Blue Corridor NGV Rally 2013 Media Guide

7/21/2019 Blue Corridor NGV Rally 2013 Media Guide

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NATURALGASVEHICLES RALLY B

Stockh

Stockh

Jonkoping

Jonkoping

Hamburg

Hamburg

Gdansk

Gdansk

Klaiped

Klaiped

Kaliningr

Kaliningr

Copenhagen

Copenhagen

Gothenburg

Gothenburg

Swinoujscie

Swinoujscie

NATU

RALGAS

TH

EBEST

CHOICE FORCLEA

3-19Octob

7thBLUE CORRIDOR

RALLY

319 October 2013

MEDIA GUIDEVisit us online at bluecorridor.org


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From 3rd to19th October, Blue Corridor supporters rom Gazprom and E.ON will drive a caravan o natural

gas vehicles (NGVs) rom St. Petersburg, Russia around the Baltic Sea with stops along the way in Finland,

Sweden, Denmark, Germany, Poland, Lithuania, Latvia and Estonia to demonstrate the benets o using

natural gas in transportation.

We hope you can join us along the 4,000 kilometre route or roundtable discussions with industry

representatives, policymakers, environmentalists and auto enthusiasts to learn about that natural gas used

in transportation is an environmentally riendly, sae alternative to petrol. These events will also provide

opportunities to check out NGVs on display and to tour an NGV actory.

For updates rom the road, head to Blue Corridors social media properties:

Website:bluecorridor.org

Facebook: acebook.com/BlueCorridorRally

Twitter: twitter.com/BlueCorridor

Google+: plus.google.com/108463983962025792846/posts

YouTube: youtube.com/BlueCorridorRally

Read on or urther details about the 2013 Blue Corridor NGV Rally, the benets o natural gas and how NGVs

are changing the uture o transportation.

We look orward to seeing you!

1

Gazprom and E.ON, supported by a number o other natural gas

companies, vehicle manuacturers and NGV associations, will drivethe 7th Blue Corridor Rally across Europe to showcase the benets o

natural gas as a vehicle uel. This year the OEM NGV Rally will ollow the

medieval trade Hansa route around the Baltic Sea. Hence the name o

this years event: Blue Corridor2013: Hansa.

Through events held along this years 4,000 kilometre-long rally route,

Blue Corridor will shine the spotlight on Europes move towards cleaner,

saer and more aordable mobility. Joined by industry representatives,

policymakers, environmentalists and auto enthusiasts, Blue Corridors

roundtable discussions will ocus on the advantages o natural gas or

land and sea transport, as well as recommendations or the uture.

Now on its seventh tour, the rally was developed to encourage urther

expansion o the natural gas uelling inrastructure needed to create

natural gas highwaysor blue corridorsacross Europe. This

inrastructure would empower more drivers and feet owners to purchase

NGVs by assuring that they can drive them anywhere.

Since Blue Corridors inception, the use o natural gas in transportationhas grown signicantly. When the rst rally was held in 2008, there were

9.5 million NGVs around the world. This number has almost doubled to

close to 18 million in 2013, with roughly 12 percent (1.5 million) o the

vehicles in Europe. The world NGV feet consumed 30.1 billion cubic

metres o gas last year.

According to the International Gas Union (IGU), 50 million NGVs could be

on the road by 2020 worldwide and up to 100 million NGVs by 2030. Still,

there remains a demandand needto urther expand the market.

Increasing the number o NGVs on the road in Europe c

region or several reasons: Natural Gas is Clean: Driving NGVs benets the

because natural gas-powered engines emit 25 pe

dioxide compared to petrol. Thereore, increasing

NGVs in Europe would help to reach the European

target o 95 grams o carbon dioxide per kilometre

level o emissions or the new car feet by 2020.

Natural Gas is Affordable: Natural gas is the cheap

drivers to save at least 30 percent o uel costs compar

petrol. In the current economic climate, this kind o sav

a monumental impact. One can drive an Opel Zara To

kilometres paying, only 10 Euros or natural gas. For th

vehicle would travel only 169 kilometres on liqueed pe

148 kilometres on diesel and only 97 kilometres on pet

Natural Gas is Safe: Natural gas is proven to be th

transportation uel worldwide. Compared to other trans

natural gas needs higher temperatures and concentrat

Natural Gas is Abundant:According to the IGU, c

gas reserves will last or at least another 250 years, whe

conventional oil may last only 80 to 100 years. Both com

gas (CNG) and liqueed natural gas (LNG) can be used

horse-power vehicles, rail locomotives and marine ships

in the world.

