MGL and IGL did not explain the reasons for the increase.
Here the elections are over and on the other hand the price of CNG increased on Monday. Yes, the price of CNG has been increased by Rs 2 per kg in many cities of the country including Mumbai. Now the price of CNG here is Rs 77 per kg. But the thing to note is that there has been no change in the prices in the country’s capital Delhi. According to PTI news, city gas companies gave this information on Monday. Consumers in the election state Delhi are currently exempted from this. Prices were hiked in Noida, Greater Noida, Ghaziabad, Gurugram and other cities, but Delhi, where elections are due in a few weeks, was exempted.
Impact of increase in input costs!
According to the news, after the elections are over, Mumbai’s city gas retailer, Mahanagar Gas Limited (MGL) has increased the prices of CNG by Rs 2 per kg in Mumbai and surrounding areas. According to MGL’s website, MGL and other city gas retailers like Adani Total Gas Ltd have kept retail prices unchanged for the last two months despite a 20 per cent increase in input costs.
Prices in and around Delhi
According to IGL’s website, CNG prices in Delhi remained unchanged at Rs 75.09 per kg, while in Noida, Greater Noida and Ghaziabad, prices rose by Rs 2 per kg to Rs 81.70 per kg and in Gurugram to Rs 82.12 per kg. When elections were due in Uttar Pradesh in 2022, IGL had revised the prices in Delhi, but there was no change in the rates for cities in the state. Industry sources said CNG prices in Delhi may be revised after the assembly elections to be held in January/February.
Firms have to buy expensive gas
MGL and IGL did not explain the reasons for the hike, but said that after two consecutive rounds of cuts in the supply of regulated or APM gas, the firms are now having to buy costlier gas. Natural gas extracted from land and seabed is converted into CNG to run automobiles. But supplies from ONGC’s domestic fields, called APM gas, have not kept pace with demand for CNG. The supply has been cut twice since mid-September, forcing city gas retailers to buy expensive non-APM gas or expensive imported liquefied natural gas.
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