China National Petroleum Corp estimates that it will supply liquefied natural gas to about 200,000 vehicles by 2015, the company said on June 12.
At that time the company's LNG output will be at 11.5 billion cubic meters, it added.
China had over 1.48 million natural gas vehicles as of 2011, according to Lu Jianzhong, vice-president of the CNPC Economics and Research Institute.
Nearly 100 cities are now promoting LNG vehicles, with the highest percentage in Sichuan and Shandong provinces, as well as in the Xinjiang autonomous region.
LNG, compressed natural gas and liquid propane gas are fossil fuel substitutes for gasoline and diesel that can be used to fuel cars, trucks and buses, substantially reducing carbon emissions.
China’s current natural gas vehicle production capacity is at 80,000 units per year with over 60 manufacturers involved in the business.
However, the share of natural gas vehicles in China is only 5 percent, according to experts.
To promote the usage of LNG vehicles, CNPC - the country's largest oil and gas supplier - will donate 100 LNG buses to Beijing, the company said.
liuyiyu@chinadaily.com.cn