CNG vehicles gear up for a long ride with regulated prices, strong demand

With regulated prices and its designation as a 'clean fuel', this segment of the transport industry could accelerate

India’s city gas distribution (CGD) infrastructure has seen an investment of Rs. 1.5 trillion in the last five years. Apart from the supply of piped natural gas (PNG) for domestic and industrial purposes, compressed natural gas (CNG) for transportation forms a significant element of the CGD network. CNG, which is considered as one of the cleanest modes of transportation, has been seeing a topsy-turvy ride over the last few years.

The pandemic, price rise triggered by geopolitical tensions such as the Russia-Ukraine War, the subsequent demand dip and the European Union sourcing largely from India’s traditional Gulf suppliers are among