Gasoline price increase makes CNG become much more sought after in Brazil

The Federation of Industries of the State of Rio de Janeiro (Firjan) gathered information that CNG-kit installations grew 15% throughout Brazil and 11% in the state of Rio de Janeiro in the first half of 2021 alone. data were raised at the request of the Vehicle Repair and Accessories Industry Union of Rio de Janeiro (Sindirepa). The increase in the price of gasoline is the main driver.

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The search for CNG has increased a lot, mainly due to the unbridled increase in the price of gasoline in 2021. So far, there have been six increases, with a 54% increase accumulated in refineries. Because of this, CNG gains even more strength as a great alternative to cut the costs of keeping a vehicle in 2021.

CNG is increasingly used because it is much cheaper per kilometer compared to Gasoline. A firjan points out that for every real spent on gasoline, two and a half times more is driven on CNG. The federation also points out that CNG is much more sought after in Rio de Janeiro. 75% of the gas market in the country belongs to state.

Increase in fuels makes the search for CNG soar in Brazil

"CNG in Rio is a success story, because it is not just the IPVA discount that makes it more attractive. But it also has the reduction of polluting levels for society”, highlighted Mattos in a text on the Portalviu website, the vice-president of Firjan. One of the reasons for greater use in Rio de Janeiro is due to tax incentives. Owners of cars with CNG have an IPTA discount in several states, but the discount in Rio is much greater.

Carlos Mattos also points out that the growth in the search for CNG generates jobs in the sector: "When there is an increase in demand for facilities, it generates new jobs and, consequently, more revenue and income for the state. In other words, it is a virtuous cycle.".