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PERSONAL FINANCE
The increased prices will come into effect from the intervening night of July 8 and 9.
TRENDING NOW
CNG price in Mumbai has been hiked by Rs 1.50 per kg and the rate of cooking gas piped to houses by Re 1 due to rise in input costs. Mahanagar Gas Ltd, which retails CNG to automobiles and piped natural gas to households for cooking purposes in Mumbai and surrounding cities, said the increased prices will come into effect from the intervening night of July 8 and 9.
"To meet the increasing volume of CNG and domestic piped natural gas (PNG) segments and due to further shortfall in domestic gas allocation, MGL is sourcing additional market priced natural gas (imported LNG) which has resulted in higher gas cost," the firm said in a statement.
CNG, PNG new price
The revised delivered prices inclusive of all taxes of CNG will be Rs 75 per kg and domestic PNG price will be Rs 48 per scm in and around Mumbai. On June 22, Indraprastha Gas Ltd, the city gas license holder for the national capital and adjoining cities, hiked CNG price by Re 1 per kg to Rs 75.09 in Delhi. It, however, had not touched PNG rates, which continue to be priced at Rs 48.59 per scm.
"Even after the above revision, MGL's CNG offers attractive savings of about 50 per cent and 17 per cent as compared to petrol and diesel, respectively, at current price levels in Mumbai, while MGL's domestic PNG continues delivering unmatched convenience, safety, reliability and environmental friendliness to consumers," the company said. "Even after the minor increase, MGL's price of CNG and domestic PNG are amongst the lowest in the country".
Natural gas pumped out of the ground and seabed is turned into CNG for running automobiles and piped to households for cooking. But supplies from state-owned Oil and Natural Gas Corporation (ONGC's) domestic fields have not kept pace with the demand. Gas from ONGC fields makes up for 66-67 per cent of CNG demand and the rest has to be imported.
(Except for the headline, this story has not been edited by DNA staff and is published from PTI)
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