CNG Prices Hike In May 2026: MGL Increases CNG Price By Rs 2/Kg In Mumbai; Will IGL, Adani Total Follow?

Amidst the rising energy crisis, Mahanagar Gas Ltd. (MGL) has increased the price of its compressed natural gas (CNG) by Rs 2 per Kg across the Mumbai Metropolitan Region (MMR). The US-Israel-Iran conflict has turned fatal for global energy in the long run, leading to supply shortages and economic crises. Amidst this, the Indian government has prioritized allocation of LPG, CNG and PNG among other petroleum products, to end consumers. However, the crisis has already pushed oil and natural gas companies to increase retail prices of LPG and now CNG.

MGL Hikes CNG Prices May 2026:

According to MGL, the hike in CNG prices is owing to higher gas procurement costs, coupled with elevated crude oil prices, rupee depreciation, and disruptions in the global energy supply chain in the wake of the West Asia war.

Hence, MGL said that starting midnight tonight, CNG price will be raised by Rs 2 per Kg. This will bring the final rate of CNG to Rs 84 per Kg across MMR. CNG will be at Rs 84 in places like Mumbai, Thane, Navi Mumbai, adjoining Municipalities and Raigarh District (EAAA).

The latest decision also comes at a time when Prime Minister Narendra Modi has appealed Indian citizens to reduce their fuel consumption to lessen the burden of imports amidst the energy crisis.

Will Other Natural Gas Companies Hike CNG Prices As Well?

As of now, Indraprastha Gas (IGL) has kept CNG rates unchanged since January 1, 2026, and PNG rates steady since April 1, 2026. Despite the Middle East conflict, IGL has not revised CNG rates especially. But despite this, CNG is expensive in many northern cities than compared to Mumbai.

Check CNG Rates At IGL Here:

CNG Retail Prices (w.e.f 6:00 AM of 01st January 2026)
NCT of Delhi	Rs. 77.09 /- per Kg
Noida	Rs. 85.70 /- per Kg
Ghaziabad	Rs. 85.70 /- per Kg
Muzaffarnagar	Rs. 85.58/- per Kg
Meerut	Rs. 85.58/- per Kg
Shamli	Rs. 85.58/- per Kg
Gurugram	Rs. 82.12 /- per Kg
Rewari	Rs. 81.70/- per Kg
Karnal	Rs. 81.43/- per Kg
Kaithal	Rs. 82.43/- per Kg
Kanpur	Rs. 88.42/- per Kg
Hamirpur	Rs. 88.42/- per Kg
Fatehpur	Rs. 88.42/- per Kg
Ajmer	Rs. 86.44/- per Kg
Pali	Rs. 86.44 /- per Kg
Rajsamand	Rs. 86.44/- per Kg
Mahoba	Rs. 83.42 /- per Kg
Banda	Rs. 83.42/- per Kg
Chitrakoot	Rs. 83.42/- per Kg
Hapur	Rs. 86.70 /- per Kg
Gautam Budh Nagar	Rs. 85.70 /- per kg
Greater Noida	Rs. 85.70 /- per Kg

Furthermore, Adani Total Gas updated its CNG rates in some cities in the start of April 2026. CNG rate of Adani Total Gas stood at Rs 83.77 per Kg in Ahmedabad, at Rs 82.10 per Kg in Vadodara, at Rs 90.20 in Faridabad, at Rs 96.08 in Jhansi, at Rs 87.47 in Chittorgarh, at Rs 85.32 in Bilaspur, at Rs 95.78 in Amravati, and at Rs 85.09 in Tiruppur among others.

It will be keenly watched if IGL and Adani Total Gas hike CNG rates as well in May.

According to Kotak Institutional Equities report, amidst the conflict, the government may have to take stronger measures to mitigate the impact of (1) reduced supply of crude oil and natural gas and (2) high crude oil and gas prices given the negative impact of both on the Indian economy, especially on CAD/BoP and fiscal/inflation.

Mahanagar Gas Share Price:

At the time of writing, MGL stock traded on a bullish note. MGL share price is up by 2% to trade at Rs 1064.10 apiece on BSE, with market cap of Rs 10,551.44 crore.

Should You Buy Mahanagar Gas Shares?

As per Axis Securities note, MGL will prioritise volume growth over margins as structural regulatory reforms provide infrastructure growth opportunities. It targets double-digit volume growth in FY27 (vs. 8.25% in FY26) with incremental volumes expected predominantly from domestic and commercial PNG.

While Q4FY26 EBITDA/scm declined to Rs 6.2/scm (FY26 at 8.67, down 15% YoY), the endeavour is to maintain it above Rs 8/scm as the near-term floor, with Q1FY27 margins expected to remain under pressure before gradual recovery as RLNG supply normalises. Margin recovery is further contingent on HH stabilising below $3/MMBTU, incremental HPHT allocation as old contracts come up for rebidding, and improving I&C realisations on Brent-linked contracts.

Hence, the analysts at Axis have recommended BUY with target price of Rs 1,325 per share.

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