BackGujarat Gas increases industrial gas rates to ₹40.83/scm, says report
The rise in the prices of industrial gas by Gujarat Gas comes after 5 consecutive price cuts in 2023
PremiumGujarat Gas Limited has raised the prices of industrial gas from ₹38.43/scm to ₹40.83/scm, news platform CNBC-TV18 reported on Sunday. The new prices will come into effect from 21 August (Monday), the report added. The rise in the prices of industrial gas by Gujarat Gas comes after 5 consecutive price cuts in 2023.
At the beginning of 2023, the prices of industrial gas were at ₹47.93/scm after which Gujarat Gas deployed some price cuts, bringing down the price to ₹38.43/scm. The increase in prices is seen as a response to a hike in prices of spot liquefied natural gas (LNG).
The development comes days after Gujarat Gas acquired shares worth ₹100 crore in the Gujarat State Petroleum Corporation LNG Limited. The company said that the fresh acquisition was made to improve synergy and integration in the gas value chain. With the fresh investment, the total holding of Gujarat Gas in Gujarat State Petroleum Corporation LNG Limited increased to 7.87%, as per a Times of India report.
“GLL operates on a toll model and offers regasification services to users for a fee. In addition to this, the company also offers LNG tanker truck loading services to users which supports the development of small-scale LNG business to customers who are not connected to pipeline networks. The LNG terminal of GLL is also equipped to undertake the reloading of LNG ships. Storage and reloading of LNG can be developed as an alternate line of business in the future," Gujarat Gas said in a statement.
In the April-June quarter, Gujarat Gas Limited posted a 43% decline in its net profits which plunged to ₹215 crore from ₹381 Crore during the corresponding quarter last fiscal. The company witnessed a jump in sales of industrial gas which increased to 5.88 mmscmd (million metric scm per day) from 5.36 mmscmd.
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