Use of natural gas in truck, taxi and bus transport - Vulovic Transport invests EUR 1.2 million in CNG station

The bus that operates on the route 45 in Belgrade is only one of 12 vehicles powered by compressed natural gas (CNG) in the fleet of the capital city's transport company GSP.

These vehicles are made by Kragujevac-based Vulovic Transport, which has produced the first low-floor city bus powered by natural gas in Serbia in association with MAZ plant in Belarus.

That project won the special award for the best social utility, which is one of the awards presented at the Aurea awards ceremony.

About EUR 2 million have so far been invested in the procurement of land, equipping of production units, procurement of technologies, staff training, and launching of the first bus. Aside from the fact that this company is the only manufacturer of such vehicles in Serbia, the specific characteristic of this bus is reflected in an innovative use of the system of connected gas tanks made of light composite materials. The author of all technical-technological solutions for the low-floor bus is the expert team of Vulovic Transport. It should be mentioned that the engineers from the Military Technical Institute in Belgrade also worked on the project.

However, this company has continued to invest in the project. Since a CNG station is necessary for such vehicles to become part of the systems of transport, Vulovic Transport has started a new investment cycle with the aim of building one such station.

- The construction of a CNG station will resolve all dilemmas of the "diesel lobby". All those who doubt our story about the safety and profitability of gas-powered buses will be reassured in this way – Zoran Vulovic, director of the company, explains for eKapija.

Vulovic says that a total of about EUR 1.2 million will be invested in the construction of the CNG station. He adds that part of the money for the procurement of a gas compressor has been provided from a very favorable RSD 32 million loan granted by the Ministry of Environment Protection and the Environment Protection Fund.

Problem with infrastructure

(Zoran Vulovic)

- It is a great pleasure for me to see my own buses operating in Belgrade. A total of 12 buses made by Vulovic Transport are now in use in the capital city. There are indications that several other companies will also buy these buses, but the main obstacle to the expansion of our business is the lack of infrastructure, that is, CNG stations of certain capacities – says director of Vulovic Transport.

He adds that he is happy to learn that the company KryoGas plans to build a CNG station of larger capacity on Orlovaca, which would enable the undisturbed incorporation of CNG-powered buses into the systems of public transport.

However, such CNG station does not necessarily have to be intended for buses only. The number of passenger automobiles powered by CNG is constantly growing, while taxi drivers are particularly interested in such solutions.

Natural gas-powered trucks

Solutions of the Kragujevac-based company may soon find their use in another field of transport. Namely, as Vulovic explains for eKapija, public utility trucks would also benefit a lot from these solutions.

- We plan to finish that project until the next Car Show in Belgrade. It should be mentioned that such solutions will also apply to delivery vehicles.

Conquering cities in Serbia

The lack of infrastructure also prevents Vulovic Transport from selling its buses to transport companies in other cities in Serbia. That is why they have decided to offer to finance the construction of a CNG station or to form a joint venture if a transport company buys 50 buses.

- It is important to us that our production expands and earns us a dominant position in the market of southeast Balkans - Vulovic explains.

With 80 employees, the company can produce about 350 buses a year, but their principle is that they do not hire new people until already produced buses are sold.

They plan to deliver about 50 buses in 2011, some of which will be equipped with diesel engines since Vulovic Transport assembles such buses as well.

The interest of companies from Croatia is big and Vulovic Transport has already been contacted by some companies from Karlovac, Rijeka, Zadar.

- I am sure that there should be no obstacles to the export of our buses to neighboring countries - Macedonia, Bulgaria, Romania - since the price-quality ratio is phenomenal - Vulovic points out.

Although manufacturers mainly see the price as a business secret, Vulovic says for eKapija that their CNG-powered bus can be bought at the price ranging from EUR 177,000 to EUR 196,000, depending on the version.

More information on the Aurea award on www.aurea.rs