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Fueling Change: How CNG is transforming India's passenger car landscape

According to a report by Equirus, CNG has been steadily increasing across regions over the past one year, with the East region led by Bihar witnessing a significant increase

Photo: Shutterstock
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CNG’s share in the fuel mix has been steadily rising over recent months, overtaking diesel. See Fuel Mix for the trend. (Photo: Shutterstock)

Shine Jacob

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Amid uncertainty over the ban on diesel vehicles older than 10 years and petrol cars older than 15 years in Delhi, compressed natural gas (CNG) is quietly transforming the country’s automotive sector. After surpassing diesel cars for the first time in 2024–25 (FY25), CNG continues to gain ground in the passenger vehicle segment in 2025–26 as well. In June 2025, the share of gas in new passenger car sales stood at 21 per cent, up from 18.2 per cent in June 2024.
 
According to a report by Equirus, CNG usage has steadily increased across regions over the past year, with