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Indraprastha Gas Ltd

By Kirti Srinivasan , 18 April 2025
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Government Cuts APM Gas Supply to City Gas Distributors, Raising Concerns Over Profitability and Pricing

In a move set to impact the city gas distribution sector, the Indian government has announced a reduction in the supply of lower-cost APM (Administered Price Mechanism) gas to key distributors such as Indraprastha Gas Ltd (IGL), Mahanagar Gas Ltd (MGL), and Adani Total Gas Ltd. The supply cut, up to 20%, will be replaced with more expensive gas, further inflating operational costs. The companies warn that this shift may affect their profitability, with potential price hikes in compressed natural gas (CNG) and piped natural gas (PNG) for consumers.

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