretary General Milestones and achievements Focusing on key policies NGVA Europe 2017wish list Review of activities > Policies addressing infrastructure (DAFI) > EU Norm for natural gas and biomethane published > Increase use renewable gas for a clean future-red II > Defining clean vehicles > EU standards for CNG and LNG stations > Consumer awareness: New proposal on fuel price comparison > LNG fueling instructions unified in the Netherlands > LNG strategy: Solutions for freight and maritime transport > Other activities: European Projects Index Financial instruments > Road & maritime gas infrastructure projects > Horizon 2020: Accelerating R&D for NGVs Need for real low-emission vehicles Greenhouse gas emissions from natural gas Vision g-mobility NGV market statistical report Best practice examples Communication Events Collaborations Board and Secretariat Working committees Members directory Shutterstock 03

4 Foreword from the President Foreword from the President Ladies and Gentlemen, The transport sector is key for the European economy, and a vital part of our modern society. Not only does it provide a means by which millions of Europeans get from A to B, but freight transportation is essential for shifting goods within and among our countries, which in turn creates jobs that boost the economy. So, there is a clear need to provide EU citizens with contribute to improving the air quality of the cities in which we live, as well as help achieve Europe s climate goals. Several challenges need to be overcome in order ensure Europe meets these goals and in particular the 2030 decarbonisation targets. The transport sector is doing its best to to ensure we get there, but it can only happen through continued dialogue with policy makers. We cannot miss the chance to provide our transport operators and citizens an option that helps improve quality of life for all of us. But it should be done in such a way that it allows access to affordable energy including from renewable energy sources, by using the best available technology. NGVA Europe stands for the use of gas in transport, including gas from conventional, as well as renewable sources. Clean mobility therefore does not have to mean only electromobility. The debate about the origin of energy 04

5 Foreword from the President should be opened up for further discussion. It is how energy is produced that will determine the impact the fuel has on the decarbonisation targets. Therefore, a technologyneutral approach, needed for a fair market development, can only be guaranteed analysing the origin of the energy Well-to-Wheel approach. We have openly embraced that debate by releasing the study Greenhouse Gas Intensity of natural gas which provides a deep analysis of the sources of greenhouse gas (GHG) emissions throughout the entire natural gas value chain. This study should go some way in clarifying the important facts in this debate. Gas, be it natural or renewable, is a viable and readily available solution for decarbonising the transport sector. Within the past year, several mayor companies related with the gas infrastructure and vehicle manufacturers have committed, full speed ahead, to developing a strong infrastructure that will provide consumers the choice to drive on gas on our European roads. Gas in transport should be more fully acknowledged as a viable alternative automotive fuel that brings natural gas in the maritime sector is proof of the fuel s excellent performance in reducing emissions compared with conventional fuels and solutions. Gas in transport should be more fully acknowledged as a viable alternative automotive fuel that brings important benefits for consumers, the environment and the economy. We have a long road ahead to change our current transport system, but natural gas is part of the solution in this exciting task and can help us drive closer towards Europe s climate goals. Kind regards, Dr. Gerhard Holtmeier 05

6 Foreword from Secretary General Foreword from Secretary General Ladies and Gentlemen, It is a great pleasure for me to address you in this year s annual report as the new Secretary General of NGVA Europe is already shaping up to be a good year for our association and industry as a whole. The begun to bear fruit with a growing compressed infrastructure taking root throughout Europe. Transport remains high up on the European Commission s agenda. Back in June 2016, the EC published its strategy for low-emission mobility, which is currently being evaluated in the European Parliament. Along with this Communication, several topics were highlighted that would determine NGVA Europe s agenda in the recent and future months. The need to develop alternative fuels has become a priority, and with it the debate about some of the myths and assumptions of what constitutes clean in transport should be more readily acknowledged in the continuous discussions on air quality. Natural gas vehicles (NGVs) should be given access to Low Emissions Zones (LEZ) in cities, and public procurement gas as one of the main options, as highlighted in the revision of the Clean Vehicle Directive (CVD). 06

7 Foreword from Secretary General G-mobility and its range of options, from CNG to LNG and all the pathways to produce renewable gas, will be key in decarbonising the transportation sector in Europe and beyond. The Directive of Alternative Fuels (DAFI), along Union programme, Connecting Europe Facility (CEF), have provided an incentive to the industry to develop more CNG and LNG refuelling points, along with new vehicles. France, for example, has points, while Romania, has ambitious plans to use gas as an ideal fuel for city transport and cars. New CEN standards for CNG and LNG stations, in which NGVA Europe has been actively involved, have gone a long way in encouraging the development of new infrastructure A transparent pricing system enabling customers to understand better the real cost of the various alternative options on the market became reality, with several parties agreeing on the need to base comparisons on energy content. The revision of the CO 2 emissions targets for cars and vans, and later for heavy duty vehicles, will be decided by the end of this year. For this, NGVs are an effective solution neutral approach. This argument will be supported by the greenhouse gas study commissioned by NGVA Europe an important technical document that supports our advocacy actions and which mainly focuses on the passenger cars sector and heavy-duty applications. against climate change. E-mobility is not the only solution. G-mobility and its range of options, from CNG to LNG and all the pathways to produce renewable gas, will be key in decarbonising the transportation sector in Europe and beyond. We have a long road ahead and we look forward to working with you to achieve our common goals. Best regards, Andrea Gerini 07

8 0 NGVs in EU28 + EFTA REPORT of ACTIVITIES 2016/2017 Milestones and achievements JUNE 2016» NGVA Europe organised their annual event within the TEN-T days exhibition in Rotterdam» Presentation of the 2030 NGV Roadmap» NGVA Board of Directors now comprises 27 members SEPTEMBER 2016» First LNG stations opened in Germany as part of the LNG Blue Corridors project» NGVA Europe s Training Task Force organised a training course in the UK OCTOBER 2016» Launch of the Greenhouse Gas Intensity on Natural Gas Study» EC released 1.9 billion for transport projects via the CEF JULY 2016» Publication of the 2015 NGV Statistical Report» EC launched the European low-emission mobility strategy Total number of NGVs The total number of natural gas vehicles in the 28 European Member States and the countries that are part of the European Free Trade Association (EFTA) in 2015 is 1,272,852. This equals to an 9% increase in total from the last year. NATURAL GAS VEHICLE MARKET DEVELOPMENT APRIL 2017 A year» NGVA Europe published position paper on the CO 2 targets for cars and vans» Presentation on the Clean Vehicle Directive (CVD) revisions to the stakeholder meeting in review Milestones and achievements

