Coming Soon: Skoda Kylaq With Diesel-Like Running Costs

Skoda India is gearing up to further boost the appeal of its sub-4-metre SUV, the Kylaq, by introducing a petrol-CNG variant later this year or in early 2026. This move aligns with growing consumer demand for low-running-cost vehicles, positioning the Kylaq as a more economical alternative in its segment, and potentially delivering diesel-like per-km costs but with petrol-CNG convenience.
Unveiled officially in November 2024, the Kylaq is Skoda’s smallest SUV tailored for India, built on the MQB-A0-IN platform shared with the Kushaq and Slavia. Launched in December 2024, bookings kicked off the same day, with the first deliveries reaching customers in January 2025.
The Kylaq has averaged around 5000 units per month for the last three months, marking a steady upward trend. Early indicators suggest high engagement, while the base Classic variant saw bookings close early in the first production run.
The model has been revised recently, with minor price changes across variants in June 2025, some rising by ₹36,000, others getting discounts up to ₹46,000.
Currently, all Kylaq models feature a 1.0-litre, three-cylinder turbo-petrol TSI engine producing 114 PS and 178 Nm, paired with either a 6-speed manual or torque-converter automatic. Official ARAI fuel consumption is between 19.05–19.68 kmpl, with real-world figures around 17–18 kmpl.
Analysts note this engine and its drivetrains offer a strong balance between spirited driving and commendable efficiency, with performance comparable to segment rivals.
India’s CNG market has seen notable growth. Vehicles like the Dzire CNG deliver over 33 km/kg, and Brezza CNG around 25 km/kg. These numbers have made CNG a compelling value proposition, rivaling even diesel when fuel prices and per-km costs are considered.
With rising fuel prices squeezing wallets, more buyers, especially in budget-sensitive segments, are evaluating CNG. Entry-level CNG variants of the Dzire, Brezza, Fronx, and Venue have gained traction, reflecting a broader shift toward affordability and efficient commuting.
Skoda’s decision to develop a petrol-CNG powertrain for the Kylaq follows internal testing in Europe and on the Kushaq platform spotted undergoing CNG trials in India. This suggests the attractiveness of delivering diesel-like running costs with petrol-CNG flexibility.
According to Skoda’s brand director, the new variant will be positioned at the lower end of the lineup, likely arriving 8 to 9 months after the decision, which points to a late-2025 or early-2026 launch. It could debut as a stripped-down version of the Classic or Signature trims, offering a basic feature set with major running-cost savings.
Fuel efficiency is the big draw. With expected mileage exceeding 20 km/kg, the Kylaq CNG might offer operational costs almost on par with diesel SUVs, an attractive proposition if it delivers around 3 km per ₹10 worth of fuel, far more affordable than petrol options in real-world use.
This move also helps Skoda widen its addressable audience. While the Kylaq is viewed as a premium offering in a crowded segment, a CNG version provides an economical alternative to rivals like Brezza, Venue, Nexon, and Sonet. It could shift Kylaq from a niche value-driven buyer pick to a mainstream solution offering both style and savings.
From a dealership standpoint, expanding lower-spec variants and adding fuel-efficient powertrains can bolster footfall and sales volumes, helpful in managing inventory and brand exposure.
Skoda’s planned petrol-CNG Kylaq is a smart response to evolving market dynamics. By combining low operational costs with the stylish, feature-rich SUV packaging that Kylaq offers, Skoda is primed to attract a range of buyers, from frugal commuters to value seekers.
If launched late 2025 or early 2026, it could redefine the sub-4-metre SUV landscape, bringing diesel-like cost advantages to petrol buyers without compromising on performance, safety, or brand image. For consumers, this means a fresh, cost-effective option that doesn’t skimp on modern SUV essentials.
As we await official announcements, one thing is clear. A petrol-CNG Skoda Kylaq could deliver the best of both worlds, alluring SUV comforts at minimal running costs.