Indraprastha Gas Ltd (IGL) has increased CNG prices in Delhi-NCR from Saturday. In Delhi, the CNG price has been increased from Rs 78.61 per kg to Rs 79.56 per kg. As the prices of CNG have gone up, cab service providers, such as Ola and Uber are likely to charge more.
Those who travel by auto every day will have to bear the brunt. This will also impact the price of fruits and vegetables.
The price hike in CNG has been worrisome since last year when CNG prices started to rise and are continuing to rise. The gap between the price of diesel and petrol has been significantly reduced. After the price hike the current fuel prices in Delhi are: Petrol Rs 96.72, diesel Rs 89.62, and CNG Rs 78.61. The CNG prices in Delhi have gone up by more than Rs 20 in the past nine months. In March this year, the CNG price was around 58 rupees in Delhi.
In Noida, Greater Noida and Ghaziabad, the prices have been increased from Rs 81.17 per kg to Rs 82.12 per kg. The CNG prices in Gurugram will now be at Rs 87.89 per kg. The CNG prices in Delhi have gone up by more than Rs 20 in the past nine months. In March this year, the CNG price was around 58 rupees in Delhi.
The prices of CNG have nearly doubled in a year, this is a major cause of concern for the public and goods transport sector as fuel price hikes also affect the rise in price of commodities. The rise in price of transportation also affects the public transportation system in the region as the majority of the public transport system in the region is powered by CNG.
CNG prices are dependent on natural gas prices, which are extracted from below the earth’s surface, is converted to compressed natural gas (CNG) for running automobiles and piped to household kitchens for cooking. India is a net importer of the commodity and any changes in global prices reflect in domestic prices. As much as 50 per cent of the demand is met through imports. The total consumption of natural gas in India as of 2020-21 was 48 million metric tonnes (MMT), 25 MMT of which was produced domestically while 23 MMT was imported
Gas prices in Europe have soared this year after Russia slashed gas deliveries following its invasion of Ukraine, pushing up fuel costs and stoking inflation.