Non-civilian natural gas price increase LNG power car prospects are impacted


Non-civilian natural gas started the first working day after the price adjustment yesterday (July 10). The reporter learned from relevant sources that the domestic LNG (liquefied natural gas) ex-factory price also ushered in a round of gains due to non-civilian natural gas price increases.

On June 28, the National Development and Reform Commission issued a notice to start raising the price of non-civilian natural gas on July 10. The National Development and Reform Commission divides natural gas into inventory gas and incremental gas, of which the maximum price increase per cubic meter of inventory valve station price does not exceed 0.4 yuan, and the price of incremental valve station is based on the price of alternative energy (fuel oil, LPG)85 %determine. After adjustment, the average national gate price increased from 1.69 yuan per cubic meter to 1.95 yuan per cubic meter.

The reporter learned from Zhuo Chuang Information that, after implementing the new price standard for natural gas portals for non-residents, the stock gas prices in various regions increased by about 0.2 yuan to 0.4 yuan per square meter, and the increase in incremental gas was more than 1 yuan per square meter.

Due to the increase in the prices of LNG upstream gas gate stations, domestic production of LNG also increased, with the maximum increase at around 500 yuan per ton. The reporter learned that the average domestic market price of LNG was about 4,500 yuan/ton, so the price increase was about 10%.

It is understood that LNG downstream industries mainly include power generation, urban gas, and transportation industries. The increase in LNG prices has a significant impact on the downstream industries, especially for LNG power generation companies. The reporter learned from Zhuochuang Information that if the price increase of yesterday was calculated into the cost of LNG power generation companies, then the cost of electricity produced by LNG power generation enterprises will increase by 2.25 points per kWh. This is for industrial and mining companies that use LNG power plants. This is not a small burden.

Zhuo Chuang Wang Xiaokun, an information natural gas analyst, believes that after the rate of price increase was raised yesterday, the LNG-producing factory did not pass all the upward adjustment prices to the downstream, mainly to take care of the downstream bearing capacity, so it is expected that there will still be a price increase plan in July.

In addition, due to the wider use of LNG in the public transport sector, industry insiders believe that the increase in LNG ex-factory prices may become an obstacle to the development of public LNG power vehicles.

According to relevant statistics, the number of new LNG passenger cars planned to be purchased across the country this year is 4,438 units, which is less than 3,000 units compared to the end of last year, an increase of nearly 150%, of which 3,000 are demand in the Beijing area. It can be seen that the prospects of LNG power vehicles are still broad.

The reporter learned that public LNG power cars have strong economic benefits. Calculated on the same power, the cost is 30% lower than that of diesel. In addition, the LNG unit's carbon emissions are only 70% of that of diesel, which is in line with national environmental protection requirements. According to analysis, the compound growth rate of public LNG power vehicles will exceed 50% in the next three years.

Some analysts believe that due to the high investment in LNG power cars and the relatively high price, they are not very convenient in terms of maintenance. In the context of LNG price increase, the economic benefits of LNG power vehicles are lower than those of conventional diesel vehicles. It is very obvious, so it will have a certain impact on its market prospects.

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