IGL Hikes CNG Prices in Delhi Amid Rising LNG Costs
By Business Desk
Indraprastha Gas Ltd (IGL) raises CNG prices by 4.6% in Delhi to Rs 86.98/kg due to surging imported LNG costs, driven by global market pressures.
Indraprastha Gas Ltd (IGL) has raised compressed natural gas (CNG) prices by 4.6 percent, or Rs 3.89 per kilogram, across its operational areas.
This revision, effective from 6 AM on August 29, 2026, sets the new CNG price in Delhi at Rs 86.98 per kg.
- Price increase: Rs 3.89 per kg (4.6 percent)
- New Delhi CNG price: Rs 86.98 per kg
- Effective date: August 29, 2026
The company attributed this price adjustment directly to a significant surge in imported spot liquefied natural gas (LNG) prices, citing sustained elevation in international LNG costs.
Global LNG Market Pressures
International LNG prices have nearly doubled since July 2026, primarily due to the re-escalation of the West Asia crisis impacting cargo movements through the Strait of Hormuz.
Europe’s urgent demand to increase natural gas storage ahead of the winter season has further intensified this global price surge.
Despite the considerable increase in input gas costs, IGL emphasized that CNG retail prices in Delhi remain among the most economical options available to consumers globally among gas-importing countries.
The company noted that city gas distribution entities have maintained competitive CNG prices compared with alternative fuels, supporting consistent growth in CNG consumption across India.
Operational Scope and Demand Dynamics
IGL supplies a substantial portion of its input gas for the CNG segment through imported Spot LNG to meet India’s fast-growing economy and surging consumer demand.
This reliance on imported LNG has driven a considerable increase in the company’s input gas cost, necessitating calibrated revisions.
IGL operates an extensive city gas distribution network, spanning over 30,000 km of pipelines across numerous cities including Delhi, Noida, Gurugram, and Meerut.
This infrastructure serves more than 2.1 million vehicles with CNG through over 1,000 stations and connects nearly 3.5 million households with piped natural gas (PNG).
CNG consumers, including private car owners and public transport users, have largely been insulated from volatile increases in imported spot LNG prices until this recent adjustment.