CNG price likely to stay unchanged despite US-Iran tensions pushing up oil prices: official

LOCAL NEWS

By Nyein Nyein

Although the US-Iran crisis has led to a rise in oil prices, the price of CNG in Myanmar is not likely to increase at present, said U Hla Win Htay, General Manager of the Natural Gas Vehicle Division (CNG), Myanma Oil and Gas Enterprise (MOGE) under the Ministry of Electricity and Energy.
“We still cannot revise the CNG price as that can have a drastic impact on the public. Therefore, the ministry will not change the price for now,” said U Hla Win Htay.
Currently, the price has been set at K1,000 per 3.66 kilogram of CNG (approximately equal to 1 gallon of gasoline). The government is subsidizing the sector, and incurring a loss on it, he added.
“The CNG price has changed five times. The last time was in September, 2017. It was set at K1,000 per CNG unit, which is equal to one gallon of diesel or gasoline. The Ministry is making a loss on this. The prevailing price of diesel and gasoline is K3,500 per gallon,” said U Hla Win Htay.
The daily consumption of CNG is estimated at over 24 million cubic feet in Myanmar. And, YBS buses, which provide transportation services to 1.8 million Yangon residents, account for more than 13 million cubic feet of the total consumption. Taxis uses about 8 million cubic feet, and other vehicles consume about 2 million cubic feet, according to the Natural Gas Vehicle Division under the MOGE.
The MOGE extended the exploration of CNG projects in 2014 to facilitate transportation in Yangon. There are 41 CNG filling stations in the city.
An emergency maintenance service team and a regular service team has been formed to ensure that the machines at CNG filling stations remain efficient. The crew from the two teams have received technical know-how from foreign experts as well. (Translated by Ei Myat Mon)

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