Welcome to the 7th Blue CorridorNatural Gas Vehicle Rally!

The Blue Corridor Rally: Encouraging Natural as a Transportation Fuel for Europe

Photo Caption: Gazprom supports NGV development around the world.

G ERM AN I A

Media contact: [email protected]
http://www.bluecorridor.org%20/https://www.facebook.com/BlueCorridorRallyhttps://twitter.com/BlueCorridor%20http://www.youtube.com/BlueCorridorRally%20%20%20http://www.youtube.com/BlueCorridorRally%20%20%20https://plus.google.com/108463983962025792846/posts%20https://twitter.com/BlueCorridor%20https://www.facebook.com/BlueCorridorRallyhttp://www.bluecorridor.org%20/


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Gazprom believes that natural gas has a unique blend o undisputable advantages over other transportation

uels. As the worlds largest natural gas producer, we are working to reliably supply natural gas to consumers,

feet owners and municipalities because we recognise the environmental, social, business and economic

benets o developing this market. Gazprom has initiatives underway to expand the Russian and global

natural gas inrastructure and promote the use o NGVs. Gazprom Exportthe companys world trading

handcoordinates the corporate NGV activities o over 40 dierent Gazprom aliates in almost all parts othe world.

Gazprom Germania is expanding its uelling stations network in Germany up to 23 by the end o 2013.

Gazprom and its subsidiary VEMEX are working on the expansion o the gas station network in the

Czech Republic and Slovakia by building seven new stations to complement the existing stations.

Gazprom is working with the Croation government and LNG Croatia to implement projects developing

natural gas's use as a motor uel. In a Roadmap signed in September, Gazprom agreed to cooperate

with Croation transportation companies and logistic operators as part o pilot projects to convert

municipal bus feets to NGVs.

This is why Gazprom is supporting Blue Corridor and orming similar partnerships with auto companies,

environmental organisations, energy majors and oreign governments around the world to bolster the uture

o natural gas.

RUSSIA St. Petersburg, Vyborg,Kaliningrad

The NGV market in Russia is developing. There are about 90,000 NGVs and

256 lling stations across the country. The Russian authorities are committed

to urther expanding the NGV market. In May 2013, Russia adopted natural

gas transport uel targets or 2020 aimed at promoting the use o gas as a uel

or road and public transport. In order to strongly boost the NGV market, the

Russian authorities proposed to extend an ocial programme to procure NGVs

and to suspend the transportation tax or gas vehicles. By 2020 50 percent omunicipal buses, 30 percent o communal trucks and 20 percent o agricultural

machines shall use natural gas instead o diesel. Gazprom has recently

announced that it launched cooperation programmes to develop NGVs with

several Russian automakers including KAMAZ, Avtovaz and Gaz Group. Major

Russian oil companies such as Gazprom Net and Rosnet have also developed

programmes to build natural gas lling stations in the country, contributing to

the steady growth in the Russia NGV market in the near uture.

FINLAND Helsinki, Turku

Finland is an emerging market or NGVs. The total number

February 2013 stood at 1,300, up by 128 new units compa

Finland has 18 public reuelling stations operating in 15 Fin

2012, 5 million cubic metres o compressed bio and natura

The importance o biomethane is increasing at Finnish CNG

October 2011, Finnish Gasum started to inject biomethane

gas grid or use as transport uel. The Finnish government schemes, such as lower tax rates or natural gas, compared

biogas. However, NGVs ace a recently introduced tax on th

orce, depending on the propelling orce and the total weig

passenger car.

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Gazproms Vision for NaturalGas in Transport

2013 Blue Corridor NGV Rally Stops


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Building and Urban Development (BMVBS) and the German Energy Agency

gathering vehicle manuacturers such as Daimler or Opel, as well as lling

stations operators (BP, Shell), gas producers (Gazprom Germania) and vehicle

customers associationshas set an ambitious target o 1.4 million NGVs and

550,000 commercial vehicles by 2020. To meet this challenge, German car

manuacturers have announced expansions to their car feet: Mercedes-Benz

currently oers two CNG passenger car models and aims to increase its oer;

VW will expand its portolio with the introduction o the new Gol VII; and Audi will

also enter the market by launching the A3 TCNG rom 2013 and the A4 rom

2014. The number o natural gas lling stations will rise rom the current 920 to

1,300 by 2020. Last but not least, the number o new innovative mobility projectsis rising, especially in the public transportation sector, with more than 100

German cities operating 1,500 natural gas uelled buses.

