• Source:JND
HighLights
  1. IGL increases CNG prices by Rs 3.89 per kg.
  2. Hike effective from Saturday morning across Delhi-NCR.
  3. Rising international LNG prices cited as primary reason.

Indraprastha Gas Limited on Friday announced to raise the prices of Compressed Natural Gas (CNG) in Delhi and adjoining cities by Rs 3.89 per kg from Saturday.

In a statement issued on Friday, the IGL said that a significant portion of input gas for CNG is being met through imported Liquefied Natural Gas. The rates of LNG in the spot or current market have seen a rise since the conflict began in West Asia. The war spiralled to make the Strait of Hormuz a contentious zone of conflict.

The IGL said, "With international LNG prices remaining elevated and the cost impact becoming increasingly significant, a calibrated revision of Rs 3.89 per kg has now become necessary to partially offset the increase in input gas cost".

The CNG city distributor company added that the revision in the prices is being effected from 6 am on Saturday.

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City-wise prices in NCR

Here are the revised rates:

Place: New Prices
NCT of Delhi: Rs 86.98
Noida: Rs 95.59
Ghaziabad: Rs 95.59
Gurugram: Rs 92.01

Delhi prices continues to be economical option: IGL

"Even after this revision... CNG retail price in Delhi continues to be amongst the most economical option for consumers," IGL emphasised in its statement.

"CNG consumers (private cars, auto and taxi, public transport users and other price-sensitive sections of society) are largely being insulated from the impact of volatile increases in imported spot LNG prices," it further stated.

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"In these challenging times, CNG consumption is also witnessing significant jump in line with fast growing Indian economy and surging consumer demand. In order to meet this rising demand for CNG, a significant portion of input gas for the CNG segment is being met through imported Spot LNG. [These] factors have resulted in a considerable increase in input gas cost for CNG segment," IGL said.


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