The Hindu reports that while diesel has become the flavour for sales in the entry-level luxury segment, auto companies such as GM and Hindustan Motors are toying with the idea of introducing CNG as a fuel option in order to boost sales.
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The companies have plans to introduce a CNG variant for the Optra and Lancer (old variant). The two variants will be introduced in CNG-centric areas including Mumbai, Delhi and Gujarat.
Mr Ankush Arora, Vice-President, Marketing, GM India, told the newspaper: “We opted for CNG primarily for its lower pricing and availability in the targeted areas”. As of date, Mumbai has 120 CNG stations that is already supplying gas to public transport vehicles, while Delhi has 146 stations. Moreover, at Rs 22.06 per kg it is the cheapest fuel available in the targeted areas.”
These companies have now also met warranty concerns. Unlike earlier, the companies are now willing to offer warranty on their models that are fitted with a CNG kit.
Introduction of the variants in other cities will be carried out in a phased manner, depending upon the availability of CNG in these prospective areas.
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