Adani Total Gas cites higher LNG cost, domestic supply cut for ₹4.45 per kg

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CNG at ATGL outlets in Ahmedabad now costs ₹98.47 per kg, while it is priced at ₹102.60 per kg in Faridabad, Haryana and ₹100 per kg in Jalandhar

By PTI

Updated - October 23, 2026 at 02:49 PM. | New Delhi

Adani Total Gas Ltd, a city gas distributor supplying CNG and piped natural gas across cities in states, has raised Compressed Natural Gas (CNG) prices by ₹4.45 per kg. | Photo Credit: Vijay Soneji

Adani Total Gas Ltd, a city gas distributor supplying CNG and piped natural gas across cities in states, including Gujarat and Uttar Pradesh, has raised Compressed Natural Gas (CNG) prices by ₹4.45 per kg, citing higher procurement costs driven by surging international Liquefied Natural Gas (LNG) prices, reduced domestic gas availability and upstream supply curtailments.

CNG at ATGL outlets in Ahmedabad now costs ₹98.47 per kg, while it is priced at ₹102.60 per kg in Faridabad, Haryana and ₹100 per kg in Jalandhar, according to information on the company website.

The revision comes as global spot LNG prices have risen to around $30 per Million British Thermal Units (MMBtu), from $10-12 in February 2026, increasing the cost of imported gas, the company said in a media statement.

ATGL also cited reduced availability of New Well Gas (NWG) from domestic fields of state-owned companies like ONGC and lower supplies of High-Pressure, High-Temperature (HPHT) gas following a government order.

The changes have reduced the share of competitively priced domestic gas available to meet CNG demand, adding to pressure on the company's weighted-average procurement costs, it said.

"ATGL continues to focus on limiting the impact on consumers while maintaining uninterrupted CNG availability," a company spokesperson said, adding that CNG remained an economical and environmentally friendly fuel choice.

The company said supply curtailments by upstream producers had created a sourcing gap that needed to be met through alternative sources, raising the overall cost of supplying the transport fuel.

It described the price adjustment as a calibrated measure to partly offset the increase in procurement expenses while maintaining reliable supplies. The price increase highlights the exposure of city gas distributors to changes in domestic gas allocation and international energy markets. When lower-cost domestic supplies become less available, distributors may need to rely more heavily on expensive alternatives, putting pressure on margins or prompting increases in retail prices.

CNG is widely used by motorists, taxis and commercial vehicle operators as an alternative to petrol and diesel. Higher pump prices can affect vehicle running costs, although the impact on consumers depends on local prices and the relative cost of competing fuels.

"Against this backdrop, a calibrated CNG price revision is required to partly absorb the increase in gas procurement costs while ensuring dependable supply to consumers," the firm said. "“The CNG price revision is necessitated by a substantial rise in natural gas procurement costs, reflecting elevated global gas prices amid geopolitical developments, lower availability of domestic gas and ongoing supply curtailments."

ATGL did not specify in its statement the full list of locations affected by the revision or provide a breakdown of the additional procurement costs attributable to each supply constraint.

Published on October 23, 2026

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