CNG rate increase due to court orders: IGL

December 27, 2013 13:47

A day after hiking CNG price by a steep Rs 4.50 per kg in Delhi, Indraprastha Gas Ltd today said the rate increase were forced by court orders that led to cut in allocation of cheaper domestic natural gas.

Following a Gujarat High Court order, the government ordered all of domestically available natural gas for city gas projects to be equitably distributed among all the companies in the country than convert the fuel into compressed natural gas for sale to automobiles.

Prior to this, cheaper domestic gas was largely available to firms retailing CNG in Delhi and Mumbai.

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