City gas companies have begun cutting prices of CNG and cooking gas after the government lowered the domestic natural gas price for January.
The domestic gas price, which is linked to crude oil prices, has been reduced to $6.25 per mmBtu for January from $6.48 in December. The government revises the domestic gas price at the beginning of every month based on the average Indian basket crude price in the previous month.
Following the revision, some city gas distributors announced cuts in the prices of CNG and piped natural gas (PNG) supplied to households. GAIL Gas has reduced CNG prices by ₹1 per kg and PNG prices by ₹1 per standard cubic meter (SCM) across all its licensed areas in Uttar Pradesh, Karnataka, Madhya Pradesh, Haryana, Uttarakhand, Jharkhand, Chhattisgarh, Rajasthan and Odisha.
Indraprastha Gas, which operates in the National Capital Region, cut domestic PNG prices by ₹0.70 per SCM.
City gas companies receive domestic gas at regulated rates from ONGC and Oil India, which is then supplied to consumers as CNG and kitchen fuel.
There has been no change in domestic LPG prices, which are controlled by the government and linked to international LPG benchmarks. Commercial LPG prices, however, have been increased by ₹111 per cylinder in line with the rise in international benchmark prices.
