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CNG prices in Delhi-NCR rose by ₹3.89 per kg on Saturday, the fifth increase this year, as the renewed West Asia crisis disrupts LNG cargo movements through the Strait of Hormuz and forces city gas distributors to absorb sharply higher imported gas costs.
Regional Price Breakup
Indraprastha Gas (IGL) said the revised price will take effect from 6 am on August 29, raising cost of CNG in Delhi to ₹86.98 per kg. Prices will increase to ₹95.59 per kg in Noida and Ghaziabad, ₹95.47 per kg in Meerut and ₹92.01 per kg in Gurugram, respectively.
The latest revision is the first since May, when IGL raised CNG prices by a cumulative ₹6 per kg in four phases over ten days as global energy prices surged following the West Asia conflict.
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“With international LNG prices remaining elevated and the cost impact becoming increasingly significant, a calibrated revision of ₹3.89 per kg has now become necessary to partially offset the increase in input gas cost,” IGL said.
Squeezed by Global Surges
The price increase comes as IGL relies on imported spot LNG for a significant portion of gas required to meet rising CNG demand. Since July, re-escalation of the West Asia crisis has affected LNG cargo movements through Hormuz, while European demand has strengthened as countries increase gas storage ahead of winter.
The impact is visible in global benchmarks. The Asian JKM LNG benchmark jumped around 113%, from about $10.99 per MMBtu in late February to $23.41 by August 27. Europe’s TTF gas benchmark surged roughly 105%, from $11.36 per MMBtu to $23.35 during the same period.
In comparison, Delhi’s CNG retail price had risen only around 7.8% to ₹83.09 per kg from ₹77.09 per kg between late February and August 27, before the latest revision, according to IGL.
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The company said consumers, including private-car owners, auto and taxi operators and public transport users, had largely been insulated from the full impact of volatile imported LNG prices.
IGL operates more than 30,000 km of pipeline network and over 1,000 CNG stations, catering to more than 2.1 million CNG vehicles. The company said it would continue optimising sourcing costs to keep CNG competitive even as the imported-gas component raises input costs.
Domestic PNG prices have not been revised alongside CNG; the Delhi household PNG tariff remains ₹49.59 per standard cubic metre.
TOPICSCNGWest AsiaThis article was first uploaded on August twenty-nine, twenty twenty-six, at twenty-two minutes past eleven in the night. © IE Online Media Services (P) Ltd