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Transneft Plans Motor Fleet Conversion to Natural Gas

Date of publication: 4 October 2018 Printable version


Pictured: Pavel Revel-Muroz, Vice-President of Transneft, and Vitaly Markelov, Deputy Chairman of the Gazprom Management Committee, are signing a cooperation agreement.

Pavel Revel-Muroz, Vice-President of Transneft, and Vitaly Markelov, Deputy Chairman of the Gazprom Management Committee, have signed a cooperation agreement at the Eighth International Natural Gas Forum in St. Petersburg.

Alexey Miller, Chairman of the Gazprom Management Committee, was present at the signing ceremony.

In particular, the sides plan joint implementation of sectoral and regional programmes for the promotion of natural gas vehicles.

Transneft will inform Gazprom of its plans to adopt natural gas vehicles at its enterprises. In its turn, Gazprom will develop a network of natural gas filling station, taking the potential demand for gas from Transneft into consideration.

The signed agreement will make it possible, through interaction with Gazprom:

- to use natural gas filling stations located at Gazprom’s facilities;

- to coordinate the creation of natural gas filling infrastructure in priority (for Transneft) locales of operating vehicles and special equipment running on compressed natural gas (CNG);

- to build up acquisition of natural gas vehicles, using which will provide extra savings.

For reference:

As of 2018, more than 24,000 vehicles and special equipment deployed in 374 transport units are operated at Transneft subsidiaries. The total headcount at Transneft transport units is 19,600 employees. The average annual run per vehicle is 25,000 km.

To cut fuel costs, and in accordance with the Transneft Transport and Special Equipment Provision Development Programme for 2017-2021, approved by the Company’s Management Board, as well as the Programme for Conversion of Transport and Special Equipment to Natural Gas as Fuel, developed in pursuit of the instructions from the Ministry of Energy of the Russian Federation, consistent effort is made to increase the number of vehicles fuelled by compressed natural gas.   

In 2017, Transneft subsidiaries bought 30 vehicles and special equipment units running on CNG, and until 2019 the supply of up to 200 similar vehicles is planned. If the signed agreement is successful, Transneft plans to convert up to one third of its entire motor fleet to natural gas.

The main advantage of using CNG as a vehicle fuel is its lower cost. At present, the price of 1 m3 of CNG (equivalent to 1 l of liquid fuel) is 17 roubles including VAT, whereas 1 l of liquid fuel costs 45 roubles including VAT.

An experimental operation of 30 CNG-powered vehicles by Transneft entities showed the reduction of fuel costs by up to 56% as compared to the cost of using similar vehicles running on traditional liquid fuels.

The main factor constraining a more rapid increase in the number of gas vehicles is the lack of a developed natural gas filling infrastructure in the regions of Transneft’s operation. Natural gas filling stations mainly cater to municipal auto enterprises in regional centres and to motorways of federal importance.


Pictured (left to right): Pavel Revel-Muroz, Vice-President of Transneft, Alexey Miller, Chairman of the Gazprom Management Committee, Vitaly Markelov, Deputy Chairman of the Gazprom Management Committee

Transneft Press Service
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