POLAND Swinoujscie, Gdansk

Poland has a growing NGV market, with 2,094 NGVs and 47 reuelling

stations. Poland was the rst European country to try LNG-uelled buses

in 2012 in Warsaw, and other cities and showed great interest to it. A lack

o government incentives to invest in or adapt NGVs as well as missing

reuelling stations poses a challenge or Poland. For that reason, large feet

operators investing in NGVs tend to do so only in partnership with large

gas suppliers. The biggest CNG-uelled bus feet in Poland belongs to MPK

Rzeszow, one o the rst operators to convert their feet, in cooperation

with PGNiG. MPK Rzeszow is currently planning to introduce more NGVs,

substantially increasing the share o NGVs in its feet, which is currently at20 percent. Moreover, PGNiG, the Czech Gas Association and other gas

companies and trade organisations rom Poland and the Czech Republic

have agreed to develop a green line between Wroclaw, in south-western

Poland, and Prague with natural gas-uelled buses. PGNiG is also planning

to build a natural gas terminal by 2013 near Gdansk.

LITHUANIA Klaipeda

Lithuanias NGV market is gradually developing. The country b

reuelling station in 2008 and currently has 4 reuelling station

or 190 NGVs. Lithuanian cities, including the capital o Vilnius

and Klaipeda, are expanding their feets with gas-uelled vehic

Estimates oresee that in 2013, over 100 new NGVs will be de

the process o being delivered to Lithuanians, with 3 additiona

expected to be built.

LATVIA Jelgava, Riga

Recent years witnessed a sharp decline in the number o NG

there were over 500 NGVs in 2008, Latvia currently has one

NGV feets in Europe, with 18 NGVs, accompanied by one r e

Estonia Tallinn, Narva

The Estonian feet currently has 191 NGVs

in 2012 rom 2011. There are our reuelli

Estonia, all operated by the national gas pro

A.S. The newest station opened in Prnu in March 2013 and

new reuelling stations are underway. Other positive developm

schemes are underway, too. The Tartu City Administration rece

5 CNG buses to its feet. As or now, there is no LNG storage

However, the build-up o the rst LNG terminal has been appr

location due to be decided in the near uture.

5

Viking LNG FerryingBlue Corridor NGVs FromFinland to Sweden

Finnish shipping company Viking Line eatures a new

vessel called the Viking Grace that went into service

in January 2013 and is powered by LNG, uniquely or

a capacious passenger ship. Regarded as the most

environmentally sound and most energy-ecient

passenger ship, the Grace cuts nitrogen emissions

by 85 percent and greenhouse gas emissions by 15percent compared to conventional uel-oil. As LNG

contains no sulphur, Graces sulphur emissions are

practically zero. By using LNG, the vessel will meet all

emissions standards established by the International

Maritime Organisation (IMO).

SWEDEN Stockholm,Jonkoping, Gothenburg

The development o Swedens NGV market has

been dynamic. Currently, the total amount o NGVs

in Sweden stands at about 41,789, with 195 gas

reuelling stations. Sweden oers a number o

incentives or cars using alternative uels. For example,

car buyers benet rom a 40 percent reduced tax rate

or company cars, lowering the cost o new NGVs to thesame as those o petrol- and diesel-powered vehicles.

There is also a zero uel tax rate on biomethane, low

uel tax on CNG and other nancial support schemes.

Such incentives are aimed at increasing the number o

gas lling stations, as well as the total number o NGVs

in the country. Swedish NGVs mainly use methane

gas produced in local biomethane plants. Sweden is

also promoting the NGV market through innovations

in overland transport. Future overland transportation

o LNG/biomethane using tank trailers to supply

lling stations would support the use o LNG/CNG

lling stations servicing both trucks using LNG and

conventional CNG vehicles.

DENMARK Copenhagen

The Danish market is in its early development stage

and has potential to expand the number o NGVs andrelling stations in the country. In 2012, Denmark

had 18 NGVs in circulation, and one reuelling station.

More recent government initiatives indicate that

alternative uels in transport might get a boost. In April

2012, the Danish government adopted an Energy

Agreement that boosts the use o biogas in the

transport sector by oering new unding instruments

and subsidies and promoting energy eciency.

