CNG Price Hike in Mumbai: MGL Raises Rate by Rs 1 per kg, Impacting Commuters
Compressed natural gas (CNG) has become more expensive across the Mumbai Metropolitan Region (MMR) starting Sunday, with Mahanagar Gas Limited (MGL) implementing a retail price increase of one rupee per kilogram. This revision elevates the CNG rate to Rs 82 per kg in key areas including Mumbai, Thane, and Navi Mumbai, affecting a substantial number of daily commuters as auto-rickshaws, taxis, and buses heavily depend on this fuel.
Union Leader Warns of Fare Hikes and Operational Costs
Thampy Kurien, leader of the Mumbai Rickshawmen's Union, expressed concerns that the gas price rise will lead to higher operational expenses, noting that fuel costs have been climbing over the past year. He indicated that the union might push for a minimum fare increase of one rupee for autorickshaws in response to the escalating fuel rates.
Domestic PNG Prices Unchanged, Offering Relief to Households
In contrast, the price of domestic piped natural gas (PNG) remains steady at Rs 50 per unit. This stability brings relief to approximately 31 lakh households across MMR that use piped cooking gas, sparing them from any price hikes.
MGL Official Cites Multiple Factors Behind CNG Price Increase
A MGL official explained the rationale behind the CNG price adjustment, stating, "Due to the combined effects of geopolitical disruptions, reduced domestic gas allocation, increased reliance on higher-cost gas sources, elevated crude oil prices, a higher exchange rate, and revised trade margins, overall gas procurement costs have increased significantly. This has resulted in the one-rupee CNG hike."
CNG Continues to Offer Savings Compared to Petrol and Diesel
Despite the price hike, the official emphasized that CNG still provides considerable savings relative to alternative fuels. At the revised rate, CNG offers approximately 46% savings compared to petrol and 9% savings compared to diesel, based on current fuel prices in Mumbai.
Growing CNG Vehicle Population in Mumbai Region
Over the past year, the CNG vehicle population in the Mumbai region has surged by around two lakh vehicles, marking a 20% increase and bringing the total to over 12 lakh. Vehicle registration data highlights the extensive reliance on CNG for public transport and last-mile connectivity.
Extensive CNG Fleet in MMR
The CNG fleet in MMR comprises approximately 4.7 lakh auto-rickshaws, over 1.6 lakh taxis, and more than five lakh private cars distributed across Mumbai, Thane, Mira-Bhayander, Navi Mumbai, and Raigad.
CNG's Critical Role in Mass Transport
On the mass transport front, MGL supplies CNG to 1,969 buses operated by BEST, TMT, MSRTC, and NMMT. Additionally, it fuels 51,311 private buses and tempos running on CNG, underscoring the fuel's essential role in maintaining the region's transportation system.
