CNG, Domestic PNG Prices to Drop by Rs 2–3 per Unit From January 1

Consumers using Compressed Natural Gas (CNG) and domestic Piped Natural Gas (PNG) are set for relief as the Petroleum and Natural Gas Regulatory Board (PNGRB) implements a unified tariff structure effective January 1, 2026, expected to reduce prices by ₹2–3 per unit depending on state-specific taxes and distribution zones. The rationalisation aims to standardise transportation charges across the national gas grid, benefiting households and vehicle owners in over 312 connected geographical areas.

PNGRB Member AK Tiwari confirmed the savings, attributing them to streamlined tariffs that eliminate disparities in pipeline usage costs. The move supports the government's push for wider adoption of cleaner fuels, potentially easing inflationary pressures on transport and cooking expenses amid rising demand for natural gas.

The revision follows extensive consultations with city gas distribution entities and stakeholders, aligning with efforts to expand the gas network under the National Gas Grid initiative. It is anticipated to particularly aid urban centres with high CNG vehicle penetration, such as Delhi-NCR, Mumbai, and Ahmedabad.

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While exact reductions will vary by region due to local taxes and operational costs, the average drop is projected to make CNG more competitive against petrol and diesel, encouraging a shift toward environmentally friendly options. Industry analysts view this as a step toward achieving India's target of increasing natural gas share in the energy mix to 15% by 2030. The tariff change comes at a time when global LNG prices have stabilised, allowing domestic distributors like Indraprastha Gas Limited and Mahanagar Gas Limited to pass on benefits. Consumers are advised to monitor announcements from local providers for precise revised rates starting next month.

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