Fiat is reportedly planning on introducing a natural gas-fueled version of its Palio compact in the Indian market in 2009. Compressed natural gas is a popular fuel in India, especially for buses. There are also experiments ongoing with using Hythane, a blend of 10 percent hydrogen gas along with the natural gas. The Palio hatchback is already available with both gas and diesel engines in India. Fiat is planning several vehicle introductions in the coming months in India including the tiny 500 and locally-produced versions of the Grande Punto and Linea. The 500s will be imported from the plant in Poland that produces them for the European market.

[Source: MyIris.com, thanks to Justin for the tip]

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