Ahmedabad, March 15 (IANS). Adani Total Gas Ltd. announced on Sunday that it has reduced the price of excess natural gas supplied to some industrial customers as upstream gas prices softened amid ongoing supply disruptions related to the Middle East crisis.
The company said the price of additional gas has been reduced from Rs 119.90 per standard cubic meter (SCM) to Rs 82.95.
The new rate will be applicable from 6:00 am on March 16. Adani Total Gas, a joint venture between Adani Group and France’s Total Energies, said the move is aimed at passing on the benefits of reduced gas prices to customers, while ensuring stable and fair distribution of gas during the current supply crisis.
The company had earlier asked commercial and industrial users to reduce gas consumption to 40 per cent of the contracted quantity after LNG supplies to India were disrupted due to the halt in movement of ships through the Strait of Hormuz due to the ongoing conflict in West Asia.
Customers using gas beyond this limit are being charged as per market rate for the excess quantity.
The company said the price of additional gas has now been reduced, but other conditions related to additional gas supply will remain unchanged.
The company said in a message sent to its users that the prices have been revised keeping in mind the decline in gas prices, while maintaining the stability of the system during the current disruptions in supply.
The company also said it has sought clarification from GAIL (India) Ltd regarding 80 per cent of supplies to industrial customers under the existing order.
Earlier this month, despite supply challenges, the company had decided not to increase the prices of CNG and piped cooking gas supplied to households.
About 70 per cent of the gas supplied by Adani Total Gas is obtained from domestic sources and is used for CNG vehicles and piped natural gas to homes.
The remaining approximately 30 percent is imported LNG, supplied primarily to commercial and industrial users.
–IANS
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