New Delhi, November 27, 2017

Cars running on Auto LPG have emerged as ones having one of the lowest payback periods as compared to a petrol or diesel cars, claims the Indian AutoLPG Coalition (IAC). The running cost of Auto LPG cars currently stands at just above Rs 3 per kilometer, much lower than petrol which currently stands at about Rs 5 per kilometer (in Delhi where petrol price is about Rs 70 per litre) and diesel which currently stands at Rs close to 3 per kilometer (in Delhi). The running cost of a CNG car is a bit more than Rs 2 per kilometer but given the lower conversion (kit) costs, the payback period of cars converted to LPG is the lowest.

The conversion kits for LPG cost about Rs 20,000 making it cheaper than CNG, whose conversion kits cost about Rs 38,000.

“Auto LPG payback periods are the lowest and expected to remain the lowest in the near future. The prices of Auto LPG have been stable for quite some time now. The conversion kit also costs significantly less than CNG. All these factors make Auto LPG cars an attractive proposition and we are expecting there will be close to three million cars running on this environmentally clean fuel in India in the next few years,” said Suyash Gupta, Director General, IAC

The sales of Auto LPG have seen a constant growth since October 2016 when its price was slashed by oil marketing companies like IOC, HPCL and BPCL. The sales jumped 16 per cent in the October-December quarter of 2016. It has further gone up in 2017.

There are many aspects where Auto LPG scores over CNG. The kits are much smaller and don’t take up the entire booth space of the car. It is also preferred by car owners since it takes just as much time to refill as it takes for petrol or diesel cars.

This clean fuel is also need of the hour. Auto LPG Auto LPG emits up to 120 times lesser particulate emissions than diesel vehicles, 96 percent lesser nitrogen dioxides (NOx) than diesel and 68 per cent lesser NOx than petrol.

Many countries have switched to Auto LPG, including some in Asia, with very satisfactory results. For example, in Turkey, 40 per cent of all private cars run on Auto LPG.

The use of LPG as an automotive fuel was legalised in India with effect from 24 April, 2000. More than 500 cities have been covered by Auto LPG since then with more than 1100 stations.