9 Milestones and achievements NOVEMBER 2016» Joint statement on renewable gases to decarbonise European energy mix» LNG strategy revealed strong support for LNG as a transport fuel» GasNaturally organised dinner debate in Parliament focused on transport DECEMBER 2016» EC published RED II (Renewable Energy Directive II)» NGVA Europe met European Commissioner for Transport, Violeta Bulc JANUARY 2017» Workshop on low pressure LNG connector proposal held at NGVA Europe, Brussels» Erik Postma joined NGVA Europe as Technical and Regulatory Affairs Manager MARCH 2017» Andrea Gerini joined as new Secretary General of NGVA Europe» NGVA Europe presented preliminary results of the Greenhouse Gas Intensity on Natural Gas Study at NGV Global 2017 events and UNECE group of gas experts FEBRUARY 2017» Kick-off meeting on the revision of the Green Public Procurement criteria for transport» IRU publish report on Commercial Vehicles of the Future (CVOF) MAY 2017» NGVA Europe published the Greenhouse Gas Intensity on Natural Gas Study» Publication of the NGV Catalogue 2017 JUNE 2017» NGVA Europe annual meetings and conference held in Barcelona» Publication of 2016 NGV Statistical Report 09

10 Focusing on key policies Focusing on key policies In July 2016, the European Commission presented its long-anticipated strategy for decarbonising the transport sector, entitled A European strategy for low-emission mobility. This was followed by the publication on 31 st May 2017 of the road transport package Europe on the move- An agenda for a socially fair transition towards clean, competitive and connected mobility for all. This communication sets the agenda for NGVA Europe in the months and years to come. According to the 2016 strategy, natural gas use in transport is expected to rise as it becomes increasingly used as an alternative for marine fuels in shipping, and a substitute for diesel in lorries and coaches. Renewable gas, biomethane and synthetic methane (power-to-gas technologies), are also key further decarbonising the transport sector. 10

11 NGVA Europe 2017 wish list NGVA Europe 2017 wish list CO 2 CREDITS IN VEHICLE HOMOLOGATION FOR RENEWABLE GAS. In Switzerland, for example, 10% biomethane in the gas mix results in a 10% CO 2 credit in addition to the CO 2 homologation value. Well-to-Wheel approach must be part of the methodology evaluating the solutions, for a fair comparison of the CO 2 footprint among different powertrains. USING NATURAL GAS TO IMPROVE AIR QUALITY Natural gas vehicles must therefore be acknowledge as a key solution INCENTIVES TO USE RENEWABLE GAS IN TRANSPORT A long-lasting drive to bring renewable gas to the transport sector is needed to enable private investments in production capacities and R&D activities. SUPPORT FOR DEVELOPING CNG AND LNG INFRASTRUCTURE THROUGH THE DIRECTIVE OF ALTERNATIVE FUELS IMPLEMENTATION AND HARMONISED STANDARDS ARE NECESSARY. Clear targets for NGVs must be included in the plans from Member States, including the harmonisation of standards when necessary. FAVORABLE FUEL PRICE TAXATION Favorable price differentials to support a 10% NGV market share as critical mass by 2030, must be ensured by sustainable EU taxation, supporting such low-carbon and low-pollution solutions. TRANSPARENT AND CLEAR FUEL PRICING SYSTEM Natural gas is currently being sold in kilogrammes, which is different from petrol and diesel sold in litres. As such, customers are therefore not receiving clear pricing information. A fair and technology-neutral way to achieve this is to price all fuels based on energy content, so that they are directly comparable. TECHNOLOGY-NEUTRAL APPROACH Current legislation targeting decarbonisation only refers to Tank-to-Wheel CO 2 emissions. This approach is misleading when comparing different solutions based on fuels or on energy carriers. To ensure a technology-neutral approach Well-to-Wheel CO 2 emissions must be taken into account. AN OFFICIAL AND PERMANENT COMMITMENT TO CNG AND LNG MOBILITY IS NEEDED IN CURRENT AND FUTURE POLITICAL COMMUNICATIONS AND DECISIONS NGV technology offers a wide range of clean solutions for supporting both personnel mobility and freight transport. Under a technology-neutral approach natural gas must be clearly considered as key solution for both decarbonisation and air quality targets. 11

12 Review of activities EU Norm for natural gas and biomethane published Policies addressing infrastructure (DAFI) The Directive on the Deployment of Alternative Fuels Infrastructure (DAFI) (2014/94/EU), published in 2014, addresses the lack of infrastructure for alternative fuels and provides the mandate to develop a comprehensive network of CNG and LNG refuelling stations. The plan set out includes CNG in cities by 2020, CNG/ LNG along the TEN-T core network by 2025, LNG for shipping by 2025 and for inland navigation by The CEN/TC 408 working group published a new European standard on the quality of natural gas and biomethane used as an automotive fuel (EN: ). This new EU norm will go some way in ensuring the much-needed standardisation for renewable gas in transport. Following research highlighting the impact of siloxanes on the environment, it was agreed that the maximum level of siloxanes in natural gas would be set at 0.3 milligrammes per standard cubic metre (mgsi/ m3). Other parameters, for example, the amount of metre (mgs/m3), while methane is set at a minimum of 65. A higher grade has been introduced as an example to be adopted for premium natural gas quality, with higher methane number and lower total sulphur levels. This standard was highly debated and with its publication the injection of biomethane across EU countries is now regulated and this may have a positive impact on the increase of the use of renewable gas as a transportation fuel. European Union Member States were requested to provide, by November 2016, the so-called National Policy Frameworks (NPF s) plans showing how they intended to implement the DAFI. Unfortunately, several plans have still not been submitted, and by May 2017 only 19 countries had presented their NPFs. The European Commission has now opened infringement procedures with those countries still lagging behind. The Commission is currently carrying out an impact assessment to evaluate whether the targets and objectives included in the national plans are clear and ambitious enough. This analysis should be published by November NGVA Europe is following this process closely via the Sustainable Transport Forum (STF), an expert group on alternative fuels that comprises 32 key stakeholders and representatives from the 28 Member States. The STF deals with DAFI implementation and also assesses any relevant forthcoming transport policies. 12

