Chandigarh VAT on Natural Gas Cut to 5% Amid Cleaner Fuel Push
The Chandigarh Administration has reduced the Value Added Tax (VAT) on natural gas from 12.5 per cent to 5 per cent, effective from midnight of September 18, 2026.
This decision is expected to make natural gas more affordable in Chandigarh and encourage wider adoption of cleaner fuel options in the city.
The Ministry of Petroleum and Natural Gas has also revised the pricing framework for Compressed Biogas (CBG) under the GOBARdhan Scheme, which aims to provide a stable price to producers while keeping the impact on CNG and household PNG consumers negligible.