- Indraprastha Gas and Mahanagar Gas shares fell over 3% after CNG price hikes
- IGL raised Delhi CNG prices by Rs 2 per kg to Rs 79.09 per kg from May 15
- MGL increased CNG prices in Mumbai region by Rs 2 to Rs 84 per kg from May 15
Stocks of leading gas distributors Indraprastha Gas Ltd (IGL) and Mahanagar Gas Ltd (MGL) fell on Friday, May 15 after price of compressed natural gas (CNG) was hiked in Delhi, a day after prices were increased Mumbai Metropolitan Region.
Both MGL and IGL shares dropped over 3% trading at Rs 1030.1 and Rs 150.31 apiece respectively. MGL shares were trading at 0.55% lower and IGL shares were 21.36% down at 9:51 am. The benchmark NSE Nifty 50 was up 0.50%.
The rate revision comes amid disruptions in global energy markets linked to the ongoing Iran conflict, after recent increases in petrol and diesel prices.
Indraprastha Gas Ltd. on Friday hiked the price of compressed natural gas (CNG) by Rs 2 per kg in Delhi, a day after a similar hike was announced in the Mumbai Metropolitan Region. In Delhi, the price of CNG has increased from Rs 77.09 per kg to Rs 79.09 per kg. The revision comes amid disruptions in global energy markets linked to the ongoing Iran conflict, after recent increases in petrol and diesel prices.
On Thursday, CNG prices were hiked across the Mumbai Metropolitan Region (MMR), adding to cost pressures for commuters and transport operators. Mahanagar Gas Limited (MGL) has increased retail CNG prices by Rs 2 per kg, taking the new rate to Rs 84 per kg with effect from today, as per NDTV reports.
The revised price applies across Mumbai, Thane, Navi Mumbai and other MMR areas. CNG was previously priced at Rs 82 per kg, with the latest hike attributed to rising input costs and prevailing market conditions.
Immediately following the hike in CNG rates, auto-rickshaw unions have begun pressing for an increase in fares. The auto unions argue that the continuous rise in fuel prices is adversely affecting drivers' incomes, making it increasingly difficult to operate their vehicles at the current fare rates.
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