Home » Dependence of imported fuel prompts GGCL to hike CNG price

Dependence of imported fuel prompts GGCL to hike CNG price

Dependence of imported fuel prompts GGCL to hike CNG price

Gujarat Gas Company (GGCL) hiked the price of compressed natural gas (CNG) for all the consumers in Surat, Bharuch and Ankleshwar citing the increase in import dependence for the fuel.

The price has been raised from Rs 51.95 per kilogram to Rs 56.30 per kilogram following the sharp increase in prices by two key city gas distributors (CGDs) in the state last month.

GGCL claims that the share of domestic gas in its product mix was falling while that of market priced Regassified Liquefied Natural Gas (RLNG) is rising. Since June 2012, this is the first CNG price revision by the firm, which operates with a network of 54 CNG stations.

As the CGDs have been increasing their volumes of market priced LNG, there is bad news from the LNG sector. Petronet LNG (PLL), the country’s largest LNG import terminal based in Dahej, which supplies imported gas to GSPC gas, GGCL, Adani and other CGDs, has projected about 26 per cent rise in the prices in the next one year.

The CNG prices offered by the GGCL is at the lower side compared to Rs 60.15 per kg offered by Adani Gas.

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