After LPG, PNG prices go up by Rs 1 per unit in Delhi-NCR; CNG too costs more | Economy News

NEW DELHI: Days affter the Indian oil companies raised the prices of domestic cooking gas (LPG), Indraprastha Gas Limited (IGL) has hiked the price of domestic Piped Natural Gas (PNG) in Delhi and the NRC by Rs 1 per standard cubic meter (SCM) to Rs 36.61 per unit. 

The latest hike in the new PNG price will come into effect from Thursday (March 24, 2022). 

Indraprastha Gas Limited (IGL) has hiked the price of domestic piped natural gas (PNG) in Delhi by Rs 1 per standard cubic meter (SCM) to Rs 36.61 per unit. The new price will come into effect from today, March 24. pic.twitter.com/Swl1otUWWO

— ANI (@ANI) March 24, 2022

IGL announced the hike in PNG prices on Wednesday night in the national capital and adjoining cities by Rs 1 to pass on the increase in “input” costs. The latest hike in PNG prices comes a day after fuel retailers raised LPG price by Rs 50 per cylinder and began increasing petrol and diesel rates in the wake of the spike in global gas and oil prices respectively.

After the hike, PNG will cost Rs 36.61 per unit (SCM, or standard cubic metre) in Delhi and Rs 35.86 per unit in Ghaziabad, according to messages sent to consumers.

IGL has also hiked the price of Compressed Natural Gas (CNG) in Delhi by Rs 1 per Kg to Rs 59.01 per Kg. The new price will come into effect from today, March 24.

Indraprastha Gas Limited (IGL) has hiked the price of Compressed Natural Gas (CNG) in Delhi by Rs 1 per Kg to Rs 59.01 per Kg. The new price will come into effect from today, March 24. pic.twitter.com/DGTGdr3CAl

— ANI (@ANI) March 24, 2022

It may be recalled that petrol and diesel prices were on Tuesday hiked by 80 paise a litre each while domestic cooking gas LPG rates were increased by Rs 50 per cylinder as state oil firms ended an over four-and-a-half month election-related hiatus in rate revision.

Petrol in Delhi now cost Rs 96.21 per litre as against Rs 95.41 previously while diesel rates have gone up from Rs 86.67 per litre to Rs 87.47, according to a price notification of state-owned fuel retailers. In Mumbai, the petrol price has been hiked by Rs 0.84 per litre to Rs 110.82 per litre, and diesel by Rs 0.86 to Rs 95 per litre.

The rates, which differ from state to state depending on the incidence of local taxes such as VAT, are likely to continue to rise over the next few days as state oil firms recoup losses from keeping prices on hold for a record 137 days.

Simultaneously, the price of non-subsidised LPG cylinders has been increased to Rs 949.50 per 14.2-kg bottle in the national capital and Mumbai, and to Rs 976 in Kolkata.
While LPG rates were last revised on October 6, 2021, petrol and diesel prices had been on a freeze since November 4 as five states, including Uttar Pradesh and Punjab, went to the polls.

LPG prices had gone up by close to Rs 100 per cylinder between July and October 6, 2021, before criticism halted the monthly revision in rates.

Non-subsidised cooking gas is the one that consumers buy after exhausting their quota of 12 cylinders at subsidised or below market price. However, the government pays no subsidy on LPG in most cities and the price of the refill that consumers, including the poor women who got free connection under the much-talked Ujjwala scheme, buy is the same as non-subsidised or market price LPG.

This is the highest rate ever that subsidised LPG users will pay. The non-subsidised rate had peaked at Rs 1,241 in January 2014, but at that time, the government provided as much as Rs 600 per cylinder subsidy. Since May 2020, no subsidy has not been provided to consumers except some to those in far-flung areas to make up for higher inland freight.

The resumption of fuel price hikes has fanned concerns of stoking inflation, which is already above the targeted 6 per cent level.

(With Agency Inputs)

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