The price of compressed natural gas (CNG) has been raised by ₹1 per kg to ₹80.09 in Delhi marking the second hike in rates in the last 48 hours. In Noida-Ghaziabad, per kg CNG will now cost ₹88.70.
“The retail selling price of CNG has been increased by ₹1/kg w.e.f. 6 am on 17.05.2026 in all GAs of IGL,” Indraprashta Gas (IGL) said on X.
The revision in retail prices of CNG has been effected only to marginally offset the impact of increase in input gas cost along with steep appreciation of US dollar. Even after revision, CNG would still offer up to 45 per cent savings towards the running cost when compared to vehicles running on alternate fuel at the current level of prices, it added.
On Friday (May 15), CNG prices were raised by ₹2 per kg, which is within days of the conclusion of assembly elections in West Bengal, Tamil Nadu, Assam and Kerala.
The rise in prices of CNG will have a bearing on public transport, with expectations that autos and taxis will raise prices for commuters.
Recently, ICRA said that the City Gas Distribution (CGD) sector, although protected to some extent owing to preferable natural gas allocation, continues to face rising cost pressures amid currency depreciation and rising gas prices.
For the CGD entities, ICRA expects the profitability on PNG-Domestic (PNG-D) to remain stable as the demand is being met through preferential allocation of the Administered Price Mechanism (APM) gas.
However, for the CNG segment, the margins are expected to face headwinds on account of the increased gas costs as well as currency depreciation which may not get passed on fully to the consumers, it added.
Published on May 17, 2026