GERMANY Hamburg

With more than 900 natural gas stations and around

95,000 gas-powered vehicles in 2013, Germany is one o

the most advanced countries in Europe regarding natural

gas mobility development. However the market is ar rom

having reached its maturity: NGVs account or only

0.3 percent o the entire car feet. According to the

German Energy Agency (DENA), the demand or natural

gas as a transport uel has increased by 60 percent in

the rst hal o 2013 when compared to the previous

year and is expected to keep growing. The Initiative or

Natural-Gas-Based Mobility (Initiative Erdgasmobilitt),

coordinated by both the Federal Ministry o Transport,

KLAIPEDA

KALININGRADGDANSK

SWINOUJSCIE

HAMBURG

COPENHAGEN

STOCKHOLM TURKU

HELSINKIVYBORG

NARVA

TALLINN

JELGAVARIGA

ST. PET

JONKOPINGGOTHENBURG


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Photo Caption: Participants rom Gazprom during the Blue Corridor 2012 NGV Rally's stop in Paris.

7

Natural gas has a bright uture in the transportation sector, considering the exponential growth across the globe over the

past 15 years.

The International Energy Agencys (IEA) June Medium-Term Gas Market Report predicted natural gas will emerge as a

key transportation uel during the next ve years, building on the more than 17 million NGVs currently in use around

the world.

Gas demand in transportation grew tenold between 2000 and 2010, and the IEA report oresees that by 2018,

gas use in the road and maritime transport sector could increase by nearly 10 percent to 50 billion cubic metres.

A ew countries are leading the way in clean NGV growth, helped by smart government subsidies and low prices.

Numbers in parentheses represent the amount o NGVs in each country in 2011, and have risen since: Iran (2.86

million); Pakistan (2.85 million); Argentina (2.07 million); Brazil (1.70 million); and India (1.10 million). Among

Europes leaders are Italy (745,000), Ukraine (388,000) and Germany (100,000).

Natural gas has a wide array o economic and environmental benets or the corporate sector when used in

transport. To reach the EUs 2050 environmental commitments in a highly cost-eective manner, the region could

increase its use o natural gas in transport.

In Europe alone,68 to77 billion can be saved by 2050 when urther developing the use o natural gas in

transport compared to a business as usual scenario.

Most savings can be generated beore 2030, between58 and67 billion.

Trucks and ships have the greatest potential to generate cost savings.Furthermore, approximately 280,000 people contribute today to the EU economy alone through their jobs in the

natural gas industry. The development o gas in transport could drive this gure up.

NGVs also benet consumers. Even considering the relatively higher purchase costs, NGVs are more aordable

than conventional vehicles in the long run. Depending where you are, natural gas prices can be 50 percent less

than diesel uel, and will likely continue to stay that low as supply grows.

Natural gas in general is a clean and sae energy source. Increasing

the share o gas in the EU energy mix by only 1 percent will reduce the

emissions by 3 percent.

Specically, natural gas is one o the cleaner alternatives to petroleum in

transportation. Compared to diesel or petrol:

Gas reduces carbon CO2emissions by 25 percent

Gas cuts carbon CO emissions by 80 percent

Gas emits a third less NOx emissions, a ar-more potent global

warming gas than carbon dioxide

Gas creates no soot or particulate matters, thus greatly improving air

quality and respiratory conditions.

LNG can play a crucial role in heavy-duty truck transpor

maritime shipping sector. Its high energy content and dr

between 500 and 1,000km on road in one tankare be

replace oil in these sectors. It holds great prospects to r

gas emissions rom short-sea shipping in particular, whi

major part o European shipping.

A Det Norske Veritas report ound an LNG-powered

would use 25 percent less energy and emit 34 perc

dioxide than a conventionally-uelled one.

Future of Natural Gas in Transport

Economic Benets

Environmental Benets of Natural Gas

Photo Caption: Reueling during the Blue Corridor 2012 NGV Rally.

Is NaturalGas Clean?

Natural gas engines emit

approximately 25 percent less

CO2, 80 percent less CO, a

third less NOx and almost

no soot or particulate matter,

compared to those running on

traditional transport uels.

To make CNG, natural gas is compressed at a rate o 3,600 pounds

per square inch and then stored. The resulting product is odourless,nontoxic, infammable and lighter than air.