13 Review of activities Increase use renewable gas for a clean future - RED II In November 2016, the European Commission published its Clean Energy for all Europeans package, which is an important part of the legislative framework supporting EU and global climate targets. As part of the package, the proposal for a Directive on the promotion of the use of energy from renewable sources, the so-called Renewable Energy Directive (RED II) represents a key opportunity for the NGV sector. from food crops. But this Directive was amended in One of those amendments At the same time, the EU executive also raised the share of other low-emissions This presents an opportunity to increase the use of renewable gas in transport, as gas provides an immediate solution to the many challenges tackled in the package. As a response to the Renewable Energy Directive (2009/28/EC), in December 2016 NGVA Europe published the joint statement outlining the message that: Renewable gases can play a vital role in decarbonising Europe s energy mix. The statement was signed by companies and associations representing biogas, hydrogen producers, gas infrastructure operators, gas suppliers and vehicle manufacturers along with NGVA Europe. 13

14 Review of activities Defining clean vehicles The European Commission is currently evaluating the revision of Directive 2009/33/EC on the promotion requires that public authorities consider certain energy and environmental impacts when purchasing road vehicles. An impact assessment of the various options available is under way. Any new revisions will likely be aimed at further supporting the EU s policy objectives on mitigating climate change and air pollution, as well as stimulating the market for clean vehicles and increasing competitiveness. At the same time, the EU Green Public Procurement Criteria for Transport is also under going revision. This is currently a voluntary instrument, meaning that Member States and public authorities can determine the extent to which they implement it. However, it could be that it is being considered as part of the revisions of the CVD and national legislation implementing this Directive. zero-emissions vehicles. Combustion engines running on natural gas, for example, have low- carbon dioxide (CO 2 ) emissions and those fuelled by renewable gas have close to zero CO 2 emissions. In addition, NGVs have extremely low levels of pollutants compared with other conventional fuels and should, therefore, not be banned from accessing European cities. This new procurement policy should also EU standards for CNG and LNG stations The EU norm for CNG and LNG stations is ready and will be published later in At the start of 2017 the technical committee of CEN TC 326 decided that ISOs for both CNG stations (16923:2016) and LNG stations (16924:2016) would be directly incorporated into the CEN framework. A foreword will be included at the beginning of each of these two adapted ISO standards highlighting their interoperability. Both standards are expected to be published by the end of this year. Standardisation for CNG and LNG vehicles in use, as well as refuelling appliances for natural gas vehicles which was also included in the DAFI to improve connections throughout Europe, will follow next year. The Dutch example Standardised risk analysis for CNG and LNG included within Dutch norms The Netherlands has gone beyond the EU and ISO norms to incorporate risk assessments including: scenarios and consequences and approaches to reduce any risks into their local norms for CNG and LNG stations. This sets standards for the permissions procedures of CNG and LNG stations, which in turn will reduce barriers for operating such stations. This Dutch published that includes a risk assessment. 14

15 Review of activities Current situation CNG 1/KG DIESEL 1,21/L PETROL 1,3/L VS Reality CNG DIESEL PETROL 0,08 /kwh 0,12 /kwh 0,15 /kwh Consumer awareness: New proposal on fuel price comparison Raising consumer awareness about the true cost of the various types of transport fuels on the market is essential acceptance for alternative fuels. A transparent pricing structure, for example, that is simple and straightforward would go a long way in enabling customers to make such comparisons and evaluate the relative cost of all fuels. Article 7(3) of Directive on the Deployment of Alternative Fuels Infrastructure (DAFI) (2014/94/ EU) states that: Where appropriate, and in particular for natural gas and hydrogen, when fuel prices are displayed at a fuel station, a comparison between the relevant unit prices shall be displayed for information purposes. In this regard, the Commission is working on a methodology for comparing alternative fuel prices. NGVA Europe recently outlined its position in a presentation to the European Commission s workshop on Fuel Price Comparison. We believe any comparison should be based on the energy content of fuels. Prices expressed in energy unit is the best option and even more transparent than a petrol litre equivalent. Furthermore, it is important that all fuels, including the ones calculated in litres, (i.e. petrol, diesel and LPG) should also be covered by the new methodology. Following any decision, Member States should be guaranteed the possibility, and legally entitled, to display the pricing structure at refuelling points. 15

16 Review of activities LNG strategy: Solutions for freight and maritime transport LNG fuelling instructions unified in the Netherlands Shutterstock procedures in the Netherlands. This new procedure is throughout the Netherlands. Such standard procedures improve safety, reduce barriers preventing entry into the LNG transport market and ease access to LNG stations. In October 2016, the European Parliament adopted which revealed strong support for LNG in transport as a fuel that could reduce greenhouse gas emissions. The strategy highlights that the use of CNG and LNG in transport, including both road and maritime Furthermore, it provides the incentive for Member States to implement the DAFI Directive by developing CNG and LNG points along the TEN-T corridors, thus replacing the more polluting conventional fuels. CNG and LNG are also put forward as a viable solution for public transport to reduce noise and air pollution. The potential of power-to-gas technology also gets a mention as a means by which renewable energy can be stored, and used as carbon-neutral gas for transport among other uses. The EU LNG Strategy supports the Commission s proposal enabling the use of biomethane and other renewable gases. In doing so, it could mean that CNG and LNG move from being considered a transitional solution that reduces the environmental impact of the transport sector in the short term to a longer-term solution if it were to include the transition towards increased use of renewable gas. However, the EU LNG Strategy also points to methane slip as an issue that should be solved by optimising the whole lifecycle process of fuel production. Adequate investment in R&D will be needed to solve this issue, a point that is tackled in NGVA Europe s recent study entitled Greenhouse gas intensity of natural gas 16

