CNG Price Crosses Rs 60 Mark In This City: Driving CNG Cars Becomes Expensive

CNG Price Crosses Rs 60 Mark In This City: Driving CNG Cars Becomes Expensive
CNG Price Crosses Rs 60 Mark In This City: Driving CNG Cars Becomes Expensive

Indraprastha Gas Limited (IGL) has hiked the rates of compressed natural gas (CNG) and piped natural gas (PNG) in Delhi-NCR with immediate effect.

They are now dearer by Rs 80 paise per kg and Rs 5.85 per standard cubic metre (SCM), respectively.

The revised prices will last for six months.


Why IGL Raised Prices

IGL is the company which retails CNG and piped cooking gas in the national capital.

It sources natural gas from domestic fields and imports LNG, the rates of which have touched record highs in recent months.

The government raised the price of gas produced from local fields to a record USD 6.10 per million British thermal unit from USD 2.9.

CNG Hikes

This has pushed costs for IGL, forcing it to impose the hikes.

One kg of CNG now costs Rs 60.81 in the National Capital Territory (NCT) of Delhi.

The same will cost Rs 63.38 per kg in Noida, Greater Noida and Ghaziabad and Rs 69.17 per kg in Gurugram.

Effect On Consumers

The government revises the price of gas every six months — on April 1 and October 1 — each year based on going rates in gas surplus nations such as the US, Canada and Russia.

A record 137-day freeze on petrol and diesel prices came to an end on March 22 when the price of a 14.2-kg LPG cylinder was increased to Rs 949.50 in Delhi.

In some places, the LPG price has touched Rs 1,000.

Although this hike will increase the cost of generating electricity, consumers may remain unscathed since the share of power produced from gas is very low.

PNG Hikes

PNG is now costlier by Rs 5 per SCM in Delhi and Rs 5.85 per SCM in Noida and Ghaziabad.

It is an essential commodity which is used to produce electricity, make fertilisers, turned into CNG and piped to household kitchens for cooking.

The hike is meant to partially cover the hike in input gas cost, IGL said.

This takes the rates to: 

  • Rs 41.61 per SCM in Delhi
  • Rs 41.71 per SCM in Noida, Greater Noida and Ghaziabad
  • Rs 40.82 per SCM in Karnal and Rewari
  • Rs 39.91 per SCM in Gurugram
  • Rs 45.22 per SCM in Muzaffarnagar, Meerut and Shamli
  • Rs 47.03 per SCM in Ajmer, Pali and Rajsamand
  • Rs 44.35 per SCM in Kanpur, Hamirpur and Fatehpur

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