State-run gas utility Mahanagar Gas on Wednesday cut the prices of PNG, or piped natural gas, and CNG, or compressed natural gas. CNG prices were reduced by ₹6 per kg and PNG by ₹4 per standard cubic metre. The cuts are effective from today and apply to places in and around Mumbai.
PNG, used by households in kitchens, will now cost ₹48.50 per standard cubic metre and CNG will cost ₹80 per kg. The price cut comes after the increase in allocation of domestically produced natural gas from the government.
“After the rate revision, CNG usage will help a vehicle owner save 48 per cent on fuel costs in the financial capital,” Mahanagar Gas told news agency PTI.
| Type | Old price | New price | Difference |
| Piped Natural Gas (PNG) | ₹52.50/SCM | ₹48.50/SCM | ₹4 |
| Compressed Natural Gas (CNG) | ₹86/Kg | ₹80/Kg | ₹6 |
“In the case of PNG users, the savings will be 18 per cent when compared with the most used alternative Liquified Petroleum Gas,” it added.
Earlier this month, MGL had increased prices for CNG and PNG by a similar amount citing ‘significant increase in input gas cost’.
{{/usCountry}}Earlier this month, MGL had increased prices for CNG and PNG by a similar amount citing ‘significant increase in input gas cost’.
{{/usCountry}}MGL has reported a nine per cent drop in its June quarter net profit as higher gas cost negated a rise in sales. Net profit of ₹185.20 crore in April-June compared with ₹204.08 crore in the same period a year back, according to the company's stock exchange filing.
MGL said total gas sales jumped nearly 44 per cent to 313.75 million cubic metres with CNG sales soaring 64 per cent. EBITDA, or earnings before interest, taxes, depreciation and amortizarion, fell six per cent to ₹285.55 crore in April-June.