KUALA LUMPUR: Malaysian roads will be free of all natural gas vehicles (NGVs) by July 1 next year, says Transport Minister Anthony Loke.
He said the decision was taken by the Cabinet on Oct 2 due to safety concerns.
“Any vehicles powered by NGV will not be allowed to be registered or licensed for use on roads in Malaysia based on safety concerns for road users beginning July 1, 2025,” he told a press conference when visiting the PETRONAS Cochrane Perkasa station yesterday.
He added that PETRONAS would immediately begin phasing out the sale of NGV fuel at its stations and completely halt sales by next July.
According to Road Transport Department (JPJ) figures, there are currently 44,383 registered NGVs which were either dual-fuel or dedicated NGV vehicles, said Loke.
Of the total, 9,509 are NGV taxis, 32,137 private registered NGV vehicles, 2,150 NGV buses and lorries, and 587 NGV vehicles used for machinery works.
“Based on JPJ records, dual-fuel NVGs make up 95% of registered NGVs. The remainder are fully NGVs or mono-fuel.
“Besides motorcycles, NGVs represent a very small percentage – only 0.2% – of the total vehicle-to-population ratio,” he said.
Loke pointed out that most dual fuel NGVs were modified and installed with NGV kits between 1995 and 2014.
He said the safety of road users was the main reason for the shift in policy with regard to the use of NGVs.
“NGV tanks have a lifespan of 15 years for safe use,” he added.
“If not replaced, they will become unsafe.”
He said that it would cost more than RM7,000 to replace an NGV tank.
“Based on feedback, there are NGV vehicle owners who have relied on used NGV tanks or carried out unauthorised modifications by using LPG (liquefied petroleum gas) tanks,” he added.
Since 2008, there have been six incidents involving NGV explosions, resulting in damage and the loss of life, said Loke.
“The latest incident happened on Oct 1 in Bangkok where an NGV bus burst into flames, killing 23 students and a teacher.
“It was believed to have been caused by the illegal installation of a modified NGV cylinder which was ignited by sparks due to friction,” he said.
To help ease the transition for NGV owners, Loke said several aid packages would be made available.
“The first package will offer NGV taxi drivers a one-time e-voucher worth RM3,000, which will be provided through the Setel app.
“Taxi drivers will receive their payments through the Setel app within 14 to 30 days of a successful application,” he added.
Loke announced that NGV taxi drivers could apply for the aid now, with applications closing on Dec 31.
He added that the other package covers the dismantling of NGV kits in dual-fuel vehicles, including taxis.
The government will cover the dismantling costs, but it must be carried out at designated workshops.
“The dismantling of the kit for the dual-fuel NGVs will be done by way of appointment and through a system by agencies appointed by PETRONAS,” he said.
He added that applications for NGV kit dismantling will close on April 30, 2025.
For fully NGV or mono-fuel vehicles, a one-off payment will be provided based on an evaluation by an independent registered valuer.
Only owners of fully NGV or mono-fuel vehicles with a road tax valid between Oct 1, 2021, and Sept 30, 2024, are eligible to apply, with applications due by Dec 31 this year.
Loke said successful applicants under the package for mono-fuel NGVs must take their vehicles to a licensed Authorised Automotive Treatment Facility (AATF) for scrapping, with their vehicle registration to be cancelled by JPJ.
Payments to vehicle owners will be made within three to seven working days upon submission of the Certificate of Destruction (COD) and confirmation of registration cancellation by AATF representatives.
Applications for the aid can be made through peralihanngv.com.
