According to reports from The Hindu BusinessLine, Adani Total Gas Ltd (ATGL) has implemented a ₹4 per kg increase in compressed natural gas prices across all geographical areas, effective from August 1, 2026. In Ahmedabad, CNG will now retail at ₹94.02 per kg, inclusive of all taxes, marking one of the steepest revisions in recent months. The latest revision takes the cumulative increase in Adani CNG prices in 2026 to ₹12 per kg, adding significantly to the financial burden on daily commuters, auto-rickshaw drivers and cab operators who rely on CNG as a relatively economical fuel.
As reported by The Hindu BusinessLine, the hike has widened the price gap with state-run Gujarat Energy Ltd (GEL), which retails CNG at ₹85.01 per kg in its operating areas. Several Gujarat-based ATGL dealers, speaking on condition of anonymity, indicated that the nearly ₹9 per kg price differential could affect demand, particularly in rural markets where consumers can switch suppliers. "This way we will end up losing customers, especially in rural areas of the state where GEL is selling CNG at ₹85.01 per kilogram," one dealer stated. The price increase is expected to increase the operating costs of public transport and commercial vehicles, with auto-rickshaw and taxi operators potentially seeking fare revisions.
According to the company's statement reported by The Hindu BusinessLine, the revision was necessitated by significant increases in natural gas sourcing costs arising from reduced availability of domestic gas, supply curtailments, and elevated global gas prices due to geopolitical issues. Global LNG markets have witnessed exceptional volatility over the past six months, with LNG prices in the $10-13 per MMBTU range in February surging after Middle East conflict disrupted shipments through the Strait of Hormuz. Benchmark spot prices climbed to around $25 per MMBTU in early March before easing during April and June, but remained well above pre-conflict levels. An Adani Total Gas Limited spokesperson explained that "due to adverse factors such as limited domestic availability of CNG, unexpected supply cuts and elevated global gas prices driven by geopolitical developments, the cost of procuring natural gas has increased significantly, making a revision in CNG prices unavoidable."
Despite the price increase, demand for CNG has remained robust, as reported by The Hindu BusinessLine. During the June quarter, ATGL reported an 18% year-on-year increase in CNG sales volume to 218 million standard cubic metres (MMSCM), while overall gas sales volumes rose 13% to 303 MMSCM. The company currently operates across 53 geographical areas spanning 125 districts in 18 states and three Union Territories, with a combined network of 1,167 CNG stations, including joint ventures, and added six new CNG stations during the June quarter.
