Mr. Phung Dang Hai, Director of Ho Chi Minh City Transport Cooperative Union, said that in early 2009, Saigon Passenger Transport Company and Quyet Thang Transport Cooperative received two CNG-powered buses. However, due to procedural and financial obstacles, these buses were only put into trial operation late last week.
To accelerate the deployment of clean-fuel buses, at a recent meeting between the HCMC Department of Transport and bus operators, transport units proposed that the city provide partial financial support for vehicle purchases or offer long-term loans with low interest rates.
In addition, the city should implement policies to reduce import taxes on vehicles and equipment related to fuel conversion, and exempt corporate income tax for businesses operating CNG-fueled buses.
Mr. Pham Dinh Thi, General Director of Saigon Passenger Transport Company, said that the cost of a new bus is about USD 100,000. Installing a conversion kit from diesel to CNG costs around USD 13,000–15,000 per bus; replacing the engine costs up to USD 30,000 per bus.
These issues raised by enterprises are currently awaiting consideration and budget approval from the HCMC People’s Committee.
According to the conversion plan of the HCMC Department of Transport for the 2009–2011 period, the city will convert and put into operation 38 CNG buses on routes 30 (Tan Huong Market – Suoi Tien) and 91 (Mien Tay Bus Station – Thu Duc Wholesale Agricultural Market). After 2011, around 500 CNG-fueled buses, mainly operating on inner-city routes, will be introduced.
Currently, HCMC has 153 bus routes with 3,208 vehicles, of which 2,426 buses run on 17 diesel routes. With fuel prices fluctuating continuously, transport costs are rising, leading to increased city subsidies for bus operations. In 2010, bus subsidies in HCMC amounted to VND 700 billion, up VND 100 billion compared to 2009.
(Thoi Bao Kinh Te Sai GoGon 10/5)
