top of page

By:

Quaid Najmi

4 January 2025 at 3:26:24 pm

Gas crunch reaches Mumbai’s high-rise

Mahanagar Gas cuts PNG supply by 50 pc; biz hit Mumbai : Delivering another shock, the Mahanagar Gas Ltd. on Saturday mandated all commercial users to draw only 50 pc of their piped natural gas (PNG) supply with a warning of steep fines and abrupt cut in connection for violators, sending shockwaves in the industry.   This comes barely 48 hours after its first missive (March 12) imposing a 20 per cent  cut in PNG offtake by commercial users, which hit the bakery industry hard, amid...

Gas crunch reaches Mumbai’s high-rise

Mahanagar Gas cuts PNG supply by 50 pc; biz hit Mumbai : Delivering another shock, the Mahanagar Gas Ltd. on Saturday mandated all commercial users to draw only 50 pc of their piped natural gas (PNG) supply with a warning of steep fines and abrupt cut in connection for violators, sending shockwaves in the industry.   This comes barely 48 hours after its first missive (March 12) imposing a 20 per cent  cut in PNG offtake by commercial users, which hit the bakery industry hard, amid  speculation that lakhs of domestic PNG users may be affected next.   The MGL’s directives follow a central order (March 9), calling upon all commercial users to restrict their PNG consumption to only 50 pc of their average usage over the past six months.   The revised rules within 48 hours sent fresh shockwaves among the already panicked commercial PNG users, triggering apprehensions that even domestic consumers may feel the heat with likely ‘rationing’ of their convenient piped fuel connections.   “The gas curtailment is around 50 pc for industrial customers and 20 pc for commercial customers to maintain continuous gas supply to our CNG stations and domestic PNG customers,” a company spokesperson told  The Perfect Voice , justifying its ‘force majeure’ intimations.   Price Revision In its first order, the MGL had indicated a revision in PNG prices due to “gas pooling” arrangements, with the final rates to be announced after consultations with suppliers and the government.   Today, it willy-nilly unveiled the potential harsh hike in the rates of PNG: “We have been informed that any gas drawal by MGL exceeding permissible levels will attract a gas price of Rs 138/Standard Cubic Metre plus VAT.”   Accordingly, all commercial users have been warned that from Friday (March 13), if they cross the threshold limits (50 pc), they will be charged Rs 138/SCM  (Rs. 4091.21/MMBTU), and further usage above the permissible limits would lead to abrupt disconnection of supplies.   Piped Gas Presently, the MGL has over 30-lakh households using PNG in Mumbai and Mumbai Metropolitan Region (MMR), besides 5,200-plus commercial-industrial clients spread in multiple sectors, wholly dependent on piped gas connections.   Additionally, it runs 471-plus CNG stations and supplies it to more than 12-lakh vehicles including public and private transport, with plans to cover large urbanized pockets of Raigad district by 2029   Some of its bulk users include: Godrej Industries Ltd., Larsen & Toubro, Hindalco, several five-star hotels, IT companies, medicare like Asian Heart Institute or Lilavati Hospital, pharmaceutical industry, food and beverages, etc.   Home-makers howl An online achievement school ‘Multiversity of Success’ Founder Dr. Rekhaa Kale (Sion) said if the PNG cuts reach homes, it will disrupt the lives of millions of Mumbaikars. “Now, I regret giving up my LPG cylinders 10 years ago for the PM-Urja scheme, it could have been a life-saver today,” grumbled Dr. Kale.   A private nurse Kirron V. (Dahisar) rued that the real impact of gas shortage will be visible in Mumbai if domestic PNG supplies are also hit. “The so-called elite living in airconditioned high-rises sniggered and ‘looked down’ upon those sweating it out in snaky queues for a LPG cylinder,” she said sarcastically.   As the Gulf War entered the 15 th  day today, the FHRAWI-AHAR Vice-President Pradeep Shetty and other major organisations have repeatedly slammed the government for the acute short supply of LPG leading to chaos all over.

Rupee drops 19 paise to 85.63 against US dollar in early trade

  • PTI
  • Apr 7, 2025
  • 2 min read


The rupee declined 19 paise to 85.63 against the U.S. dollar in early trade on Monday (April 7, 2025), facing the heat of the global trade war triggered by the U.S. reciprocal tariff and China’s retaliatory move that also crashed equity markets worldwide to their record lows.


According to forex traders, a steep decline in crude prices and a weaker American currency failed to support the domestic currency amid the incessant foreign fun outflows in line with the global sell-offs.


Meanwhile, they said that market participants remained concerned as the Reserve Bank of India’s monetary policy committee began its three-day deliberations on key interest rates. The decision of the six-member rate-setting panel will be announced on Wednesday (April 2, 2025).


At the interbank foreign exchange, the rupee opened at 85.79 and strengthened slightly to trade at 85.63 against the greenback, registering a loss of 19 paise from its previous closing level.


On Friday (April 4, 2025), the rupee settled 14 paise lower at 85.44 against the U.S. dollar, a day after gaining 22 paise on Thursday (April 3, 2025), following the implementation of the U.S.’ reciprocal tariff on about 60 countries.


Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.05% lower at 102.71.


Analysts attributed the weakening dollar to disappointing services, PMI data and concerns over inflation and economic growth due to the global tariff war as China imposed 34% import duties in retaliation to the Donald Trump administration’s sweeping tariff move.


Brent crude, the global oil benchmark, fell 2.73% to $63.79 per barrel in futures trade, hit by twin shocks of Trump’s tariffs and an OPEC+ decision to increase output faster than previously announced.


In the domestic equity market, the 30-share BSE Sensex crashed 3014.32 points, or 4.00%, to 72,350.37, while the Nifty tanked 1,016.75 points, or 4.44%, to 21,887.70 points.


Foreign institutional investors (FIIs) offloaded equities worth ₹3,483.98 crore on a net basis on Friday (April 4, 2025), according to exchange data.


The Reserve Bank of India on Friday (April 4, 2025) said the country’s forex kitty jumped from $6.596 billion to $665.396 billion during the week ended March 28. In the previous reporting week, the overall reserves rose by $4.529 billion to $658.8 billion.


This is the fourth consecutive week of increase in the reserve, which was on a declining trend recently due to revaluation along with forex market interventions by RBI to help reduce volatilities in the rupee.


A monthly survey released on Friday (April 4, 2025) showed, India’s services sector activity eased slightly in March, weighed down by a marginal slowdown in sales amid softer demand conditions and easing inflationary pressures.


The seasonally adjusted HSBC India Services PMI Business Activity Index fell from February’s reading of 59.0 to 58.5 in March but remained above its long-run average of 54.2.

Comments

bottom of page