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Korean govt to allow general consumers to buy five-seat LPG recreational vehicles
Collected
2017.07.26
Distributed
2017.07.31
Source
Go Direct
Regular consumers in South Korea will be able to buy five-seat recreational vehicles that run on liquefied petroleum gas (LPG) starting as early as in the end of August once the government lifts regulation on LPG vehicles that have been tied up for 35 years. The move comes as part of efforts to expand the supply of LPG cars that are known for producing significantly less fine dust pollution than diesel cars.

The National Assembly’s Trade, Industry and Energy Committee on Tuesday passed a bill to revise regulation on LPG so that more consumers can drive LPG-fueled recreational vehicles, which is currently limited to only taxi and car rental businesses, disabled, and individuals of national merit. General consumers can only buy recreational vehicles with seven or more passenger seats and compact cars with an engine displacement of under 1,000 cubic centimeters.

The revised bill will be submitted to the National Assembly’s plenary session for review in August.

A government task force consisting of members from the Ministry of Trade, Industry and Energy and Ministry of Strategy and Finance as well as those from the LPG and oil refining industries and related research institutions has been in discussion to lift regulations on LPG that has been tied up for 35 years to allow greater accessibility. The move comes amid growing demand for the need to expand the supply of LPG cars as they hardly produce fine dust pollution whereas diesel cars are blamed for emitting pollutants.

The government task force had been mulling four options - to allow regular consumers drive five-seat recreational vehicles, allow them to buy either compact cars with 1,600 cc engine displacement or midsize cars with 2,000 cc engine displacement, and completely lift regulation to permit all of the options. Considering backlash from the oil refining industry and the disabled group, the task force has provisionally concluded the option of allowing five-seat recreational vehicles.

But no five-seat LPG recreational vehicles are being sold so that unless local auto manufacturers introduce new models, the deregulation would be of little use.

The country’s LPG vehicle demand has been sinking since 2011 as they are less fuel-efficient compared to gasoline-based and diesel cars.

By Ko Jae-man and Chu Dong-hun

[ⓒ Pulse by Maeil Business News Korea & mk.co.kr, All rights reserved]