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Q and A .. All you need to know about the benefits of using natural gas as an alternative to gasoline and diesel

The Ministry of Trade and Industry seeks to implement the state’s strategy to use natural gas as an alternative to fuel from gasoline and diesel and to replace cars with it in the coming period. In the coming lines, we will answer the most common questions about this strategy.

Q: Who is responsible for the car replacement project and how to implement it?

A: The Ministry of Trade and Industry is responsible for the replacement file, in cooperation with the relevant ministries of the government. It prepared a study that confirmed that using natural gas saves about 50% of the fuel cost from gasoline and diesel.

Q: What are the most important benefits of replacing cars with natural gas as an alternative to gasoline and diesel?

A: Providing better income for taxi drivers and microbuses, deepening the car and feeding industries, in addition to exploiting modern infrastructure and new roads, as well as raising the citizen’s standard of living.

Q: What are the benefits that accrue to the state from this project?

A: Reducing the costs of subsidizing petroleum products in the state's general budget, reducing the pollution rate, preserving the environment, and benefiting from recent discoveries of natural gas, in addition to reducing the cost of importing diesel.

Q: Who is responsible for financing the car replacement project?

A: The Ministry of Trade and Industry announced that the Small, Medium, and Micro Enterprises Development Agency (SMED) would finance the transfer of the total number of targeted vehicles.

Q: How many vehicles are targeted to be converted? And costs transferred?

A: It is targeted to convert 150,000 cars within 3 years ending in 2023, at a transfer cost of 1.2 billion pounds. It was also agreed to transfer 50-75 thousand cars annually at a cost of 400-600 million pounds.

Q: Are there dual-fuel cars, gas and petrol?

A: About 47,000 cars were converted to work with dual fuel gas / petrol, with a total financing of 252 million pounds, which helped create 47,000 job opportunities.

Q: What is the percentage of funding provided by the Projects Authority?

A: The agency will provide institutional support to the program at a value of 2% of the funding amount to cover the item of advertising and train the beneficiaries to deal with cars converted with natural gas, and the device was approved to pump 200 million pounds by pumping equally between Cargas and your gas companies to convert 25,000 vehicles.

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