CNG Price Hike: Compressed Natural Gas (CNG) prices in the National Capital Region (NCR) were raised again on Sunday morning, marking the second increase within 48 hours. In Delhi, CNG now costs Rs 80.09 per kg after a Rs 1 hike, while consumers in Noida and Ghaziabad will now pay Rs 88.70 per kg. The fresh revision follows a Rs 2-per-kg rise announced on May 15, bringing cumulative increases in some areas to Rs 3 in just two days.
CNG rates have been increased by Re 1 from today. In Delhi, per KG CNG will cost Rs 80.09. In Noida-Ghaziabad, per KG CNG will cost Rs 88.70. This is the second increase in prices in 2 Days. Earlier on 15th May, CNG prices were increased to Rs 2/KG.
— ANI (@ANI) May 17, 2026
What changed and where?
Delhi: Price increased by Rs 1 to Rs 80.09 per kg.
Noida–Ghaziabad: Price now Rs 88.70 per kg.
Indraprastha Gas Ltd. (IGL), which supplies CNG to Delhi-NCR and neighbouring markets, had raised CNG by Rs 2/kg on May 15; the new Rs 1 revision is effective from today.
In Greater Noida and Gautam Budh Nagar the revised prices now stands at Rs 88.70 per kg and In UP’s Hapur, the final increased rate is Rs 89.70 per kg.
Why prices are rising?
Officials and industry observers link the repeated hikes to volatility and disruptions in global energy markets. The ongoing geopolitical tensions in the Middle East, including the Iran-related conflict, have pushed up input costs for natural gas and refined fuels globally. Retail fuel prices (petrol and diesel) have also risen recently on May 15, adding to overall energy-price pressure.
On fuel price rise and alternate sources, Former NITI Aayog Member Arvind Virmani says, “India imports 70–80% of its oil and gas, so price increases have already impacted the economy. War disruptions in the Gulf have worsened logistics and production, raising costs further. The short-term issue is ‘pass through’. How the burden is shared among oil companies, government (via excise cuts or subsidies), and consumers, including households and industries. Rising costs of sulphur, polypropylene, and fertilizers show this effect, with subsidies straining fiscal resources.”
“The best short-term strategy is gradual pass through, allowing industry to adapt and seek alternatives. In the medium and long term, India must accelerate investment in alternative energy, especially solar. Key reforms include time-of-day pricing to balance solar generation and evening demand, storage solutions, and modernising distribution systems. A big ray of hope is Andhra Pradesh’s decision to free up electricity distribution. Now, anyone setting up a data center can generate their own power and choose whether to distribute it. Freeing up the distribution system can have great efficiency effects,” Virmani added.
Impact on consumers and transport
Private vehicle owners: CNG-powered car owners will face slightly higher running costs; however, CNG remains cheaper than petrol and diesel on an energy-equivalent basis.
Taxi and public transport: Operators of autorickshaws, taxis and shared services that run on CNG will see a modest increase in operating expenses; some may pass on part of the hike to customers.
Logistics and delivery fleets: Smaller commercial fleets using CNG could absorb short-term increases, but sustained rises may influence fare and freight rates.
Indraprastha Gas Limited did not immediately provide a comment beyond its price notification to distributors. Market participants said city gas distributors typically revise retail prices to reflect upstream changes, taxes and distribution costs.
How CNG pricing works?
Retail CNG prices reflect a combination of factors- the cost of natural gas at the city-gate, liquefied natural gas (LNG) or domestic gas feedstock prices, distributor margins, taxes and duties and logistical costs for compression and delivery. City gas companies periodically revise rates to align retail prices with upstream cost movements and regulatory guidelines.