CNG Price Hike: Another major setback for common people. In light of the rising inflation in the country, Adani Total Gas has raised the price of CNG (Compressed Natural Gas) by Rs 1.50 per kilogram. With the new rates now in effect, the price of CNG has gone up from Rs 82.27 per kg to Rs 83.77 per kg. This change is effective immediately.
Impact on everyday people and the transport sector
This move will have a direct effect on those who rely on CNG vehicles for their daily travel. Drivers of taxis, autos, and other commercial vehicles will face higher costs, which may also lead to increased fares.
What caused the price hike?
As per energy sector analysts, the rise in prices is attributed to fluctuations in gas prices on the international market and escalating input costs, compelling companies to raise their prices. Even with this price increase, CNG remains a more affordable choice compared to petrol and diesel; however, the ongoing hikes are raising concerns among consumers. This increase in CNG prices will directly impact consumers who use CNG vehicles for daily commuting. Taxi, auto, and commercial vehicle drivers, in particular, will see increased costs.
According to energy sector experts, companies are revising prices due to increase in input cost of gas and fluctuations in gas prices in the international market. However, even after this increase, CNG remains a comparatively cheaper fuel than petrol and diesel, but the continuously rising prices are increasing the concern of the consumers.
Industries have been asked to limit their consumption to 40. The company relies on imported LNG for the remaining 30% of its gas. The war in West Asia has disrupted ship movements through the Strait of Hormuz, creating problems with gas supplies. The company has asked some large industrial customers to limit their gas consumption to 40% for now. Customers consuming gas up to this limit will be billed at the pre-determined rate, which averages around Rs 40 per standard cubic meter. However, if a customer exceeds this limit, they may have to pay up to Rs 119 per standard cubic meter.