Revised Prices of CNG and Domestic PNG to Increase in Mumbai

80
1
Revised Prices of CNG and Domestic PNG to Increase in Mumbai

Mahanagar Gas Ltd (MGL) in Mumbai and surrounding areas has decided to increase the delivered prices of CNG and domestic PNG. The price revision comes as a response to the growing volume of demand in these segments and a shortage in domestic gas allocation, leading MGL to procure additional market-priced natural gas, primarily imported LNG, causing an escalation in gas costs.

The revised prices of CNG inclusive of all taxes will now stand at Rs 75 per kg, while domestic PNG will be priced at Rs 48 per scm in and around Mumbai. Indraprastha Gas Ltd (IGL) in Delhi had earlier hiked CNG prices by Re 1 per kg to Rs 75.09 but had not made any adjustments to the PNG rates, maintaining the price at Rs 48.59 per scm. MGL emphasized that even after the price increase, their CNG and domestic PNG rates remain competitive and offer significant savings compared to petrol and diesel.

The production of natural gas, which is converted into CNG for vehicle fuel and piped to households for cooking, has faced challenges due to a shortfall in supplies from state-owned Oil and Natural Gas Corporation (ONGC's) domestic fields. About two-thirds of the CNG demand is met by gas from ONGC fields, with the remaining portion needing to be imported to meet the market demand effectively.