NEW DELHI, Aug 29: Compressed natural gas prices in Delhi have increased by Rs 3.89 per kg amid a sharp rise in imported liquefied natural gas costs, adding to fuel expenses for households and transport operators.
Indraprastha Gas Limited (IGL) announced the revision with the new CNG price in Delhi reaching Rs 86.98 per kg from August 29. The company attributed the increase to higher spot LNG prices in international markets.
The latest adjustment comes against the backdrop of renewed disruption around the Strait of Hormuz, a key route for global energy shipments. Developments in the region have raised concerns over supply conditions and contributed to increased costs for imported gas.
The price revision is likely to affect commuters and commercial vehicle operators who depend heavily on CNG as a relatively economical transport fuel. Auto-rickshaws, taxis, buses and other CNG powered vehicles could face higher operating expenses following the increase.
The move also highlights the exposure of India’s city gas distribution sector to fluctuations in international energy markets. Although domestic gas supplies support a portion of consumption, imported LNG remains important for meeting demand.
Higher fuel costs could have wider implications if sustained, particularly for transportation and logistics businesses. Operators may eventually pass part of the additional expense on to consumers through higher fares or service charges.
Energy prices are also being closely watched by businesses as geopolitical developments continue to influence global supply chains.
The latest increase therefore places renewed attention on the stability of international gas supplies and their impact on domestic fuel prices.