Adani Total Gas Raises CNG Prices Amid Rising LNG Costs and Supply Shortages

Adani Total Gas Ltd (ATGL), a major city gas distributor operating in states such as Gujarat, Uttar Pradesh, Haryana, and Punjab, has announced an increase in Compressed Natural Gas (CNG) prices by ₹4.45 per kilogram. This adjustment reflects growing procurement expenses largely caused by escalating international Liquefied Natural Gas (LNG) prices, diminished availability of domestic gas, and supply restrictions from upstream producers.

The company’s latest price update shows that CNG now costs ₹98.47 per kg at ATGL stations in Ahmedabad, Gujarat. In Faridabad, Haryana, the price has risen to ₹102.60 per kg, while in Jalandhar, Punjab, customers will pay ₹100 per kg. These new rates are available on the official ATGL website.

ATGL attributed the price revision to a substantial rise in global spot LNG prices, which have climbed to approximately USD 30 per Million British Thermal Units (MMBtu). This is a significant increase from the USD 10-12 per MMBtu range observed in February 2026. The sharp surge in LNG costs has directly impacted the expense of imported gas, prompting ATGL to adjust retail prices accordingly.

In addition to international price pressures, the company highlighted a reduction in the supply of New Well Gas (NWG) from domestic sources. State-owned firms such as Oil and Natural Gas Corporation (ONGC) have curtailed output, leading to tighter availability of locally produced gas. ATGL also noted a decline in deliveries of High-Pressure, High-Temperature (HPHT) gas, further straining the supply chain.

These factors combined have made it necessary for Adani Total Gas to recalibrate its pricing structure to manage rising operational costs. CNG, a cleaner alternative to petrol and diesel, remains a key fuel for vehicles and household use in urban and semi-urban areas. This price increase may impact consumers who rely on CNG for transportation and cooking fuel.

Adani Total Gas operates as part of the broader Indian energy sector, which is currently navigating the complexities of fluctuating global energy markets and domestic resource limitations. The surge in LNG prices partly stems from worldwide demand shifts and geopolitical tensions affecting supply chains. Meanwhile, domestic gas production faces challenges related to exploration, extraction, and infrastructure constraints.

City gas distribution companies like ATGL play a vital role in supplying cleaner energy options to millions of consumers, contributing to efforts to reduce pollution and dependence on conventional fuels. However, their pricing is closely tied to the cost and availability of natural gas, which remains subject to market volatility.

Consumers and businesses dependent on CNG may experience increased expenses due to this hike, which could influence fuel choices and budget planning in affected regions. Industry analysts suggest that such adjustments are part of broader trends as India balances energy security, affordability, and environmental goals.

Adani Total Gas has indicated that it will continue monitoring market conditions and supply scenarios, with the possibility of future price revisions as circumstances evolve. The company urges customers to stay informed through official communications and its website for the latest updates.