It has also decided to allow LPG as an auto fuel, and the ministry of petroleum and natural gas is amending the LPG Control Order. The ministry of surface transport is also amending the Motor Vehicle Act.

The committee, comprising the ministry of petroleum and natural gas, the ministry of surface transport, and representatives of the automobile industry, has asked Telco and Ashok Leyland to undertake trials by substituting CNG and LPG in diesel engines.

Passenger car majors like Bajaj Auto, Maruti Udyog, Hindustan Motors, and Ind Auto have been asked to study and send their reports on fitting the CNG kits.

The Association of Indian Automobile Manufacturers (AIAM) is coordinating the study and trials on alternative fuels to be undertaken by the auto companies, and areport is to be submitted to the government.

Alternative fuels are being considered with the growing need for minimising pollution owing to auto emission. LPG is being used as an auto fuel in various countries. The government has set up two committees to examine various aspects of using LPG as an auto fuel, given the increased availability of LPG import facilities at various ports both by the private- and public-sector oil companies.

Earlier, owing to its shortage, LPG was not even considered for meeting the demand of domestic customers. Compared to high-speed diesel, CNG reduces pollutants in auto emission to about 70 per cent. There are nine CNG outlets in the capital, but their utilisation is only 20 per cent. The demand is expected to rise in view of the various Supreme Court directives.

The Gas Authority of India (Gail) will be expanding the CNG outlets to 80 by March 31, 2000.

Di-methyl ether, which can be obtained from natural gas, is being talked as the 21st century fuel, and a project isbeing set up in the country. Amoco has entered into an agreement with Gail/Indian Oil Corporation/IIP to form a joint venture with 50 per cent foreign equity, and the balance domestic.

Alcohol has also emerged as an alternative fuel. In Brazil, about 70 per cent of alcohol, mixed with 30 per cent of motor spirit (MS), is being used as an auto fuel. In India, there are various constraints to implement use of alcohol as an auto fuel. Its availability has to be consistent, and the quality anhydrous, apart from the price being comparable with motor spirit.

The committee is also expected to study the economic and environmental costs of retrofitment of CNG kits in old vehicles, and whether the fuel can be recommended for new vehicles in a particular category.