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This chapter outlines the potential market of methane (especially LNG) as vehicle fuel in Europe and China.

A comprehensive report on the existing framework in terms of market capacity, regulations, and incentives is presented. Moreover, the feasibility of using biogas as environmental friendly source gas is considered.

The transport sector represents a major element in the global balance of greenhouse gas (GHG) emissions. Natural gas is considered the alternative fuel that, in the short-medium term, can best substitute conventional fuels in order to reduce their environmental impact, because it is readily available at a competitive price, using technologies that are already in widespread use. It can be used as compressed gas (CNG) or in the liquid phase (LNG). The former is more suitable for light vehicles, while the latter for heavy-duty vehicles. Some barriers need to be overcome for the diffusion of this alternative fuel, especially concerning the supply problem. The incentive policy has been shown to cover a major influence in the feasibility evaluation.

This work shows the state of the art of natural gas as fuel, especially from biogas source, in Europe and China and assesses the incentive scheme necessary to make liquefied biomethane feasible on the basis of the existing scenario in Italy.

Diffusion of a new technology and its required infrastructure is a complex process involving various adaptive decision makers interacting with each other, and this is extremely true in diffusion of alternative fuel vehicles. The purpose of this paper is to explore the dynamics of alternative fuel vehicles/infrastructure diffusion through a case study about the diffusion of NGVs (natural gas vehicles) in Shanghai, China.

This paper first provides a case study of the adoption of NGVs in Shanghai; then the major infrastructure and economic indicators, obstacles in the market penetration process are analyzed. Finally, an agent‐based model is established to simulate the diffusion of NGVs in Shanghai.

The findings show that several factors limited the adoption of NGV in Shanghai. The initial distribution of refueling stations can be critical to determining whether the technology/infrastructure system survives to become mature and successful. Therefore, the strong support offered to consumers and equipment suppliers from government is important for the market penetration. These findings are also applicable to other alternative fuel vehicles such as hydrogen.

Little real‐world observations have been carried out on the dynamics of alternative fuel vehicles/infrastructure. The paper can enrich people's understanding about the dynamics of diffusion of alternative fuel vehicles/infrastructure and gives policy implications for initializing and keeping a successful demonstration project.

This study aims to identify the operational and financial risks associated with the city gas distribution project in India and suggest appropriate strategies to mitigate them.

This study aims to identify the operational and financial risks associated with the city gas distribution project in India and suggest appropriate strategies to mitigate them. The survey data is evaluated using factor analysis to understand the latent structure of the critical risk factors. Second, the author uses Situation, Actor and Process–Learning, Action and Performance framework to suggest the mitigation strategies for the identified operational and financial risk factors.

The research identified five critical risk factors and suggested 39 mitigation strategies to address operational and risk factors impacting CGD projects. The findings of this research will enable the CGD companies to formulate long-term strategies for their business and adopt proactive measures to mitigate the operational and financial risks causing delay and increasing project costs. This study also highlights the importance of government support in developing a conducive environment for CGD industry to thrive.

The CGD projects are critical for natural gas growth in India’s energy mix. The project delay leads to a rise in the total cost involved and increases the payback period for the CGD companies. To the best of authors’ knowledge, this research is first of its kind that identifies the critical operational and financial risks affecting CGD projects in India and suggests the mitigating strategies for them.

According to the nature and source of alternative energy, types of new energy vehicle include hybrid electric vehicle, pure electric vehicle, fuel cell vehicles, natural gas vehicle, coal‐to‐alcohol vehicle, bio‐fuel vehicle, clean diesel vehicle and so on. At present, all kinds of new energy vehicle are flourishing, but in the near future it is not sure what kind of new energy vehicle that national policies will support, so the risk of new energy vehicle project is large. This paper aims to address this issue.

Grey target decision‐making mainly was used in the choice of programs. First, the decision‐making matrix and the index weight are determined after establishing the decision‐making index system; then the positive clout and the negative clout are determined; the distance to the positive clout and the negative clout for every decision‐making program are calculated; finally, the composite distance to clout is obtained and programs sorted in light of the size of composite distance to target centre.

This paper analyzed the operating conditions of new energy vehicle in Zhengzhou and Xinxiang; and then elaborated the modelling steps of weighted grey target decision with both the positive clout and the negative clout, and used in recent decision‐making the new energy vehicle in Henan Province. It not only makes more comprehensive and rational decision‐making, but also extends the application of the grey target decision model in practice.

In the recent two years of formulating national and local relevant preferential policies, the enthusiasm of enterprises to participate and the level of consumer awareness are further improved; as an international trend, the development of a new energy vehicle is inevitable.

It helps to make scientific decision‐making. The study proposes a theoretical guidance to carry out the new energy vehicle project in Henan Province.

This paper elaborates the modelling steps of weighted grey target decision‐making based on positive clout and negative clout, and established the model of grey target decision‐making according to the selected index; finally, it analyzes the recent development route of a new energy vehicle in Henan Province and puts forward some suggestions.

Thermonuclear fusion is on the way, and beyond it the promise of limitless power derived from hydrogen in water and air. The challenge for the next few years will be to eke out our fossil fuels, and the most plentiful by far is coal. So how to reform a fuel that has long been considered the most environmentally unfriendly of them all?

This case study focuses on the problems that a company have in segmenting a local market of a gas distribution company and some strategies that they can use for developing a viable market segmentation to target the right segment that will provide a good economics, revenue base customers who also have the mindset to change to a new product. At the end of this exercise, students should have a clear understanding of the following: the essentials concepts of market segmentation, targeting and positioning and how they can be leveraged so that businesses increase their returns; the main elements/steps that drive market segmentation and business positioning; the appropriate methods for market segmentation when targeting local markets for a city gas project; and the challenges companies might face when changing a product.

In 2018, commercial customers began asking Abu Dhabi National Oil Company (ADNOC) Distribution to provide a sustainable solution to ensure a continuous supply of safe gas and avoid the interruptions and hazards associated with the supply of liquefied petroleum gas (LPG) to their premises. The request was discussed with the ADNOC marketing, supply and trading (MST) Division to investigate the possibility of growing the natural gas business in the Emirate of Abu Dhabi, thus contributing to the Emirate’s security, economy, environment and community, and ultimately to ADNOC Strategy 2030. Khaled Salmeen, Director of the ADNOC MST Division, believed that industrial customers accounted for higher business volume and profitability. Nevertheless, he advised Shuhab Al Shehhi, the City Gas Project Manager, to study the potential benefits in targeting both residential and commercial customers as part of ADNOC’s responsibility towards community engagement and investments. Al Shehhi had to address several questions: How could the City Gas Project be strategized and positioned so as to target all market segments? What were the potential outcomes? Would targeting all market segments strengthen ADNOC’s brand position?

This case study was written for Marketing and Strategic Management courses in Bachelor of Business Administration programs.

Teaching Notes are available for educators only.

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