GAIL Gas Lowers CNG and Domestic PNG Prices After Pipeline Tariff Revision

GAIL Gas Ltd has announced a reduction in prices of compressed natural gas and piped natural gas for households across its operating regions. 

The move follows recent changes in pipeline transportation tariffs notified by the sector regulator. 

The decision aligns with similar price cuts by other city gas distributors and reflects efforts to make natural gas more affordable for consumers.

Details of the Price Reduction

GAIL Gas has lowered the price of domestic piped natural gas by ₹1 per standard cubic metre and compressed natural gas by ₹1 per kilogram. 

The revised prices came into effect from Thursday across all authorised geographical areas operated by the company.

Regions Covered Under the Revision

The price cut applies to GAIL Gas service areas in several states, including Uttar Pradesh, Karnataka, Madhya Pradesh, Haryana, Uttarakhand, Jharkhand, Chhattisgarh, Rajasthan and Odisha. The company operates city gas distribution networks in multiple regions across the country.

Industry-Wide Price Adjustments

The announcement follows similar moves by other city gas distribution companies. Indraprastha Gas Ltd recently reduced household PNG prices in Delhi and NCR, while Think Gas announced sharper cuts in both CNG and domestic PNG rates in select markets earlier this week.

Role of Pipeline Tariff Rationalisation

The price reductions come after the Petroleum and Natural Gas Regulatory Board revised the unified pipeline tariff structure. Effective January 1, 2026, the number of distance-based tariff zones has been reduced from three to two, with a uniform lower rate applied for CNG and domestic PNG customers regardless of distance from the gas source.

Impact on Transportation Costs

Under the revised framework, transportation charges for natural gas are expected to decline, easing input costs for city gas distributors. 

The regulator has stated that the new structure is intended to simplify tariffs and support a more sustainable operating environment for the sector.

Read More: India Natural Gas Pipeline Network Crosses 25,000 Km as National Gas Grid Expands.

Conclusion

GAIL Gas’s decision to lower CNG and domestic PNG prices reflects the impact of regulatory changes on fuel pricing. As pipeline transportation costs reduce, consumers may benefit from more stable and affordable access to natural gas, supporting broader adoption of cleaner energy options.

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