Compressed natural gas (CNG) prices in Delhi-NCR were hiked by Rs 2 per kg on Tuesday, taking the retail price to Rs 83.09 per kg.
The latest increase comes amid continued upward revisions in petrol and diesel prices as state-run fuel retailers pass on the impact of elevated global crude oil prices to consumers.
The fresh CNG hike adds to the burden on households and transport operators already grappling with rising fuel costs over the past few weeks.
THIRD ROUND OF CNG HIKES SINCE MID-MAY
CNG prices had already been raised multiple times earlier this month before the latest increase.
On May 15, rates were increased by Rs 2 per kg, followed by another Re 1 per kg hike on May 17.
Another Re 1 per kg increase was announced on May 23, taking the cumulative increase to Rs 4 per kg at that stage.
With Tuesday’s Rs 2 per kg revision, the overall increase in CNG prices since mid-May has risen further, reflecting the pressure on fuel retailers amid volatile global energy markets.
Compressed natural gas prices in Delhi had reached Rs 81.09 per kg after the May 23 revision from Rs 80.09 earlier.
The hikes have come at a time when fuel retailers are dealing with rising import costs due to higher international crude oil prices, disruptions in global shipping routes and a weaker rupee.
PTI reported that global crude prices had surged sharply following the US-Israeli strikes on Iran and disruptions around the Strait of Hormuz, a key global oil transit route.
PETROL, DIESEL PRICES ALSO SEE SHARP INCREASES
Alongside the increase in CNG rates, petrol and diesel prices have also been revised upwards repeatedly over the last two weeks.
Petrol prices were raised by Rs 2.61 per litre and diesel by Rs 2.71 per litre on May 25, marking the fourth increase in less than two weeks.
Cumulative hikes in petrol and diesel prices since May 15 have reached nearly Rs 7.5 per litre.
Following the latest revision, petrol prices in Delhi climbed to Rs 102.12 per litre from Rs 99.51, while diesel prices increased to Rs 95.20 per litre from Rs 92.49.
Earlier, on May 23, petrol prices had been increased by 87 paise per litre and diesel by up to 91 paise per litre.
Petrol prices in Delhi rose to Rs 99.51 per litre from Rs 98.64, while diesel rates increased to Rs 92.49 per litre from Rs 91.58.
The state-owned fuel retailers had increased petrol and diesel prices by Rs 3 per litre each on May 15 and by 90 paise per litre on May 19.
GOVERNMENT, OIL FIRMS UNDER PRESSURE
PTI reported that state-run oil marketing companies — Indian Oil Corporation (IOC), Bharat Petroleum Corporation Ltd (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL) — together control nearly 90 per cent of India’s fuel retail market. The companies have been facing mounting pressure due to elevated global crude prices and high under-recoveries on fuel sales.
According to PTI, Petroleum Ministry Joint Secretary Sujata Sharma had stated that despite the fuel price increases, state-run oil firms were still incurring substantial daily losses. PTI also cited industry estimates suggesting that oil marketing companies continued to face under-recoveries on petrol, diesel and domestic LPG sales even after the recent hikes.
The repeated fuel price increases are expected to add to inflationary pressures and transportation costs across sectors, with analysts warning that elevated energy prices could continue to weigh on consumers and the broader economy in the coming weeks.
Source: News18