Pune CNG price to rise by ₹2 per kg from September 1

Following the revision, the retail selling price of CNG for vehicles will rise from ₹95.75 to ₹97.75 per kg

Pune: Compressed Natural Gas (CNG) prices in Pune, including Pimpri-Chinchwad and adjoining areas such as Chakan, Talegaon and Hinjewadi, will increase by ₹2 per kg from September 1, Maharashtra Natural Gas Limited (MNGL) announced on Monday.

MNGL said CNG consumption in India has also been rising significantly amid economic growth and increasing demand. (FILE)

Following the revision, the retail selling price of CNG for vehicles will rise from ₹95.75 to ₹97.75 per kg.

According to MNGL, the escalation of the West Asia crisis since July has severely affected Liquefied Natural Gas (LNG) shipments through the Strait of Hormuz, a key route for global energy trade. Global LNG prices have nearly doubled from pre-crisis levels. Increased demand in Europe to build natural gas inventories ahead of winter has added further pressure on international prices.

MNGL said CNG consumption in India has also been rising significantly amid economic growth and increasing demand. To meet this demand, a substantial portion of the gas supplied to the CNG segment is sourced through imported spot LNG. The combination of higher international prices and greater reliance on spot cargoes has significantly increased input costs.

MNGL said it had absorbed a substantial portion of the additional cost and was passing on only part of the increase through the ₹2-per-kg revision.

Meanwhile, prices of Domestic Piped Natural Gas (PNG) will remain unchanged, MNGL said.