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LPG Gas Conversions - LPG Vehicle Scheme


LPG Gas Conversions - LPG Vehicle SchemeIn August 2006 the Australian Government announced a $1.6billion dollar plan to convert petrol users into Liquid Petroleum Gas users.

 

This cash incentive is the ideal time for cars running solely on petrol to convert to dual useage of both petrol and L.P.G. The $2,000 grant would be recouped in roughly 12 months but would also save $27 a week on the fuel bill of the average 6 cylinder car.

LPG Vehicle Scheme - CALL 13 28 46

 

The Australian Government has established the LPG Vehicle Scheme to assist private use motorists with the purchase of a new LPG vehicle or the conversion of a new or used petrol or diesel vehicle to LPG.

 

Two different grants are available:

  1. A grant of $2,000 will be paid following the LPG conversion of a new or used petrol or diesel motor vehicle.
  2. A grant of $1,000 will be paid following the purchase of a new motor vehicle with an LPG unit fitted at the time of manufacture of the vehicle.

An eligible vehicle:

  • Is for private use (not commercial or business use)
  • Is a passenger or light commercial vehicle less than 3.5 tonnes Gross Vehicle Mass
  • Must be registered in the Australian state or territory of residence of claimant
  • Is not subject to a novated lease or salary sacrifice arrangement
  • Must be registered for private use in NSW, VIC, QLD, WA, and the ACT
  • Must be declared for private use if registered in SA, TAS and NT

The grants are available to registered owners of a new vehicle with an LPG unit fitted at the time of manufacture of the vehicle or registered owners who have a new or used petrol or diesel vehicle converted to LPG on or after 14 August 2006.

LPG Usage in CarsLPG Usage in Cars


LPG (also known as autogas) is widely used as a "green" fuel for internal combustion engines as it decreases exhaust emissions. It has an octane rating (RON) that is between 90 and 110 and an energy content (higher heating value—HHV) that is between 25.5 megajoules per liter (for pure propane) and 28.7 MJ/L (for pure butane.) Toyota made a number of LPG engines in their 1970s M, R, and Y engine families.

 

Currently, a number of automobile manufacturers—Citroën, Daewoo, Fiat, Ford, Hyundai, Opel/Vauxhall, Peugeot, Renault, Saab and Volvo—have OEM bi-fuel models that will run equally well on both LPG and gasoline.Vialli have OEM LPG powered scooters and LPG powered mopeds that run equally well on LPG.

 

LPG is popular in Australia (due to it being less than half the price of petrol), with the four major local manufacturers (Ford, Holden, Mitsubishi and Toyota) offering it in some models of their locally made large family sedans. All are 'dual fuel' vehicles, with the exception of Ford, whose Falcon LPG model (the engine is called the E-Gas) runs LPG only. LPG is especially popular with taxis, with a large number of Australian cabs (typically Ford Falcons) being LPG-fuelled. However, whilst LPG is excise-free at the present time, there are plans to introduce an excise on LPG of 2.5 cents a litre in 2011 which will increase to 12 cents per litre (as opposed to the 38 cpl excise on petrol) in 2011. This will be offset somewhat by a proposed plan wich will give motorists a $1000AUD subsidy to convert their car to LPG.

 

Liquified petroleum gas (also called liquefied petroleum gas, liquid petroleum gas, LPG, LP Gas, or autogas) is a mixture of hydrocarbon gases used as a fuel in heating appliances and vehicles, and increasingly replacing chlorofluorocarbons as an aerosol propellant and a refrigerant to reduce damage to the ozone layer. Varieties of LPG bought and sold include mixes that are primarily propane, mixes that are primarily butane, and mixes including both propane and butane, depending on the season—in winter more propane, in summer more butane. Propylene and butylenes are usually also present in small concentration. A powerful odorant, ethanethiol, is added so that leaks can be detected easily. LPG is manufactured during the refining of crude oil, or extracted from oil or gas streams as they emerge from the ground.

 

At normal temperatures and pressures, LPG will evaporate. Because of this, LPG is supplied in pressurised steel bottles. In order to allow for thermal expansion of the contained liquid, these bottles should not be filled completely; typically, they are filled to between 80% and 85% of their capacity. The ratio between the volumes of the vaporised gas and the liquified gas varies depending on composition, pressure and temperature, but is typically around 250:1. The pressure at which LPG becomes liquid, called its vapor pressure, likewise varies depending on composition and temperature; for example, it is approximately 220 kilopascals (2.2 bar) for pure butane at 20 °C (68 °F), and approximately 2.2 megapascals (22 bar) for pure propane at 55 °C (131 °F). Propane gas is heavier than air, and thus will flow along floors and tend to settle in low spots, such as basements. This should be kept in mind to avoid accidental ignition or suffocation hazards.

 

Source: http://en.wikipedia.org/wiki/Liquified_petroleum_gas

 

External links

 

 

LPG Gas AssociationNews Sources

 

PM outlines fuel relief package - The Age
August 14, 2006 - 3:55PM

 

Prime Minister John Howard has outlined a $1.6 billion, eight-year program to ease the pain of high petrol prices on motorists.