17 Review of activities Moving on clean fuel: LNG Blue Corridors After just four years, the LNG Blue Corridors project has exceeded expectations, surpassing the original goal of having 100 heavy-duty trucks on European roads. The number is set to reach 150 any time soon. This positive who are committed to using LNG for the advantages LNG BLUE CORRIDOR MID TERM RESULTS DIESEL LNG Vehicles running on LNG can store approximately three times the energy content of those running on the equivalent volume of CNG, hence the interest among long-distance vehicles such as heavy-duty trucks. 29,6 L VS. 22,9 KG 735 G CO 2 /KM VS. 623 G CO 2 /KM 15% CO 2 Source: LNG Blue Corridors (March 2016) Training In 2016, NGVA Europe organised a series of training courses in the UK. The content was prepared by NGVA Europe s Training Coordinator, Carl A. Wagner from TUV Rheinland. Topics included an in-depth look into the European and international regulations for gas vehicles and their components. On demand, NGVA Europe is in measure to offer a wide choice of general and technical training. courses is to provide companies, their employees and other interested parties with precise information that promotes a broad understanding of certain technical and legal matters. Participants can learn about all aspects relating to NGVs using gas/biomethane as a vehicle fuel, and include generic training as well as in-depth education on, for example, international regulations or rules at ECE and ISO level. 17

18 Financial instruments Financial instruments Decarbonising transport and developing the necessary infrastructure for alternative fuels has meant a new set of tools, initiatives and platforms to support these priorities. In its White Paper on XX published xxx, the European Commission emphasises the need to focus the NGV industry in rolling out additional infrastructure for refuelling; assist with the cost of developing new technology; or improve vehicle performance and availability are highlight below. Connecting Europe Facility (CEF) The CEF is primarily aimed at completing the for project proposals was launched in 2010, and since then several annual calls have followed. The CEF funding budget for transport for the period amounted to 24 billion. instruments such as guarantees and project bonds. Under the innovation programme there is dedicated funding to develop alternative refuelling infrastructure along the TEN-T corridors, including for compressed natural gas (CNG) pilot projects for alternative fuels through this programme. Such support has enabled innovative, alternative fuel solutions to prove their potential on the European market. Improvements in the urban nodes situated on the TEN-T networks are also eligible for funding. In previous projects, the focus of funding for urban nodes) and long-distance transport has varied. For cities, priority has generally been given to electricity, fuel cells, hydrogen and CNG projects. For long-distance transport, there is a predominance of LNG and CNG. Renewable gas, which is part of the required actions to further develop CNG refuelling points, has recently received increased attention. budget that will be available for the period post 2020, and there are indications that a dedicated programme for alternative fuels will be created. CEF BUDGET : 24 BILLION First call (2014) Second call (2015) Third call (2016) 12.7 billion 6.7 billion 1.9 billion Budget left 2.7 billion Unused allocated budget to be used in Source: European Comission, INEA 18

19 Financial instruments In February 2017, the European Commission launched the Blending call, following the Commission s strategy for lowemission mobility under the Energy Union. This call combines 1 billion together with other EU support mechanisms such as the European Fund for Strategic Investments (EFSI) which is part of or the National Promotional Banks) and the private sector. The call focuses on the core network and does not include special funding for cohesion countries. There is a budget of 140 million under the innovation programme. Projects, with a minimum size of 10 million, can receive up to a maximum funding rate of 20% of the overall budget. CNG and LNG are part of this call for proposals, which attention in this call has been given to the cleaner transport facility in order to accelerate deployment of cleaner transport vehicles, as well as the associated charging facilities and refuelling infrastructure, prompted by the Directive for Alternative Fuels Infrastructure (DAFI). Deadlines for submissions are July and November European Fund for Strategic Investment (EFSI) This instrument was established in 2015 with a 315 billion Investment Plan aimed at boosting investment in projects that would lead to job creation. It consists of a guarantee fund provided by the Commission to the European Bank of Investment (EIB) to enable the latter to invest in projects that have a certain degree of risk. Contrary to the instruments covered above, EFSI support is not a subsidy: it can take the form of a loan, a guarantee or a bond subscription. This is targeted at large-scale deployment projects. alternative fuels, can be submitted to the EIB for consideration. The combination of grants (CEF) and loans (EFSI) provides interesting funding opportunities for the NGV industry. European Structural and Investment Funds (ESIF) Sustainable mobility is one of the thematic priorities of the ESIF for the period , hence to demonstration and large-scale deployment would also be eligible for support under this tool. support, cities should liaise with the relevant managing authority in their country. 23

