Changes in the pipeline tariff of the Petroleum and Natural Gas Regulatory Board (PNGRB) have brought relief to consumers. file photo
Digital Desk, New Delhi. There is good news for consumers in India's natural gas market. Customers have started getting direct benefits of the recent changes made in pipeline tariff by the Petroleum and Natural Gas Regulatory Board (PNGRB). Many city gas distribution companies have started reducing the prices of Compressed Natural Gas (CNG) and Piped Natural Gas (PNG) i.e. domestic piped cooking gas.
Think Gas has taken the lead and announced price cuts in CNG and domestic PNG in many states even before the new tariff regime comes into effect from January 1, 2026. Company officials say that this step has been taken to provide immediate relief to the consumers.
According to sources, other city gas operators like Indian Oil-Adani Gas, Gujarat Gas and Mahanagar Gas etc. may also announce price reduction in the coming days. PNGRB had on December 16 issued a new rationalized tariff structure for natural gas pipelines. This amendment will be effective from January 1, 2026. Natural gas is mainly used for power generation, fertilizer manufacturing, CNG and domestic cooking. The biggest change under the new rules has been made in the distance-based tariff zones. Earlier there were three zones, now they have been reduced to just two.
Most importantly, a uniform lower rate will now apply across the country for CNG and domestic PNG consumers. Irrespective of the distance from the gas source, the Zone-1 rate will be applicable for all, which is approximately Rs 54 per million British thermal units (MMBTU).
Earlier, higher tariffs were imposed in remote areas, due to which CNG and PNG became expensive there. Experts believe that with this change, the prices of CNG and PNG will be significantly reduced in remote cities and states, which will reduce the cost of driving and home cooking. Besides, the use of clean fuel will be encouraged and it will also help in pollution control.
The industry has appreciated this step of PNGRB. He says that with a uniform tariff, the natural gas market will become uniform across the country and the expansion of the city gas network in new areas will accelerate. This new year is going to be a real relief for the consumers, because the burden of gas on the pocket is now becoming lighter.