According to Reed Intelligence the Global Natural Gas Filling Stations Market Size will approximately grow at a CAGR of 9.8% during the forecast period.
Natural gas is generally composed of methane and is a type of fossil fuel. It is a cleaner-burning fuel than coal or oil and a major source of energy in various regions of world. It is a major source of electricity in many countries across the world. It is used to generate electricity in power plants, and it is also used to fuel combined heat and power plants.
It is major source for producing heat and is commonly used in cooking and heating purposes by residents and industries. Natural gas can be used as a major source of fuel in vehicles.
Natural gas filling stations are places where natural gas vehicles (NGVs) can be refuelled. They are similar to gasoline or diesel filling stations, but they use natural gas instead of petroleum-based fuels.
There are two types of natural gas filling stations compressed natural gas (CNG) and liquefied natural gas (LNG). The natural gas at CNG stations is filled at high pressure and The LNG store the natural gas at low temperature. NG Gas stations are more common as the cost lower. The refuelling process at a natural gas filling station is similar to the refuelling process at a gasoline or diesel filling station. As the natural gas is lighter than the diesel the time taken to refuel is lower in case of natural gas. Natural gas filling stations are becoming more common, making it easier to find a place to refuel.
The demand for natural gas is driving the market of natural gas stations. As there is increase in number of natural gas vehicles and consumption of natural gas due to increasing population.
The increase in demand for natural gas is having a good impact on natural gas filling stations. As a greater number of people are switching to Natural Gas Vehicles, the demand for natural gas filling stations is increasing. This is leading to the construction of new natural gas filling stations and the expansion of existing stations. This is because NGVs need to be refuelled with natural gas, and there are no enough natural gas filling stations to meet the current demand of natural gas. The Construction of Natural gas stations is being done in areas where there is a high concentration of NGVs, as well as in areas where there is a growing interest in NGVs. The need of natural gas is also leading tom expansion of the existing natural gas stations. These factors are driving the demand of natural gas stations.
People are becoming more aware of the environmental impact of traditional fuels. As a result, there is a growing demand for natural gas vehicles (NGVs). This is driving the demand for natural gas filling stations. Governments are increasingly introducing regulations that promote the use of clean fuels. This is creating an impact on environment for the development of natural gas filling stations. The environmental concern which is now increasing due to increasing pollution and diseases caused due to it is a major factor that is driving the demand of natural gas usage instead of Deisel. These factors are driving the demand of the natural gas filling stations market.
The increasing demand due to increasing population acts as a major restraint for the availability of natural gas in various regions. The low number of gas stations are restricting the people needing natural gas in a specific region. The limited availability is becoming the major reason for the increased prices of the natural gas which is restricting the usage due to low paying capacity of the people to buy it which results in lower demand and more use of diesel which causes pollution. Hence limited availability of the natural gas acts as a major restraint of the natural gas stations market.
The high costs of natural gas have an adverse effect on the natural gas filling stations market. As the paying capacity of the people is low or the prices of natural gas are increasing beyond affordability, people cannot purchase natural gas from the stations. Especially the vehicles that use natural gas and are using it for commercial purposes are increasing the rent of traveling, which is becoming less affordable for people and hence reducing the use of public transport. These factors are slowing down the growth of the sales at the natural gas stations, which has a bad impact on the market of natural gas filling stations.
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|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, Environment & Regulatory Landscape and Trends|
CNG stands for Compressed natural gas. This gas is being compressed to a higher pressure which makes it easier for storage and transport. CNG filling stations are places where CNG vehicles can be refuelled. They are similar to gasoline or diesel filling stations, but they use CNG instead of petroleum-based fuels. There are two main types of CNG filling stations;fast-fill and time-fill. Fast-fill stations use a compressor to compress the CNG to a high pressure, which allows vehicles to be refuelled quickly, while Time-fill stations do not use a compressor, so the CNG is stored at a lower pressure and vehicles take longer to refuel. CNG filling stations are generally located near highways and in areas with a high concentration of CNG vehicles. The refuelling process at a CNG filling station faster than the refuelling process at a gasoline or diesel filling station.
