CNG Price Hiked By Rs 2 / Kg, Rates Up By Rs 19.60 / Kg In Two Months

CNG price in Delhi was increased by Rs 2 / kg in the thirteenth such hike in rates in just over two months.

The auto fuel now costs Rs 75.61 / kg in Delhi NCR, according to information posted on the website of Indraprastha Gas Ltd. Mahanagar Gas Ltd. has priced CNG at Rs 76 / kg in Mumbai.

CNG prices have risen by Rs 19.60 / kg since March 7. In the last one year, prices have increased by Rs 32.21 / kg or 60%, according to data compiled by PTI. Prices of piped natural gas, supplied to household kitchens, remain unchanged at Rs 45.86 / scm.

City gas distributors have been periodically raising prices since October last year, when domestic as well as international gas prices started to climb as economies around the world recovered from a pandemic slowdown.

Indraprastha Gas Managing Director Sanjay Kumar said the prices are likely to remain elevated in the near future due to high international prices.

The rates have gone up after the government more than doubled the price of natural gas produced locally to $ 6.1 per million British thermal unit from April 1. With domestically produced gas not sufficient to meet city gas demand, imported fuel – liquified natural gas– is being used. LNG in the spot or current market costs $ 18-20 per mmBtu.

Natural gas when compressed becomes CNG for use as auto fuel. The same gas is piped to household kitchens and industries for cooking and other purposes.

The increase in CNG prices follows a Rs 10 / liter hike in petrol and diesel prices in 16 days and a Rs 103.50 increase in LPG cylinder rates.

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