ISLAMABAD: In a bid to discourage use of CNG, the government may surge compressed natural gas (CNG) prices around 15% from April by tweaking the parity rate with petrol price and increasing a tax.
At present, CNG price is at 53% parity of petrol price that will be increased to 55%,” a senior official of petroleum the petroleum ministry said adding that the government had already imposed 80% Gas Infrastructure Development Cess (IDC) on CNG.
“Now, the remaining 20% cess will be imposed on CNG that would raise prices,” official said adding that the total impact of increase in CNG price would be over Rs9 to Rs12 per kg.
In region-1, CNG price will be increased by Rs11.58 per kg whereas in region-2, the price of CNG will be hiked by Rs9.93 per kg.
After notification, the new price of CNG will be Rs88.70 per kg in Khyber-Pakhtunkhwa, Balochistan and Potohar Region (Rawalpindi, Islamabad and Gujarkhan) and Rs80.98 per kg in Sindh and Punjab (excluding Potohar Region).
“The measures are being taken to discourage the use of CNG in vehicles, particularly private vehicles, keeping in view the increasing energy crisis,” official said.
Published in The Express Tribune, March 31st, 2012.