CNG is more oten used or NGVs than LNG because it is less expensive

to produce and store than LNG. However, CNG has a greater mass than

LNG, so NGVs running on CNG require larger uel tanks an

reuelled more requently than their LNG counterparts. CNa good option or vehicles that drive round trips and can be

daily, like passenger cars, feet vehicles and public transpo

What is Compressed Natural Gas?


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Photo Caption: In 2012, the Blue Corridor Rally provided reueling demonstrations at stops along the tour.

The very rst practically applicable (commercial) internal combustion

engine was designed and built in 1858 - 1860 by Etienne Lenoir, a

Belgian engineer. The engine used mixture o coal gas (methane) and air.

Although natural gas has been recognised as a basic source o heat and

energy or centuries, its use in transportation is relatively recent. In the

1930s, natural gas and manuactured gas were used in motor vehicles or

multiple purposes. However, crude oil expansion ater World War II drove

its use down, and it stayed that way or decades.

This is no longer the case, as NGVs are experiencing a substantial hike

in popularity. As stated above, a number o actors have led to the quick

growth in NGVs over the past ten years, including cleanli

saety and abundance. All o these actors have caused

governments and companies to see the economic bene

and the corporate sector, as well as environmental bene

this clean uel.

Global NGV growth has been especially stark over the pa

increasing rom 4 million in 2004, to 9.5 million in 2008

17 million in 2013 according to NGVJournal. The advent

corridors is playing a large role in this vast expansion.

The idea o building up blue corridors isnt new. Since the early ages o

NGV technology, many initiatives have shed light on the need to create

pioneering routes gathering gas lling stations along several major

transport roads linking the EU and its close Eastern neighbours.

For example, the idea o a Blue Corridor Project was launched in 2000 by

the non-governmental Vernadsky Ecological Foundation in Moscow and

Gazprom. It was also explored in 2003 by the UN Economic Commission

or Europe.

From the start, the objective o these projects was to exa

easibility and demonstrate the necessity o establishing t

corridors or road vehicles powered by CNG instead o di

because o the economic and environmental advantages

The existing Blue Corridor NGV Rally was rst organised

NGVRUS in Russia in 2008. In 2010, E.ON Ruhrgas joine

supported its expansion to Europe to promote natural ga

environmentally riendly and economic transportation uemunicipalities and government feets.

In September 2012, Gazprom and E.ON collaborated to sponsor the sixth

Blue Corridor NGV Rally across Europe. Through events held along the

6,000 kilometre-long rally route, the companies promoted natural gas as

the cleanest, saest and most aordable transportation uel. The rally held

roundtables in 11 European cities, with the keynote event held in Brussels,

where EU ocials participated in an open and lively discussion. Passenger

cars, trucks and buses running on natural gas rom major European

manuacturers were on display at stops along the rally route.

The tour started in Moscow. From there, participants travelled to a widevariety o European cities. The sight o NGVs proudly driving across Europe

was a moment o glory or those who understand the environmental and

economic benets o natural gas as a transport uel, and is a glimpse

into the uture. The excitement continued when the tour s

important capitals like Paris, Brussels, Berlin and Warsaw

Last years rally also emphasised that the huge trac fo

western and eastern Europe can have low emissions onl

corridors are established across Europe that have suc

enabling NGVs to be used over the entire distance. A spe

the creation o an LNG corridor or heavy-goods vehicles

What is Liquied Natural Gas? History of NGVs

History of the Blue Corridor Rally

The Most Recent Blue Corridor Rally

LNG is natural gas that is transormed rom its regular gaseous state into a liquid by cooling it to approximately

-162 Celsius/-260 Fahrenheit at normal air pressure. Its liquid state is very space-eectiveit only takes

up about 1/600 the volume o gaseous natural gasallowing it to eciently t inside a uel tank.

LNG is saeparticularly in comparison to other vehicle uelsbecause it is odourless, non-toxic, non-

corrosive and less dense than water. Unlike petroleum-based uels, LNG disperses quickly in the event o a

spill, making it less dangerous to the environment.

What is Liquied Petroleum Gas?Liqueed petroleum gas (LPG) is another well-known gas uel. This should not be conused with natural

gasLPG is a by-product o oil, chemically consisting o propane and butane, and diers in physical

eatures rom natural gas. In contrast to methane, LPG is heavier than air and creates more CO2 emissions.

Although it is in some way easier to store and to convert engines to it, it perorms poorer rom the

environmental and security view.

Documents

Blue Corridor NGV Rally 2013 Media Guide