CNG, cooking gas prices set to increase as natural gas prices zoom by 40 per cent
New Delhi : The prices of natural gases have been hiked by up to 40 per cent on Friday, with this there will be hike in the prices of CNG and LPG soon.
The prices for around two third production of the natural gas from old fields have been hiked to USD 8.57 per million British thermal units from the current $6.1, according to an order from the oil ministry’s Petroleum Planning and Analysis Cell (PPAC).
On the other hand, the prices of gas from newer fields have been hiked to USD 12.6 per mmBtu from $9.92, the order said.
With a hike of about 40% in the prices this is the biggest hike seen in the production of natural gases, also this is the third time since 2019 when the prices have been raised.
Gas is an input for making fertiliser as well as generating electricity. It is also converted into CNG and piped to household kitchens for cooking purposes. With this, the day is not too far away when the prices of cooking gas and CNG will see a sudden rise.
The government sets the price of gas every six months — on April 1 and October 1 — each year based on rates prevalent in gas surplus nations such as the US, Canada and Russia in one year with a lag of one quarter.
