Believe It Or Not, According To IGL, CNG Users Save 50% More Than Petrol Vehicles
The much needed savings.
Indraprastha Gas Ltd (IGL), the major supplier of CNG in Delhi-NCR, has introduced a price cut on CNG in the region with effect from October 3. Following the lowering of prices of CNG, the effective expense of running a CNG vehicle has now recorded to be half of that of petrol vehicles.
Prices of CNG in Delhi were recently reduced by Rs 1.90 per kg, bringing the retail price of CNG to Rs 45.20 per kg. Meanwhile, the same price in Noida, Greater Noida and Ghaziabad was cut to Rs 51.35 per kg. Gurugram (Gurgaon), CNG users still have to pay Rs 58.45 per kg.
The price cuts were dolled out due to a 12.5% reduction in input natural gas rates. As per IGL, CNG buyers now stand to make a saving of 56% on their vehicle¡¯s operational cost, in comparison with petrol-driven vehicles. The same saving as compared to diesel-driven vehicles was reported to be 33 percent.
(Representative Image: BCCL)
The math behind it
The expense metrics that shows the expected savings on CNG usage takes into account the recent inflation in the rates of petrol and diesel. Prices for both recently went up by around Rs 2 per litre in the Delhi-NCR region within the last 30 days. For the latest price of petrol and diesel, click here.
Meanwhile, IGL is making sure that CNG users are getting the benefits of the recent reduction in input natural gas rates. In addition to the recent price cuts, the entity is offering a Re 1 discount at select outlets to users who fill up their CNG vehicles from midnight to 6 am.
There is another incentive in the lineup in the form of a cashback scheme. IGL is offering Rs 0.50 per kg cashback through its IGL Smart Card between 11 am to 4 pm and 12 am to 6 am. The move is aimed to promote the sale of CNG in non-peak hours.
It should be noted that the prices of CNG across the national capital region are the lowest in the entire country. This means that the savings estimated fro CNG users in comparison with petrol and diesel vehicles is currently specific to the region only.
