Gas grants extended

Press, 30 May 1981, Page 6

Gas grants extended

PA Wellington The Government has decided that the $2OO grant given to motorists who have a C.N.G, conversion kit installed will also be available, i to vehicle owners intending to use biogas fuel. This was announced yes- ■ terday by . the Minister of Energy (Mr Birch). The grant will be paid at the wholesale level and has the effect of reducing .the price paid by the vehicle owner by more than $2OO. Availability of the grant would be of particular in-

terest in the South Island, the Minister said. “The absence of natural gas there has seen greater attention being given to bio- • gas production,” he said. “Biogas is similar to natural gas, particularly after the product has been treated, as the main constituent of both is methane. “The gas is produced from plant .and animal materials, usually wastes — fowl, pig, and cow manure, sewage, and such like — which are subjected to a process of fermentation with oxygen ex-

cluded” <•. . i. Mr Birch said the Government, recognised that biogas could be a useful substitute for imported, fuels, particularly if the feedstock was waste material that had no other commercial value. Under those circumstances, the cost would be competitive with imported fuel. The similarity between biogas and natural gas meant that the same equipment could be used to convert vehicles to run on either,, with tuning adjustments as necessary, he said.