CNG prices will come down by 15 rupees per kg and piped cooking gas, PNG, by about 5 rupees in Delhi. This follows government's decision to supply cheaper domestic gas to fuel retailers in cities like Delhi and Ahmedabad.

Addressing a press conference in New Delhi today, Petroleum and Natural Gas Minister M Veerappa Moily said the government has decided to raise allocation of natural gas from domestic fields to city gas entities to 100 per cent from current limit of 80 per cent.

This would be done by cutting supplies to non-core sectors like petrochemicals, steel and refineries. Mr Moily said Indraprastha Gas Limited in Delhi and gas supplying companies in other cities will get their 100 per cent requirement of gas from domestic fields as against 80 per cent at present.

He said the decision is guided not only by additional economic benefits but also on account of health benefits resulting from lower levels of air pollution. The minister said this will also facilitate rapid growth of the clean fuel across the country.