 

Outlining a multi-pronged plan, Mr Howard said from today the government would contribute $1,000 towards the purchase cost of new factory-fitted LPG powered vehicles.

 

The government will also provide a $2,000 grant to the cost of converting cars to LPG for private use.Mr Howard said LPG would, on the fuel bill for a six cylinder vehicle travelling 15,000 kilometres a year, save around $27 a week or $1,400 a year in fuel costs.

"The estimated cost of the LPG incentives I am announcing today is $677.1 million over the eight year life of the program," he said.

 

"Taking into account revenue forgone, the total cost is more than $1.3 billion over eight years."

In a bid to increase ethanol-laced fuel, E10, into service stations, the government will offer up to $20,000 to stations to convert their operations to include E10.

 

Up to $10,000 will be provided after the conversion is complete, and another $10,000 after ethanol blend fuel sales targets are reached.

 

"The additional grant on reaching a sales target will provide a clear incentive for retailers to discount the price of E10 fuel," Mr Howard said.

 

"Recipients of grants from the ethanol distribution program will be expected to sell ethanol blends at a discount and to display the price of ethanol blends alongside price information for other petroleum products."

 

However, Mr Howard ruled out making ethanol a mandated part of the Australian petrol.

"This government believes in consumer choice we are not persuaded to mandate the use of ethanol," he said.

 

Mr Howard also announced the government will spend an additional $123.5 million to extend and expand its renewable remote power generation program.

 

Another $76.4 million will be spent to expand Geoscience Australia's current seismic acquisition program. This will focus on new frontier offshore areas to be chosen in consultation with industry.

Almost $59 million will be spent identifying potential on-shore energy sources such as petroleum and geothermal energy.

 

Industry Minister Ian Macfarlane has been asked to put up a proposal to cabinet to fund a program to make Australia a leader in gas-to-liquids and coal-to-liquids research.

Mr Howard said Australia had benefited from high demand for energy sources.

 

But he said Australians felt the pain of high petrol prices every time they filled up their cars at the bowser.   "This is a difficult time for Australians faced with high petrol prices," he said.

"And it is only appropriate that the benefits which accrue to Australia from our substantial resource base flow beyond a narrow part of our society."

AAP

 

Four-month wait for LPG conversion - The Age
Jane Holroyd
August 14, 2006 - 1:47PM

 

Petrol-pained Victorians wishing to convert their cars to LPG are being urged to book their cars in for the service immediately.

 

LPG industry representatives told theage.com.au that Victorian motorists were already facing a three-to-four-month wait for conversions, with the number of people switching to LPG jumping 200 per cent in the past two years.

 

With the Howard Government widely tipped to announce rebates for LPG conversions of up to $2000 today, waiting lists will grow even more as the industry struggles to catch up with demand.

Phil Westlake from the Australian LPG Association said people committed to converting their vehicles should sign up with one of Victoria's 400 accredited LPG tank installers.

 

"Sure, there might be a wait, but if they actually get their order in and commit to getting it done, it allows the industry to plan and order in the equipment," he said.

 

Mr Westlake said the LPG Association had set up a taskforce to improve service delivery and was even considering paying to train more people to perform LPG conversions.

He said that average Australian motorists were currently seeing a return on their investment in LPG after two years of making the switch.

 

"The average motorist is saving $1600 per annum, so over a couple of years for a $3000 installation you've got a return," he said.

 

"With a government subsidy it will be less than two years, and after that they will be saving money for all their motoring compared to petrol users."

Conversions cost between $1500 and $3400 according to the RACV.

'Do your sums' first

 

But RACV spokesman David Cumming warned motorists to consider the limitations of driving on LPG.

 

He said LPG motors needed about 30 per cent more fuel than petrol motors and said LPG was not as widely available as petrol.

 

According to the Australian Consumers' Association LPG is available at 3500 petrol stations compared to petrol, which is available at 8000.

 

"Do your sums, see if it suits you," said Mr Cumming. "Be aware that if you're going to convert your existing car you will lose boot space. You will probably also have to plan your longer trips because LPG isn't available in all towns.

 

"It's definitely not available a fair distance from capital cities. You lose your ability to go wherever you want whenever you want."

 

He also said the financial benefit of switching to LPG could be muted with an excise tax to be introduced in 2011, to be capped at 12.5 cents per litre in 2015.

But Jim Richards, chair of the Automotive Alternative Fuels Registration Board, said the excise was unlikely to make petrol more economical than LPG.

 

"If you add 12.5 cents per litre to the current price difference between LPG and petrol, there's still a good incentive," he said.

 

He said 13,630 Victorian vehicles had been converted to LPG in 2005, compared to 4690 in 2003.

This year, demand has grown even further with 9720 Victorian vehicles converted at the end of July, compared to 4640 for the same period last year.

 

Today Melbourne motorists are paying an average of $1.36 per litre for unleaded petrol, compared to 50 cents per litre for LPG.

theage.com.au