Factors Shaping the Adoption of Compressed Natural Gas in Vehicles in Tanzania.

Abstract

This study investigates the factors affecting the adoption and usage of compressed natural gas (CNG) in vehicles, emphasizing its potential as a cleaner energy source and the challenges vehicle owners face in its utilization. Using a double hurdle model and descriptive statistics, data were gathered from 100 randomly selected vehicle owners at three major petrol stations in Ilala district, Dar es Salaam, Tanzania. The results indicate that higher education levels and newer vehicles positively impact both the decision to adopt and the extent of CNG usage, while older vehicles and high conversion costs act as barriers. The study also highlights challenges such as inadequate CNG infrastructure, high upfront conversion expenses, and safety concerns. It calls for targeted interventions to improve public awareness, expand refueling networks, and offer financial incentives to encourage the transition to CNG. These efforts could play a crucial role in advancing cleaner and more sustainable energy use in Tanzania’s automotive sector.