On Monday, Mahanagar Gas Ltd. (MLG) cut the pricing of compressed natural gas (CNG) and piped natural gas (PNG) within Mumbai and surrounding municipalities.
CNG prices have dropped by Rs 3 per kilogramme, while PNG costs have dropped by Rs 2 per standard cubic metre (scm). Following the price reduction, CNG would be sold at Rs 76 per kg, while PNG is going to be accessible at Rs 47 per scm.
Meanwhile, CNG and PNG rates would not decrease in the Delhi-NCR region nor in any other city in Uttar Pradesh because Indraprastha Gas Limited (IGL) continues to hike the price.
“The revised MRP of CNG will be Rs 76.00/kg and that of domestic PNG, Rs 47.00/SCM, effective from midnight on October 1, 2023, to the morning of October 2, 2023,” Mahanagar Gas Limited said in its press release.
“MGL welcomes the reduction in price of domestically produced high-pressure, high-temperature (HPHT) natural gas by GOI. This reduction will further promote usage of natural gas in general and will contribute to an increase in consumption of natural gas in the domestic and transportation segments in particular,” it added.
“MGL is pleased to announce a reduction in the CNG price by Rs 3 kg and the domestic PNG (DPNG) price by Rs 2 SCM in and around Mumbai. The revised MRP of CNG will be Rs 76.00/kg and that of domestic PNG, Rs 47.00/SCM, effective from midnight on October 1, 2023, to the morning of October 2, 2023,” a statement from the gas distributor read.
CNG consumption has increased recently since the prices of gasoline and diesel have reached all-time highs. Many vehicle owners are currently converting to CNG vehicles. The government sets pricing for domestically produced natural gas every two years, which is utilised for a variety of reasons, such as conversion to CNG for autos, piped supply to home kitchens for cooking, power generation, and fertiliser manufacture.
MGL has consistently been a customer-friendly organisation, regularly and swiftly passing on gas cost savings to its customers in order to encourage the use of natural gas.
At current Mumbai prices, MGL’s CNG offers excellent savings of more than 50% compared to petrol and about 20% compared to diesel. At the present MRP, MGL’s domestic PNG is less expensive than domestic LPG.
“MGL applauds the Government of India’s reduction in the price of domestically produced high-pressure, high-temperature (HPHT) natural gas. “This reduction would further promote natural gas usage in general and will lead to an increase in natural gas consumption in the domestic and transportation segments in particular,” Mahanagar Gas Limited claimed in a news statement.
MGL decreased the price of CNG by Rs 8/kg and domestic PNG by Rs 5/SCM in April of this year.
“Meanwhile, as many as 10 lakh CNG vehicle users in the Mumbai metropolitan region, including over 4 lakh private car owners and a large fleet of public transport vehicles such as autos, taxis, and buses on city roads running on green fuel, will benefit from the city’s CNG and PNG price cuts”, according to a report. The higher prices will also benefit auto-taxi and school bus drivers.
Previously, people were concerned about a Rs 35 per kg increase in CNG prices. Last year, the price of CNG reached an all-time high of Rs 89.50 per kg, resulting in a jump in MMR car and taxi charges in 2022.
At the present price levels in Mumbai, MGL’s CNG offers excellent savings of more than 50% compared to petrol and about 20% compared to diesel. At the present MRP, MGL’s domestic PNG is less expensive than domestic LPG.