The much-awaited reduction in gas prices is finally happening. In fact, by the time you read this, prices would have already gone down in view of commencement of supplies of cheaper domestic gas to city gas distribution agencies in the state by GAIL Thursday onwards.
Adani Gas, which sells gas in Ahmedabad and Vadodara, announced on Thursday that it was slashing its CNG selling price from the current Rs68.80 per kg to Rs58.75 per kg, a reduction of 14%.
The company also revised the price of domestic PNG from the existing Rs37 per standard cubic metre to Rs28.80 per scm, nearly 22% lower. The PNG price does not include VAT, which is levied at 15% by the state government. The revised prices will have come into effect from the midnight of December 26.
“The allocation of domestic gas, though limited, would help in stablising prices and bring the much-needed comfort to customers. The reduction is also expected to increase penetration of CNG,” Adani Gas said in a statement.
In Ahmedabad, Adani Gas has 1.87 lakh households consuming PNG and 48 CNG stations, while in Vadodara it has 600 PNG consumers and nine CNG stations. The state government-owned GSPC Gas, which had announced lowering of gas prices last week, will also implement the revision from December 26 midnight. GSPC Gas, which distributes gas in several districts in the state, had reduced CNG price from Rs65.30 to Rs56.20 a kg. It had also lowered domestic PNG prices from the existing Rs29.33 per scm to Rs27.03 for first 36 scm consumed in every bill cycle, i.e. two months, and from existing Rs39.22 to Rs35.13 for consumption of more than 36 scm.The development comes even as Indraprastha Gas Limited, which sells gas in Delhi and National Capital Region, hiked CNG price by Rs4.50 per kg. As a result, CNG will now cost Rs50.10 per kg in Delhi and Rs56.70 in NCR. The price of domestic PNG was revised by IGL from Rs27.50 per scm to Rs29.50 per scm. In NCR, PNG would cost Rs31 per scm as compared to the existing Rs29.
According to Gujarat government, reduction in gas prices will benefit 12.33 lakh households and 2.34 lakh CNG vehicle owners in the state.
1.87 lakh is the number of households in the city that consume Adani gas
12.33 Lakh households will be benefitted by the reduction in gas prices, says Gujarat govt.