Malacañang is setting aside P1 billion to help owners of jeepneys, buses and taxis convert their diesel- or gasoline-fed engines into ones that would run on much cheaper and environment-friendly fuels like liquefied petroleum gas (LPG) and compressed natural gas (CNG).

At about P30 a liter, LPG is P20 cheaper than diesel. A liter of CNG is sold to seven government-accredited bus firms plying the Batangas to Manila route at a "pilot" price of P14.52 a liter. CNG is, however, available only at the Shell Mamplasan service station in Biñan, Laguna.

President Gloria Macapagal-Arroyo Monday said that the money for the conversion program would come from the collection of the 12-percent value-added tax (VAT) on petroleum products, which is expected to reach P18 billion this year because of the soaring fuel prices.

Read more: http://newsinfo.inquirer.net/inquirerheadlines/nation/view/20080617-143077/P1B-set-aside-for-PUV-gas-conversion

Source: Inquirer.Net (http://newsinfo.inquirer.net)