CNG price up by Rs 2/kg in Pune, Pimpri-Chinchwad from September 1

Starting September 1, the price of Compressed Natural Gas (CNG) in Pune and Pimpri-Chinchwad will increase by Rs 2 per kg, according to Maharashtra Natural Gas Limited (MNGL). The new rate will be Rs 97.75 per kg, including all applicable taxes. MNGL cited growing tensions in West Asia as the reason for the rise, as they disrupted the transportation of Liquefied Natural Gas (LNG) ships through the Strait of Hormuz, a crucial route for global energy trade.

Since July, global LNG prices have surged nearly twice their pre-crisis levels, largely due to these disruptions. Additionally, Europe's efforts to stockpile gas for winter have further strained international supplies. MNGL obtains a portion of the gas for CNG use through imported spot LNG, and the Rs 2 per kg increase is part of a broader rise in their input costs.

The price revision coincides with increasing CNG usage in Pune and across India, thanks to its lower cost compared to petrol and diesel. MNGL emphasized that CNG remains about 45 per cent cheaper than petrol and 23 per cent cheaper than diesel for private cars. For auto-rickshaw operators, savings compared to diesel would be around 25 per cent.

The price hike impacts private vehicle owners, auto and taxi operators, as well as public transport users. Domestic Piped Natural Gas (PNG) prices in Pune, however, will stay the same, MNGL announced.