AHMEDABAD
Get ready to pay more for CNG and domestic PNG, as gas companies are set to hike prices by 3-4% in the very near future, two industry officials said.
Get ready to pay more for CNG and domestic PNG, as gas companies are set to hike prices by 3-4% in the very near future, two industry officials said.
The impending hike in Compressed Natural Gas (CNG) and domestic Piped Natural Gas (PNG) is the result of 10% hike in the price of domestically produced natural gas from $3.36 per Million Metric British Thermal Unit (MMBTU) to $3.69 per MMBTU by the central government from April 1.
A senior official of Adani Gas, which supplies gas to close to three lakh households in Ahmedabad and Vadodara, and caters to over 1.50 lakh vehicles a day, said the planned hike is to pass on the increase in gas cost to consumers.
"CNG and PNG price needs to be hiked to pass on the higher gas cost. We are having deliberations with other city gas distribution companies regarding the price revision," said a senior official of Adani Gas.
In Ahmedabad, the price of CNG is Rs55 per kg, while domestic PNG is priced at Rs682.50 per MMBTU.
State-owned Gujarat Gas, which distributes gas in 20 districts in the state, sells CNG at Rs54.70 per kg, and domestic PNG at Rs712 per MMBTU.
Gujarat Gas is believed to be in the process of seeking approval from the state government for the price hike. "The exact quantum of price revision is being worked out, but the hike would be in the range of 3-4%," said a Gujarat Gas official.
Sabarmati Gas, which distributes gas in Gandhinagar, Mehsana, Sabarkantha, Aravalli and Patan, is also expected to follow suit. Though the price of domestically produced gas was hiked on April 1, Gujarat Gas and other gas distribution companies did not revise the prices ostensibly due to the Lok Sabha elections.
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