Residents and transporters in the national capital woke up to a significant increase in fuel costs as Indraprastha Gas Limited (IGL) implemented a sharp hike in the prices of Compressed Natural Gas (CNG). Starting the morning of August 29, 2026, the retail price of CNG in Delhi has been revised to ₹86.98 per kg, marking a jump of ₹3.89 from the previous rate of ₹83.09 per kg.
The decision to raise prices is primarily linked to the volatile situation in the West Asia region. Indraprastha Gas Limited stated that the re-escalation of conflict in the territory has led to "elevated international LNG prices," making the procurement of natural gas significantly more expensive for Indian distributors.
- Direct price impact — CNG rates in Delhi move from ₹83.09 to ₹86.98 per kg starting August 29
- Geopolitical triggers — Rising costs attributed to supply chain disruptions in the West Asia region
- Union backlash — Transport bodies demand immediate fare hikes to counter the increased fuel burden
The ripple effects of this price revision are expected to be felt most acutely by the thousands of autorickshaw and taxi drivers who form the backbone of Delhi's last-mile connectivity. Various transport unions have already expressed their displeasure, suggesting that the current fare structure is no longer sustainable. Some leaders have warned of a potential "chakka jam" or strike if the Delhi Government does not intervene to provide subsidies or authorize a corresponding increase in passenger fares.