20 EU funded projects EU funded projects Road projects 1 Bio-LNG Country: UK Investment: 16,4 million, 35% EU support. Completed: April December Study and deployment of 5 bio-lng refueling stations FUTURE-PROOF FUELS 6 LNG Bremen Country: Investment: 13,6 million, 50% EU support. Ongoing: June June Production and supply of bio-lng for transport and several satellite CNG stations. 16 BioMovLNG Country: France Investment: 11 million, 20% EU support. Ongoing: January September Biogas production, storage facilities and 6 LNG stations. 2 GARneT Country: Spain Investment: 3,8 million, 50% EU support. Completed: April December GARneT- Gas as an Alternative for Road Transport. Study and deployment of 7 LNG refueling stations trails, also mobile. 7 Connect2LNG Country: France, Germany Investment: 9 million, 50% EU support. Ongoing: October September Study and pilot deployment of 5 LNG stations. 18 SiLNGT Country: Croatia, Slovenia Investment: 2,4 million, 50% EU support. Ongoing: October September The deployment of 3 LNG refueling stations in both countries. End date: Long4Haul Country: the Netherlands Investment: 7,8 million, 50% EU support. Completed: March December To determine the viability of LNG as an alternative fuel for medium and long distance road transport. Constructions of 5 LNG and bio-lng refueling stations. Greening road transport Country: Belgium Investment: 1 million, 50% EU support. Completed: March December LNG refueling infrastructure network deployment. Construction of 1 LNG refueling station GREAT Country: Sweden, Denmark, Germany Investment: 13,9 million, 50% EU support. Ongoing: January March GREAT- Green REgions with Alternative fuels for Transport. Study and deployment of alternative fuels charging points, including 3 CNG and LNG refueling stations. LNG/L-CNG in Finland Country: Finland Investment: 5,2 million, 50% EU support. Ongoing: January August Study, deployment and testing of 4 LNG/L-CNG refueling stations CNG in Ireland Country: Ireland, UK Investment: 18,2 million, 40% EU support. Ongoing: February December Deployment of 17 CNG stations in Ireland and North Ireland. LNG Motion Country: France, the Netherlands Investment: 55,5 million, 40% EU support. Ongoing: February December The deployment of 42 LNG stations across Europe (France, Belgium, the Netherlands, Germany, Poland, Spain, Italy, Hungary and Romania). The deployment of 200 LNG trucks. Feasibilty study on Bio-LNG LNG Portugal Country: Portugal Investment: 1 million, 50% EU support. Completed: April December Fast tracking the deployment of a European low carbon transport system: the Portuguese Roadmap for LNG in TEN-T corridors. BioGac Country: Sweden Investment: 1 million, 50% EU support. Ongoing: January March BioGac- Biomethane and LNG in the North for growth and competitiveness in EU. Constructions of 5 LNG and bio-lng stations LNG infrastructure in Poland Country: Poland Investment: 1 million, 50% EU support. Ongoing: March June Analysis of the LNG market and construction of 2 LNG stations. Alternative fuels stations in Poland Country: Poland Investment: 1,7 million, 85% EU support. Ongoing: April June Study optimizing the functioning and deployment of alternative fuel stations of the TEN-T core network. Study about use of CNG/LNG and constructions of a pilot station in Warsaw LNGAFT Country: Slovakia Investment: 5 million, 85% EU support. Ongoing: October December Deployment of 1 LNG station and real-life trial of 15 LNG buses. CNG Clean Fuel Box Country: Hungary Investment: 11,6 million, 85% EU support. Ongoing: October December The deployment of 39 CNG stations and 50 CNG vehicles Innovative gas solutions for road transport Country: UK, the Netherlands Investment: 10,8 million, 46% EU support. Ongoing: January December in 6 locations in UK and 4 in the Netherlands. 15 PAN-LNG Project Country: Hungary Investment: 16,9 million, 85% EU support. Ongoing: June September Study, works and pilot deployment of 5 CNG/L-CNG stations and small scale liquefaction plant. 23 chameleon Country: Spain, Slovenia Investment: 2,7 million, 50% EU support. Ongoing: February June Deployment of 3 L-CNG stations in 3 strategic ports (Barcelona, la Jonquera and Ljubljana) CNG Connect Country: Belgium Investment: 2,9 million, 50% EU support. Ongoing: January December located mother stations and several satellite CNG stations. 17 BESTWay Country: France, Spain Investment: 7,7 million, 50% EU support. Ongoing: September June Deployment of 9 LNG refueling stations along the Atlantic Corridor. 24 CNG Romania Country: Romania Investment: 5,2 million, 85% EU support. Ongoing: March December Deployment of 9 CNG stations in Romania

21 EU funded projects EU funded projects Maritime projects GAINN 4 Ship Innovation Country: Spain Investment: 15 million, 50% EU support. Ongoing: January December LNG Technologies and Innovation for Maritime Transport. Real LNG Country: Germany, the Netherlands Investment: 40 million, 30% works, 50% studies EU support. Ongoing: January June ReaLNG: Turning LNG as marine fuel into reality in the North Sea-Baltic region. Deployment of LNG in the area, by providing a bunkering vessel and LNG-related infrastructure in the port of Rotterdam and Port of Lubeck. HEKLA Country: Lithuania, Sweden Investment: 28,7 million, 35% EU support. Ongoing: January December HEKLA - Helsingborg & Klaipeda LNG Infrastructure Facility Deployment. A liquefaction plant with storage tank to be built in the port of Helsingborg, while an onshore LNG reloading station, enabling the direct bunkering to vessels as well as to LNG auto-trailers built in the Port of Klaipéda. Pilot LNG-powered RoRo ship Country: The Netherlands, Germany Investment: 7,4 million, 50% EU support. Ongoing: January December Pilot LNG-powered multipurpose Ro-Ro ship. The implementation of new technologies and innovation by on-roll off (RoRo) multipurpose ship to be in operation. GAINN4Mos Country: France, Spain, Italy, Portugal, Slovenia Investment: 41,3 million, 50% studies, 30% works EU support. Ongoing: January September Sustainable LNG Operations for Ports and Shipping - Innovative Pilot Actions. GAINN4MOS is a twinned Action among a number of Member States which contributes to the implementation of the LNG bunkering project in the Atlantic and the Mediterranean. CORE LNGas hive Country: Portugal, Spain Investment: 33,2 million, 50% works EU support. Ongoing: January December deployment of LNG infrastructure for maritime transport and ports operations along the Spanish and Portuguese sections of the Atlantic and Mediterranean Core Network Corridors in line with the corresponding Corridor Work Plans. GAINN4MOS Country: Croatia, Spain Investment: 1,5 million, 85% EU support. Ongoing: January September Sustainable LNG Operations for Ports and Shipping - Innovative Pilot Actions. GAINN4MOS is a twinned Action among a number of Member States which contributes to the implementation of the LNG bunkering project in the Atlantic and the Mediterranean. This part of the action will develop an engineering study of the future LNG pilot bunkering station in Rijeka LNG Deployment in Inland Waterways Country: The Netherlands Investment: 72,2 million, 50% EU support. Ongoing: January December Breakthrough LNG Deployment in Inland Waterway TransportReduce the investment barrier for the ship owners with the aim to facilitate large scale implementation of LNG in inland navigation; by standardization of type of thus forcing a breakthrough in the LNG market. LNG Logistics Country: France Investment: 1,7 million, 50% EU support. Ongoing: August October LNG logistics objective is to develop a European LNG distribution network for inland waterways. It includes a case study that will be implemented in the North Sea Mediterranean corridor, in particular, in the Rhone-Saone basin, from the maritime port of Marseille to Dijon (Pagny), including some Medlink inland ports for inland facilities such as Salaise, Villefranche sur Saône or Mâcon. S/F Samuel LNG Country: France, Spain, the Netherlands Investment: 19,7 million, 50% EU support. Ongoing: August June promoting marine LNG as a viable fuel source for small vessels. The main objectives are the deployment of a pilot LNG dredger as well as the preparation of the preliminary studies enabling the future deployment of LNG bunkering infrastructure on the Atlantic Arch. Blue Baltics Country: Lithuania, Sweden, Estonia and Germany Investment: 47,6 million, 50% EU support. Ongoing: March June Blue Baltics LNG infrastructure facility deployment in the Baltic Sea Region. The projects includes the upgrading of LNG reloading station in Klaipeda, 14 LNG containers, mobile L-CNG stations in Estonia, LNG bunkering, reloading LNG for shipping and logistics Country: Germany Investment: 8 million, 50% EU support. Ongoing: March December LNG for shipping and logistics in Europe. The main objective is to promote the use of LNG as a fuel for inland navigation in Germany. The project includes a feasibility study, an analysis on customer demand to increase the use of LNG DOOR2LNG Country: Finland, Germany, the Netherlands, UK Investment: 56 million, 50% EU support. Ongoing: February June DOOR2LNG -Upgrade of the maritime link integrated in the multimodal container transport routes. The action is part of Global Project aiming to introduce LNG as an alternative fuel for door-to-door multimodal supply chain in the SECA, through use of 45-ft containers. This action will environmentally upgrade two MoS container transport links between the TEN-T core ports of Helsinki (Finland), Rotterdam (the Netherlands) and Teesport (UK) by equipping 4 newly built, larger vessels with dual-fuel LNG engine

