Environment knowledge sharing program : promotion of natural gas vehicle in Korea

Abstract

In the beginning of year 2000, the quality of air in the metropolitan area including Seoul was in seriously bad condition. The concentration of fine particles exceeded the national environmental standard of sharp increase in the concentration of ozone. The situation at that time was the worst among the major cities of OECD countries. The causes for the drastic worsening of air quality in the metropolitan area was mainly due to increased numbers of automobiles, i.e. heavy-duty vehicles, recreational vehicles, diesel passenger cars, etc. The increase of the number of overall vehicles on the road in Korea has become a significant source of air pollution and in particular, diesel vehicles emit large amount of particulate matter (PM10) and nitrogen oxide (NOx). These pollutants can lead to serious damage to human health with studies that suggested 9,641 people per year died prematurely due to fine particles in Seoul (Institute for Environmental Research, Yonsei University, 2000). With such significant impact on the air quality and to human health, diesel buses are being replaced by NGVs (natural gas vehicles). Pilot projects for NGVs started in 1998 and as of December 2010 total of 8,383 buses and 431 garbage trucks in Seoul have been introduced. Currently, 85.6% of the nation’s total number of registered buses (30,359) is NGV buses. In order to increase the demand for natural gas buses, financial incentives and tax benefits are being offered for the purchase of vehicles, or for the installation and operation of natural gas stations. As of December 2010, there are a total of 153 natural gas charging stations. The NGV distribution project is deemed to be one of the successful environmental policies. It significantly contributed to the improvement of the atmospheric environment in the nation’s major cities. In the case of the Seoul Metropolitan Area in particular, air quality has improved remarkably as a result of the NGV distribution project. For instance, as an environmental effect of CNG buses, fine particle (PM10) concentration in Seoul was reduced from 65㎍/㎥ in 2000 to 47㎍/㎥ in 2010. Furthermore, the environmental improvement benefit resulting from the natural gas bus was estimated to be KRW 1.643 trillion and the net economic benefit was estimated to be KRW 1.271 trillion.