Mumbai: Motorists in Mumbai and adjoining areas will pay ₹ 1 more per kg for compressed natural gas (CNG) from today, after Mahanagar Gas Limited (MGL) announced a price hike. The revised rate will be ₹ 90 per kg, marking the sixth increase since January.
MGL attributed the latest increase to higher input gas costs, including imported regasified liquefied natural gas (RLNG), which is linked to international gas indices. He said the union could seek another fare revision within six months if further CNG price increases resulted in a 25% rise in overall operating costs, subject to certain conditions.
The company said rising international gas prices had increased its cost of sourcing the gas. Auto and taxi unions said the increase would add to operating expenses and could lead to demands for another fare revision if fuel costs continued to rise, even after the recent hike in fares. Thampi Kurien, president of an autorickshaw union, said the latest increase had added to the financial burden on operators. “With the increase in CNG prices, there is an estimated impact of around ₹ 4 on fares,” he said.
