It is a watershed moment for the Indian trucking industry. The definitive draft policy the Union Oil Ministry unveiled in September plans to fuel no less than a third of India’s long-haul trucking fleet with liquefied natural gas (LNG) instead of diesel in the next 5-7 years. Around 70 percent of India’s goods are moved by trucks, a market that will grow four times by 2050, according to Niti Aayog. Moving the needle on LNG adoption by trucks, as the draft promises, will be pivotal in India’s progress towards turning Net Zero by 2070.
Offering a combination of lower emissions, reduced pollution, and high efficiency, LNG trucks are helping tackle the transport sector’s sustainability challenges around the world. The European Union’s Green Deal, for instance, emphasises the need for low-carbon technologies across transport sectors, pushing forward LNG as a preferred solution for long-haul trucking. In China, where LNG trucks already constitute a significant portion of the heavy-duty fleet and about a fifth of total new truck sales, the government is further incentivising as part of its goal to peak carbon emissions by 2030.
According to the International Energy Agency (IEA), the overall transportation sector (road and other modes) accounts for nearly 24 percent of global CO₂ emissions. In India, long-distance trucking alone is responsible for 35-40 percent of the total road transport emissions.
Curbing carbon emissions is integral to paving the way for a sustainable future of transportation, and India will need an ‘all-hands-on-deck’ approach to shake off the tag of being the fourth highest CO2 emitter in the world. Compared to diesel vehicles, LNG trucks can cut carbon dioxide (CO₂) emissions by up to 30 percent. Apart from greenhouse gases, the transport sector also adds PM2.5 and other harmful oxides. LNG trucks don’t emit any sulphur oxides (SOx) or particulate matter, both of which contribute heavily to urban air pollution and public health complications, and account for negligible nitrogen oxides, another pollutant.
A shift to LNG-powered trucks can transform heavy-duty and long-haul trucking, where alternative green solutions such as electric vehicles (EVs) face limitations like battery range and charging infrastructure.
By 2050, it is expected that 15 percent or more of imported fossil fuels will go towards heavy long-distance trucking. Accounting for 50 percent of India’s crude oil consumption, our transport sector would do well by looking at alternatives to fossil fuels, to not only make way for a greener future but also to cut our oil imports.
Should our heavy-duty trucks travelling long distances shift to LNG, they could become a cornerstone in raising natural gas’ share in India’s energy mix from 6 percent to 15 percent by 2030, a crucial stepping stone to 2070.
Governments and private sector players across the globe are focussing on increasing LNG refuelling stations because only then will long-haul LNG trucking truly come into its own. While the National Gas Grid is expected to increase the availability of alternative energy sources in India, we must turn our attention to ramping up LNG stations along major highways well beyond the 1,000 planned so far, for trucks to refuel without disruptions.
Even fleet owners are realising the cost benefits of LNG, as it is a more stable and cheaper alternative to diesel. Estimates suggest that LNG-powered trucks could reduce fuel costs incurred by fleet operators by as much as 40 percent.
Apart from being cleaner and quieter compared to diesel trucks, LNG trucks match them for range, typically covering up to 1,400 km on a full tank. This makes them suitable for long-haul operations, unlike EVs limited by shorter ranges and longer refuelling times.
For example, LNG trucks are helping the nation-building industries of steel and cement cut their carbon emissions. The millions of tonnes of CO2 emitted by the Indian steel and cement industries present a veritable challenge, with a study finding they need Rs 47 trillion in capital expenditure to achieve net-zero carbon emissions. LNG trucks are a cost-effective way of realigning their logistics to become more energy efficient.
When talking about the future, there is no scope for procrastination. We must act now. Though electric and hydrogen vehicles will undoubtedly play crucial roles in transportation, LNG is an immediate and viable alternative for long-haul trucks.
Long-haul trucks are the lifeblood of the logistics and transport industries. With the Indian consumer market set to emerge as one of the top three global markets, the trucking sector can only grow exponentially. By 2050, if we don’t transform our long-distance heavy tracking, the emissions from trucking are estimated to make up 15 percent of the country’s total emissions. As the world moves toward decarbonisation, LNG trucks are a practical scalable answer to making long-distance trucking more sustainable. India’s draft policy to push for LNG trucks could see us not only curb pollution and meet our climate goals but also enhance the efficiency and competitiveness of our logistics sector.