22 Financial instruments INTERREG OF THE 2 goals of EU cohesion policy 10.1 BILLION OUT OF billion for cohesion policy (2013 prices) 2.8% 107 of the total cohesion policy budget Cooperation Programmes CROSS-BORDER INTERREG VA TRANSNATIONAL INTERREG VB INTERREGIONAL INTERREG VC BILLION MILLION MILLION BILLION BILLION Source: Interreg Cooperation programmes internal borders Interreg IPA Instrument for Pre-Accession Interreg ENI European Neighbourhood Instrument Cooperation Programmes Cooperation Programmes Interreg Europe / Interact / Urbact / Espon ELENA ELENA is a joint initiative by the EIB and the European Commission under the Horizon 2020 programme. It provides grants for technical assistance focused renewable energy and urban transport projects. This funding programme provides support for the project and tender preparation phase. It has been used by several cities for projects related to alternative fuels and is therefore a relevant source of support that other cities should consider. clean buses in some European cities. INTERREG Interreg Europe offers opportunities for regional and local public authorities throughout Europe to share their ideas and experiences on public for their citizens and communities. This funding tool supports local and regional governments in innovative projects and implementation efforts all lead to integrated and sustainable results the places and people who live there. Projects need cooperation across at least two countries. The programme offers several different opportunities and includes various priorities such as projects aimed at decarbonising change and sustainable transport. LIFE CLIMATE ACTION LIFE Climate Action supports projects that develop innovative methods to respond to the challenges of climate change in Europe. The programme for the Environment and Climate Change is has an allocated total budget of 864 million. The main objectives of this funding mechanism are to support buses) or prevent and reduce air and noise pollution. 24

23 Horizon 2020 Horizon 2020 Horizon 2020 is the European Union s, still relatively new, research programme, which replaced the FP7 programme in The main aim is to secure Europe s global competitiveness. European research aims to strengthen the competitiveness of the transport industry and develop better The Horizon 2020 Work Programme for the period entitled Smart, green and integrated transport has a budget of nearly 1 billion. Horizon 2020: Accelerating R&D for NGVs HDGAS The HDGAS project received almost 20 million in funding under the Horizon 2020 programme to develop, demonstrate and optimise advanced heavy-duty powertrain concepts for dual-fuel and dedicated natural gas operating engines. The project aims to reduce vehicle and infrastructure costs as well as improve vehicle performance and availability. In order to achieve these objectives the following projects are currently being developed including: an LNG fuel system with a high-pressure tank design; a compact tank with insulation; a cryogenic pump and after-treatment systems. The project will integrate three HD engines, as well as new fuel systems into three demonstration vehicles. HDgas will also incorporate a plan for bringing the innovations to the market. The project has so far delivered a new stoichiometric engine with direct injection; three different engine prototypes; simulations for new LNG tanks with three different pressures, which will go to prototype next year; and a new engine control unit for dual-fuel trucks aimed at improving the capture of unburned methane. To support the HDgas project, NGVA Europe organised a technical workshop on a proposal for a lower pressure LNG connector that could reduce spillage. GasOn The GasOn project, funded under the Horizon 2020 programme to the tune of 23.4 million, aims to develop an advanced mono-fuel vehicle powered by CNG. Such a vehicle is expected to reduce CO 2 emissions by up to 20%, compared with The project intends to make three different technological improvements to, for example, the CNG direct injection; the variable and increased compression ratio; and to design dedicated after-treatment systems with a reduced tank and engine weight of the gas storage system and from the engines. Project outcomes will centre on: three new engines and an advanced concept based on lean burn combustion and diesel-like compression ratio; an innovative gas quality sensor that determines fuel characteristics; an optimised predictive engine control; and advanced storage systems with a driving range equivalent to conventional fuels. 25

