The price of CNG in Delhi increased 50 countries, third since April

New Delhi, September 1 () The price of CNG in Delhi and its suburbs rose on Sunday for the third time since April due to the increase in the cost of inputs after the appreciation of the US dollar against the rupee.

This price revision would lead to an increase of Rs 0.50 per kg in CNG consumer prices in Delhi, Rewari, Gurugram and Karnal, and Rs 0.55 per kg in Noida, Greater Noida and Ghaziabad, Indraprastha Gas Ltd (IGL) said the city's gas operator in the region of the national capital, in a statement.

The new consumer price will be Rs 47.10 per kg in Delhi and Rs 53.50 per kg in Noida, Greater Noida and Ghaziabad.

The price of CNG sold to cars in Gurugram and Rewari would be Rs 58.95 per kg and in Karnal it would be Rs 55.95, said IGL.

This is the third increase in rates since April and the eighth since April 2018.

Rates were last revised upwards by 90 paise per kg in July. Before that, the price of CNG increased in April by Re 1 per kg due to an increase in the price of national natural gas and the fall in the value of the rupee against the dollar.

In total, rates have increased by Rs 7.39 per kg since April 2018.

However, IGL did not increase the price of piped natural gas (PNG) that supplies households in these cities for cooking.

The CNG and PNG rates vary in different cities due to the incidence of local taxes.

IGL said it will continue to offer a discount of Rs 1.50 per kg in CNG sales prices to supply between 12.00 and 6.00 at selected points of sale in Delhi, Noida, Greater Noida and Ghaziabad.

Therefore, the CNG consumer price would be Rs 45.60 per kg in Delhi and Rs 52.00 per kg in Noida, Greater Noida and Ghaziabad from 12.00 to 6.00 at selected CNG stations, he said.

In explaining the reasons for the rise in CNG prices, an official IGL spokesman said that the marginal revision has been necessary due to the recent appreciation of the US dollar against the rupee and the increase in operating expenses since the last revision of prices.

The base price of natural gas obtained by IGL from all sources is linked to the dollar, which makes the total price of inputs totally dependent on the price of the dollar against the rupee.

However, this increase would have a marginal impact on the cost of vehicles per km. For cars, the increase would result in just over 1 paisa per km, for taxis it would be 2 paisa per km, IGL said.

With the revised price, the CNG would still offer more than 52 percent savings for the cost of operation compared to gasoline vehicles at the current price level. Compared to diesel vehicles, the economy in favor of CNG at a revised price would be more than 27 percent, he said. IGL sells CNG to more than 10.5 lakh vehicles in the region of the national capital through a network of more than 500 CNG stations. It also supplies PNG to more than 11.20 lakh homes in the cities of Delhi and NCR. ANZ ABM ABM

comments