HomeBusinessCNG and LPG Prices May Increase in October: ICICI Securities

CNG and LPG Prices May Increase in October: ICICI Securities


According to a report by ICICI Securities, CNG and piped LPG prices in cities like Delhi and Mumbai may increase by 10-11 per cent next month as the gas price fixed by the government may increase by about 76 per cent. Is. The government prices natural gas produced by firms such as state-owned Oil and Natural Gas Corp (ONGC) from fields assigned to them on a nomination basis every six months, based on rates issued in gas-surplus countries. The following review by the government will be on October 1.

CNG and LPG Prices May Increase in October

The brokerage house said the price, called the APM or administered rate, will be USD 3.15 per million British thermal units (mmBtu) from October 1, 2021, to March 31, 2022, from the current $1.79. Gas rates from deepwater fields such as Reliance Industries Ltd’s KG-D6 and BP Plc will increase to $7.4 per mmBtu next month.

Natural gas is the raw material converted into compressed natural gas (CNG) for use in automobiles as fuel or piped into home kitchens for cooking purposes.


The expected jump in APM gas prices will present a challenge to City Gas Distribution (CGD). This is because their gas cost for CNG and residential piped natural gas will increase. The increase in APM gas prices will mean a steep hike in prices by IGL (which retails CNG in the national capital and adjoining cities) and MGL (which retails CNG in Mumbai) over the next year.

ICICI Securities said that city gas distributors (CGDs) would have to hike prices by 10-11 per cent in October. As per the trend in the international markets, the APM gas price is likely to be US$ 5.93 per mmBtu from April 2022 to September 2022 and US$ 7.65 from October 2022 to March 2023. This means that CNG and piped natural gas prices will increase by 22-23 per cent in April 2022 and 11-12 per cent in October 2022.

Ashish Kumar Mishra
Ashish Kumar Mishrahttps://www.spotnews18.com/
Ashish Kumar Mishra is the Founder and CEO of Spot News 18. He created Spot News 18 on 30 June 2019. His intention in making these News Websites was only to provide correct and official news to his readers. Now, he is working on Spot News 18 to expand his website's reach to all parts of the world.

Related News


World’s Fastest Flying Bike Ready, 804 KM Speed, 644 KM Range

When former Swiss military personnel Yves Rossy flew with a jet wingpack, humans could not think they could fly like this. Today you are...

Top 10 Email Signature Generators With Templates

Email is one of the primary modern modes of communication for both professional and personal purposes. In terms of corporate communication, emails play a...

5 Indian Players Scored The Most Runs Against The African Team, One Has Retired

India vs South Africa T20 Series: The Indian team is considered the most dangerous team in the world in T20 cricket. Before the T20...

Big ‘Loss’ To Adani And Ambani! Reached This Number In The List Of Billionaires

Mukesh Ambani And Gautam Adani Latest News: There is turmoil in the domestic stock market. Weakness prevails in the market on Tuesday amidst the...

Which Variant Of Maruti Grand Vitara To Buy? Know Mileage, Price

Maruti Suzuki has launched its new SUV, Grand Vitara. This SUV will be sold through Nexa dealerships. Maruti has given many great features in...