24 Low-emission vehicles Need for real low-emission vehicles 2016/2017 was a crucial year for our industry in terms of the new technologies, applications and procedures that became available to mitigate the negative effects of climate change while reducing carbon dioxide (CO 2 ) emissions and pollutants. Homologation procedures for certifying vehicles and components were also tightened. Such technologies and operational changes were already on the drawing board but manufacturers accelerated the process to get them to market after dieselgate. The emissions scandal highlighted the need for reliable and robust solutions, as well as improved operating conditions that could plug the gap between real use fuel consumption and its homologated value. The industry response was swift. New Worldwide Harmonised Light Vehicle Test Procedures (WLTP), which measure CO 2 emissions and pollutants from passenger cars, will gradually replace the current New European Driving Cycle (NEDC) standard in all new cars from September CO 2 homologation. In parallel, the Real Driving Emissions (RDE) methods for measuring on road pollutant emissions was also developed and will be introduced as part of the homologation process from September The industry is also currently working on a new standard procedure Portable Emissions Measurement System (PEMS) that will second step will also assess particle number (PN) emissions. Natural gas provides many advantages when being assessed by RDE methods, which are based on a stoichiometric approach (idealised operating conditions). Natural gas engines can operate all over the operating (with lower fuel consumption) and optimal conversion conditions on the after-treatment device. In addition, the gaseous nature of the fuel makes it less sensitive to temperature variations and transient operations, which means NGVs maintain best performance from the CNG system no matter what the engine operating conditions. 26

25 Low-emission vehicles The project Equilibre This Project highlights the advantages of natural gas use in heavy-duty vehicles. over 400,000 kilometres on road testing period. The outcome was positive for natural gas in terms of both CO 2 and NOx emissions (see graphs). Find more information at COMPARISON OF EMISSIONS (CO 2 AND NOX) AND CONSUMPTION BETWEEN 44T TRUCKS RUNNING ON GAS AND DIESEL AVERAGE OBSERVED FOR SECTIONS CLASSED AS MOTORWAYS CO 2 NOx CONSUMPTION (Natural gas: N kg/100km Diesel: kg/100km) CO 2 (IN kg/100km) NOx EMISSIONS (IN g/100km) NATURAL GAS DIESEL NATURAL GAS DIESEL NATURAL GAS DIESEL AVERAGE OBSERVED FOR SECTIONS CLASSED AS ROADS CROSSING SMALL TOWNS CO 2 NOx CONSUMPTION (Natural gas: N kg/100km Diesel: kg/100km) CO 2 (IN kg/100km) NOx EMISSIONS (IN g/100km) NATURAL GAS DIESEL NATURAL GAS DIESEL NATURAL GAS DIESEL Source: Project Equilibre,

26 Greenhouse gas emissions from natural gas Factual data on greenhouse gas emissions from natural gas The European gas industry is increasingly asked to show how the greenhouse gas (GHG) intensity of natural gas compares with other fuels. The topic will also be a key point in the review of the Fuel Quality Directive, which will set the default values of fuels used in transport. It could well from part of discussions on one of the many forthcoming EU legislative proposals on energy and climate. In order to address this matter, NGVA Europe has published its own study Greenhouse Gas intensity from Natural Gas, which is a well-to-wheel (W-t-W) study using data and views from the European gas industry. The study provides high-quality, up-to-date information on industrybased, lifecycle GHG emissions from natural gas. NGVA Europe is the lead project coordinator of a consortium consisting of 27 companies involved throughout the whole gas value chain. The study was prepared according to ISO14040 standard and will be subject to third-party review. It also includes work previously carried out on the subject and data for Germany and Central Europe. In addition, it is also fully aligned with the work carried by our board member Zukunft Erdgas, who published a critical evaluation of default values for the GHG emissions in the natural gas supply chain in this region. The updated and best available data together with a more accurate portrayal of the infrastructure clearly led to a lower carbon footprint when compared with the results from benchmark studies. This new and up-to-date assessment of natural gas in the transport sector encompasses the latest technological advancements available throughout the supply chain, addition to the publically available information on the subject, and in contrast to some studies, positions natural gas more accurately as a viable and scalable lowcarbon option in Europe s fuel and transport portfolio. Greenhouse Gas intensity from Natural Gas shows that natural gas reduces GHG emissions from passenger cars on a well-to-wheel basis by 23% compared with petrol, and by 7% compared with diesel. Blend the natural gas with just 20% renewable gas and GHG emissions are reduced by 36%, compared with oil-derived fuels. 28

27 Greenhouse gas emissions from natural gas WELL-TO-WHEEL PASSENGER VEHICLES-GHG INTENSITY (RELATIVE EMISSIONS) PETROL 100 DIESEL 84 CNG 77 CNG VS PETROL -23% CNG VS DIESEL -7% Source: Greenhouse Gas Intensity of Natural Gas Study- thinkstep, May 2017 WELL-TO-WHEEL HDV VEHICLES-GHG INTENSITY (RELATIVE EMISSIONS) DIESEL 100 LNG 85 LNG VS DIESEL -6% TO -15% CNG 84 CNG VS DIESEL -16% Source: Greenhouse Gas Intensity of Natural Gas Study- thinkstep, May

28 2030 Vision 2030 Vision NGVA Europe s statistics collection (2016) shows that currently there are 1.3 million natural gas vehicles in use and more than 3,000 CNG and LNG stations. Based on this data and additional considerations, such as the national policy framework and development plans, a market analysis looking towards 2030 has been carried. This exercise pointed to a potential market share for the year 2030 as 15 million gas vehicles and an additional 3,800 stations, which effectively increases the current number of vehicles ten-fold while doubling the current number of stations As highlighted in the NGVA Europe study Greenhouse Gas intensity from Natural Gas, emissions can be further reduced with the GHG intensity for passenger vehicles being less than 18% by 2030, compared with natural gas passenger vehicles in This change will mainly be driven by the increased share of bio and synthetic gas. In terms of renewable gas used in 2030, biomethane and 10% synthetic gas used in transport would result in 18% emissions saved for passenger vehicles and as much as 20% for heavy-duty vehicles on a well-to-wheel basis compared with Moreover, technologies of CNG dedicated engines are continuously progressing: The future generation of natural gas vehicles will reduce CO 2 emissions by a further 20% (see GasOn and HDgas European Projects, page 25) compared with the current best available state-of-theart technology. These advances can be attributed to the developments in engine technology that match perfectly the properties of natural gas, especially regarding the high knocking resistance. Also, in the domain of the heavy duty applications, future engines including new technologies by 10%, closing the gap towards a diesel like behavior. 20% biomethane share 15Mio gas vehicles additional stations 30