Natural Gas stations are available to provide natural gas to the vehicles. LNG is a natural gas cooled to a liquid state at -260°F. The LNG tanks at LNG filling stations are generally much bigger than the gasoline or diesel tanks at traditional filling stations. This is because LNG is much denser than gasoline or diesel, so it takes less space when it is in liquid form. LNG dispensers are specifically designed in such a way that they can handle the cold temperatures of LNG. They also have special features to prevent the release of LNG vapours into the atmosphere. LNG is typically less expensive than gasoline or diesel. It is also a cleaner-burning fuel than gasoline or diesel.
Natural gas filling stations are used to refuel vehicles that use natural gas to operate. The use of these vehicles is increasing due to an increase in awareness of their less hazardous emissions. There are two main types of gas stations, compressed natural gas filling stations and liquefied natural gas (LNG) filling stations. The natural gas is pumped into the vehicle's fuel tank, similar to diesel refuelling. The refuelling process at a natural gas filling station is faster than at a gasoline or diesel filling station. This is due to the lighter weight of natural gas. The use of Natural gas vehicles is increasing as a way to reduce fuel costs and emissions. In some countries, natural gas vehicles are provided with government incentives, making them more affordable.
The Natural Gas which is used by the Ships is mostly Liquified Natural Gas. Natural gas filling stations for ships are increasing due to increased demand for LNG-powered ships. LNG has a lower carbon footprint and a cleaner-burning fuel than traditional marine fuels, such as diesel and heavy fuel oil. There are two types of natural gas filling stations for ships. Shore-based filling stations and Bunkering vessels. Shore-based filling stations are located at ports. The ships that dock at these facilities are fuelled with natural gas. Bunkering vessels are ships specifically designed to transport LNG to other ships. The ship pulls up to the filling station or bunkering vessel and connects to the refuelling hose. Then the LNG is pumped into the ship's fuel tanks. LNG-powered ships have a long-range than diesel-powered ships due to the energy density of LNG.
The Natural gas market in North America is expected to grow at a CAGR of 5.9%. The largest segment is Power generation. The industrial demand for refining Petrochemical and fertilizers is increasing the demand for natural gas in North America.US is growing at a faster rate in the region country. The need to reduce carbon emissions is a major driver in the region. In the US, decarbonization policies are implemented to reduce carbon emissions.
Similarly, the LNG market in Canada is expected to grow at a CAGR of 5%. Canada is a prominent producer of Liquified natural gas. The companies are investing high amounts in LNG projects. Hence the demand for natural gas stations is increasing due to the increasing demand for natural gas in various countries of the region.
The growing demand for LNG is the major driver of the Natural gas filling stations in Europe. Norway is the fastest growing market in the region as the government policies have been put forth for the increase in natural gas production to fulfil the demand, increasing the investments. European government aims to achieve zero carbon emission by 2050. The upstream sector in Europe is another driver of natural gas. The commercial vehicle market in Germany is growing faster. As vehicles shift towards natural gas as fuel from diesel, the demand for natural gas stations is increasing. The natural gas filling station has a good opportunity to grow in the region in the upcoming years.
The Natural Gas market in India is expected to grow at a CAGR of 3.5%. Piped natural gas is the fastest-growing sector, and the demand for petroleum is the key driver of the market. The Indian Government is investing high amounts in oil and gas pipelines as the natural gas vehicles market is growing in the region, leading to increased gas refuelling. The Atmanirbhar Bharat program aims to increase the distribution range of natural gas and create a gas-based economy. The Gas generator market in China is growing as natural and cleaner gas awareness increases. The growing population of China is expected to drive the demand for power and the manufacturing industry. All these factors drive the demand for Natural Gas in the Asia Pacific region.
The chemical industry is the largest industrial gas segment in Brazil. In April 2021 the Brazilian president signed the New Gas Law to promote natural gas usage and made strategical investments in the natural gas sector. The Oil and gas midstream market is expected to grow at a CAGR of 1.9%. Several factors such as increased oil and gas consumption is driving the demand for natural gas. The pipeline sector is expected to grow stagnantly in Columbia. The natural gas filling stations market is expected to grow steadily in the South American region.
The increase in usage of natural gas in power consumption and the automobile sector is increasing the demand for natural gas leading to more natural gas production in the region. The rise in economic capacities of the region is leading to the usage of natural gas and investments in natural gas production. Nigeria is expected to dominate the market in the region. The government of South Africa is initiating gas-to-power projects to enhance the use of natural gas for power generation. These factors are overall driving the region's demand for Natural gas refilling stations.