CNG will now be less expensive! The government expanded IGL, MGL, and Adani’s access to affordable gas. 

Date:

Share:

The total amount of gas supplied increased: By its decree of December 31, 2024, the Ministry of Petroleum and Natural Gas has reorganized some of the distributions of gas produced from subterranean and underwater sources.

Increased Gas Supply: Indraprastha Gas Limited, also known as IGL, Adani-Total, and Mahanagar Gas Limited (MGL), are among the urban gas distribution businesses that now receive more affordable gas from the government. The stock markets have received this information from these companies. The government had cut the gas allotment to these enterprises last year, or in 2024. According to city gas distribution firms, the provision of more APM gas will begin on January 16.

CNG will become cheaper

IGL gave information to the stock markets

In a statement to the stock exchanges, Indraprastha Gas Limited stated: “The domestic gas allocation to IGL has been raised to 31 percent as of January 16, 2025, in accordance with the letter obtained from GAIL (India) Limited, the nodal agency for domestic gas allocation. As a result, domestic gas’s percentage in the CNG category will rise from 37% to 51%. Additionally, the business has a deal with a major supplier for competitively priced imported LNG at a rate of roughly one million standard cubic meters per day. According to IGL, the company’s profitability will benefit from both this revision and the agreement for increased quantity.

According to Adani-Total Gas Limited, retail prices will be impacted.

“The allocation of APM gas has been increased by 20 percent from January 16, 2025,” according to Adani-Total Gas Limited, a company that sells CNG in Gujarat and other cities. According to the corporation, this rise will benefit it and aid in keeping consumer retail prices stable.

Mahanagar Gas Limited’s gas allocation also went raised.

The amount allotted for residential gas at the APM price has grown by 26%, according to Mahanagar Gas Limited, a business that sells CNG in Mumbai and neighboring areas. As a result, CNG’s share of the budget has grown from 37% to 51%.

Mahanagar Gas Limited's gas allocation also went raised.

Why was the amount of gas supplied to businesses increased?

Due to limited production, the government reduced the amount of APM gas (cheap natural gas from older locations like Mumbai High and Bay of Bengal) supplied to city gas retail dealers by as much as 40% in October and November of last year. City gas distributors raised the cost of CNG by two to three rupees per kilogram as a result. This is because these businesses were forced to purchase gas at a greater cost. As a result, CNG is no longer as appealing as alternative fuels like diesel. Following this, by virtue of its directive dated December 31, 2024 the Ministry of Petroleum and Natural Gas has reorganized various allocations of gas produced from underground and undersea sources.

For the manufacture of LPG, the ministry has directed a reduction in supply to the public sector GAIL and Oil and Natural Gas Corporation (ONGC), and some of that supply has been moved to municipal gas distribution units. This indicates that 25.5 crore standard cubic meters of gas are consumed every day to xproduce LPG. During the January–March quarter, 12.7 crore standard cubic meters—half for GAIL and half for ONGC—will be transferred for usage in the CNG/pipeline cooking gas (PNG) segment.

Read More: – With Rs 250, you can begin SIP; regulations will be released shortly.

 

🔥🔥 Join Our Group For All Information And Update, Also Follow me For Latest Information🔥🔥
🔥 Facebook Page                 Click Here
🔥 Twitter                              Click Here
🔥 Instagram                 Click Here

Subscribe to our magazine

More Like This

Mutual Fund Investor: What should investors do now that the market is in a bad mood because FIIs are selling?

Mutual Fund SIP: Despite market declines, mutual fund industry professionals continue to counsel investors to stick with their SIP. Investors in mutual funds are extremely...

Railway Recruitment: Candidates may apply for over 4000 open positions in the railway industry.

Railway Recruitment: Central Railway is hiring for a large number of apprentice positions. which applicants can promptly apply for by going to the official...

These five incredible superbikes, whose characteristics are so fantastic that they will be inexpensive, will be attending Auto Expo!

Auto Expo 2025: Beginning on January 17, a number of auto and motorcycle manufacturers are getting ready to present their new goods at Auto...

These plans of Vi, Jio, and Airtel are coming with various benefits, Read now

Plans from Vi, Jio, and Airtel include free OTT subscriptions, unlimited calling, and extended validity. We presented a list of these proposals from all...

Now use a credit card to pay with UPI; connecting is the easiest method

Using UPI apps to make credit card payments has now become simple. This will greatly simplify financial transactions. Let's find out ho w to...

LEAVE A REPLY

Please enter your comment!
Please enter your name here