Good Morning

Mr Mark Choong, Deputy Managing Director of Borneo Motors,

Mr Toru Tsuji, General Manager, Toyota Motor (Asia Pacific)

Distinguished guests, Ladies and Gentlemen

It is my pleasure to be here with you this morning at this flag-off ceremony for Toyota Compressed Natural Gas (CNG) Taxis. This is an important event as it represents another step in Singapore’s efforts to bring in vehicles running on clean fuels. I would like to congratulate Comfort, CityCab, TIBS, Borneo Motors and Toyota for setting another significant milestone in the introduction of CNG vehicles into Singapore.

Natural gas is a clean fuel. CNG vehicles emit negligible amounts of particulates and other air pollutants compared to conventional diesel and petrol vehicles. CNG vehicles also emit less carbon dioxide, which is the main contributor of global warming, than petrol or diesel vehicles. Getting diesel buses and taxis to use natural gas will go a long way towards ensuring good air quality in Singapore. Being quieter, CNG vehicles also provide a more pleasant and comfortable ride for the passengers.

Singapore will soon be getting its second natural gas supply from Indonesia or, more specifically, South Sumatra in mid 2003 via a submarine pipeline. Together with the gas pipeline from Natunas, a total of 475 million cubic foot per day (mmscfd) of natural gas will be piped from Indonesia to Singapore. The volume is expected to increase to 675 mmscfd by 2009. The consumption of this quantity of natural gas will have a significant impact on our air quality, as it will result in the burning of smaller quantities of liquid fossil fuels, which emit more pollutants.

Many countries have also recognised the clean burning benefits of natural gas. Hence, CNG vehicles are gaining popularity in Japan, Europe, China and in this region. According to the Agency of Natural Resources in Japan, the population of natural gas vehicles in Japan is expected to overtake the population of liquefied petroleum gas (LPG) vehicles within the next 10 years. In Europe, CNG vehicles are being promoted in cities to improve air quality and reduce their carbon dioxide emissions. China, Australia, Malaysia and Thailand are also using CNG buses and taxis as part of their strategies to achieve cleaner air in their cities.

Looking ahead, we face two challenges to promote the use of CNG vehicles in Singapore. The challenges are putting in place a CNG refuelling infrastructure and keeping the cost of CNG vehicles competitive with the conventional vehicles.

On the infrastructure side, the National Environment Agency (NEA) is working with gas suppliers and fleet operators to build CNG refilling stations on the main island. This means that users of CNG vehicles would find it more convenient to refill their CNG vehicles and would hence be encouraged to purchase them.

While the green vehicle rebates, which were extended to CNG vehicles in Oct 2001, have helped to bridge the cost difference between CNG vehicles and conventional vehicles, it is deemed to be not enough to constitute a significant incentive. To address this issue, NEA is working with LTA and other agencies to review the green vehicle rebates. I am confident that as technology advances and with rising demand, the cost of CNG vehicles will eventually become comparable to that of conventional vehicles. I am happy that Toyota has given its full support to Singapore’s pilot CNG taxi programme by developing its flagship CNG Toyota Crown taxis especially for use in Singapore.

In order to facilitate the introduction of more CNG vehicles, a working group known as the CNG Standards Working Group has been formed to develop codes of practice (COPs) for CNG vehicles, workshops and refilling stations in Singapore. This Working Group is led by the Motor Industry Certification Board and comprises members from regulatory agencies, SPRING Singapore, motor and gas industry. These COPs are expected to be ready by mid 2003.

Close partnership with the community at all levels is crucial for ensuring a sustainable quality environment in Singapore. NEA recognizes this as well as the fact that close partnership among the people, private and public (3P) sectors is the key to achieving this goal.

NEA has always enjoyed a close working relationship with the motor industry in controlling vehicular emission. For the widespread use of green vehicles such as CNG vehicles to become a reality, NEA must work closer with our 3P partners to promote such vehicles and facilitate their introduction and use in Singapore.

Today’s event is an excellent example of such a 3P partnership initiative. Borneo Motors, in partnership with Comfort, CityCab and TIBS will launch 8 CNG Toyota Crown vehicles for test-bedding as taxis in support of NEA’s effort to promote the use of CNG vehicles in Singapore. This initiative is a step forward in our efforts to work towards achieving clean air and environmental sustainability. I would like to say a big "Thank You" to everyone who has contributed, in some way or other, to this 3P partnership initiative.

On this note, it is now my pleasure to flag-off the CNG taxis. Thank you.

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