5 Oct 2016 09:46

Subsidies for natural gas vehicles in Russia could total 10.5 bln rubles in 2017-2019 - ministry

ST. PETERSBURG. Oct 5 (Interfax) - Subsidies for the development of natural gas vehicles (NGV) in Russia could total about 3 billion-3.5 billion rubles per year in the next three years, Industry and Trade Minister Denis Manturov said on Tuesday.

"We're proceeding from the assumption that [subsidies to increase the number of NGV in Russia will total] at least 3 billion-3.5 billion rubles per year over the next three years," Manturov told reporters in St. Petersburg.

He said his ministry has drafted such an application for subsidies for the next few years and submitted it to the government.

"I can say that we have submitted a number of major changes to the rules for provision of subsidies. Previously we provided subsidies directly to Russian regions, but this measure will be more effective with provision of funds to producers of automobiles that run on natural gas fuel," Manturov said.

He said the changes will make it possible to expand the range of consumers beyond municipal purchases, "particularly if we're talking about a consolidated order, such as by retail chains or major producers."

There are about 100,000 automobiles running on natural gas fuel in Russia out of a fleet of 45 million, he said.

"We now have the possibility to supply at least 17,000 automobiles of all types and are proceeding from the assumption that this amount should increase in an arithmetic progression taking into account the creation of the necessary infrastructure [for NGV]," Manturov said.