Mahanagar Gas Raises CNG & PNG Prices Amid Higher Input Cost

Research Analyst: UJVIN NEVATIA (PROPRIETOR: NEVAT INVESTMENTS) | SEBI Registration No.: INH100009628 Mahanagar Gas Ltd. (

) has increased the price of CNG by ₹2 per kg and Domestic Piped Natural Gas (PNG) by ₹1 per Standard Cubic Metre (SCM) across its operating areas. The revised prices are effective from September 1, 2026. CNG in and around Mumbai will cost ₹88 per kg. Why Has MGL Increased Prices? The company has attributed the revision to a significant rise in input gas costs, linked to higher international gas prices amid the ongoing Middle East crisis. MGL sources a portion of the gas required to meet CNG demand through imported spot Regasified Liquefied Natural Gas (RLNG), making its costs sensitive to global gas prices. Understanding the Impact City gas distribution companies purchase natural gas from different sources, including domestic gas allocations and imported LNG. When the cost of gas rises, companies may absorb a portion of the increase or revise retail prices to partially offset higher input costs. For consumers, higher CNG and PNG prices increase fuel and household energy costs. For MGL, the financial impact will depend on factors such as future gas procurement costs, the extent of price pass-through, customer demand and sales volumes. The price revision highlights how changes in global energy markets and imported gas costs can influence domestic CNG and PNG prices. Source: The Hindu No Recommendations