29 g-mobility is the development and use of natural gas propulsion, using gas from both renewable and traditional sources as a main fuel. includes CNG mainly used in cars, buses and small trucks and LNG as a fuel used by long-distance trucks and ships, that can be mixed with renewable gas. offers a zero-emission option for vehicles when using renewable gas such as biomethane and syngas, obtained from the excess of electricity. can improve air quality in cities and help achieve the targets needed to decarbonise the transport sector. 31

30 NGV market statistical report NGV market statistical report: Monitoring market growth NGVA Europe has collected statistics and data on natural gas vehicles annually since Key statistical data includes: the number of natural gas vehicles; the number of public and private refuelling stations (CNG, L-CNG and LNG); and market analysis. Also included are the annual CNG and LNG consumption rates and share of biomethane. Further information is presented in this year s historical data is available to all NGVA Europe members. for collecting information on LNG stations on LNG stations, NGVA Europe will publish this new data as part of its annual statistics. Such information is important for providing a complete picture on the development, use and availability of LNG stations throughout Europe, and especially those pertaining to the LNG Blue Corridors project. The completed data will serve to provide a comprehensive overview of the LNG infrastructure in Europe. NATURAL GAS VEHICLES & STATIONS IN EUROPE (EU+EFTA) 2016 Country NGV Stations NGV Vehicles Austria Belgium Bulgaria Croatia Cyprus - - Czech Republic Denmark Estonia Finland France Germany Greece Hungary Ireland 1 8 Italy Country NGV Stations NGV Vehicles Lithuania Luxembourg Malta - - Netherlands Poland Portugal Romania Slovakia Slovenia Spain Sweden UK EFTA Iceland EFTA Norway EFTA Switzerland Latvia - - Total EU + EFTA Source: NGVA Europe Statistics

31 Best practice examples Best practice examples Romania A project to develop the CNG infrastructure in the country was granted under the CEF programme in Thanks year, and a further nine are set to open by As part of the development strategy, industry has agreed to continue investment in this area, creating a national network of 14 CNG stations, the second city concerned being Bucharest. Such a network would enable users to travel anywhere in the country and in Europe. Ireland The Irish gas network operator has secured 6.4 million in funding from the European Commission to develop the stations throughout the country. In addition to this, EU funding will also support the construction of a renewable gas injection point, and provide support to commercial vehicle owners wishing to purchase dedicated CNG vehicles. Such developments will ensure renewable gas becomes part of Ireland s transport fuel mix. Work on the new CNG network began at the end of 2016, will be delivered along the main transport corridors, principally the motorway network. France France had nearly 14,600 NGVs in 2016 with an important increase in the number of CNG and LNG buses and trucks. the total number to 7 LNG and 51 CNG stations. Italy In 2016, Italy increased the number of stations from 1,100 to 1,166, and has now more than 1 million NGVs. A memorandum of understanding between the vehicle and gas industry was signed to boost the use of CNG as a fuel in transport. will double the number of CNG pump facilities in Italy to more than 2,000. The growth in the number of stations will current 1 million vehicles to over 3 million. Italy is planning to have 20 LNG refuelling points by end As part of this agreement, the development of alternative fuel engines together with a plan to develop ranges of natural gas vehicles was key. Italy remains committed to the development of NGV s and encourages other countries to follow the leading example of the Italian industry and government. Germany the second European country, after Italy, with the highest number of stations. Plans are set to increase this number stations opened and several others have been announced. Vehicle manufacturers together with gas and infrastructure suppliers signed a joint declaration of intent to boost tenfold number of CNG vehicles in the domestic market from the current 100,000 by That same year, a French energy company announced the investment of nearly 100 million in new CNG and LNG company plans to build 30 CNG stations in France and 70 LNG stations all over Europe by the

32 Communications Activities Communication Promoting the advantages of gas in transport is key to raising awareness of the positive impact this fuel can have in helping Europe meet its climate goals. NGVA Europe s publications, press releases and position papers reach more than 10,000 contacts across Europe and internationally. The association provides facts, news and position papers on natural gas in transport, as well as a whole host of services to members. Our Members Bulletin provides regular updates on the association s main activities, developments and achievements, and reports on important political and technical changes. PUBLICATIONS: Monthly Members Bulletin Press releases Annual Statistical Report NGV 2017 Vehicle catalogue Report of activities NGV Roadmap 2030 Position papers ANNUAL STATISTICAL REPORT NGV 2017 VEHICLE CATALOGUE REPORT OF ACTIVITIES NGV ROADMAP

33 Events Events NGVA Europe regularly organises topical events aimed at members, industry, policy makers or the media, and ranging from internal workshops and roundtable discussions to high-level conferences. Once a year, the association s general assembly for members is accompanied by a conference or exhibition debating current issues in our industry. Dinner debate at the European Parliament, Strasbourg On 23 November, NGVA Europe organised a dinner debate during GasNaturally s European Gas Week. The dinner debate was hosted by two MEPs from Romania and Italy who discussed with the industry the role of gas in transport within the current and upcoming policy context, including RED II and CO 2 standards. A gala dinner for members was also included in the activities event in Rotterdam NGVA Europe participated as an exhibitor at the TEN-T Days in Rotterdam, the Netherlands, sharing a stand with nine projects funded by the Connecting Europe Facility (CEF) and all promoting natural gas in transport. Several CNG and LNG vehicles, along with refuelling equipment and components were on display. Visitors could also test drive several CNG cars provided by various manufacturers. The NGVA Europe stand attracted a high number number of visitors including Commission Vice-President Sefkovic and Transport Commissioner Bulc. A gala dinner for members was also included in the activities. Events from national NGV associations: February 2017» Czech Republic, Czech Gas Association NGV Conference March 2017» Spain, Gasnam annual conference April 2017» Launch of Romanian CEF project May 2017» Hungary, event form MGKKE May 2017» Gas Days, organised by the Swedish Gas Association 35