Mumbai CNG Price Hike: Auto, Taxi Unions Seek Raise In Fare As MGL Increases Gas Rates By ₹2/kg

Mumbai: Autorickshaw unions in Mumbai have demanded an immediate fare hike after Mahanagar Gas Limited increased the retail price of compressed natural gas (CNG) by Rs 2 per kilogram across the Mumbai Metropolitan Region (MMR), citing disruptions in the global energy market due to the ongoing conflict in West Asia.

Lakhs Of Autos, Taxis To Be Affected By CNG Price Hike

The hike is likely to affect around 4.7 lakh autorickshaws, 1.6 lakh taxis and over 5 lakh private CNG vehicles operating in the Mumbai metropolitan region.

Soon after the announcement, autorickshaw unions sought a revision in fares, arguing that the rise in fuel costs has majorly increased operational expenses for drivers already struggling with inflation and higher maintenance costs.

“The expenses on fuel have increased by Rs 1.03 per kilometre for autorickshaw drivers. The consumer price index (CPI) has also gone up, impacting overall running costs. Hence, we have demanded a fare hike to the government,” said Thampi Kurien, general secretary of the Mumbai Rickshawmen’s Union, as quoted by Hindustan Times.

According to union representatives, the increase has pushed the running cost of autorickshaws from Rs 17.14 per kilometre to Rs 18.17 per kilometre. The unions are now demanding a Rs 1 increase in autorickshaw fares and a Rs 2 increase in taxi fares to offset the additional burden.

The development comes at a time when consumers are already grappling with rising prices of essential commodities, milk, groceries and precious metals, leading to concerns over the growing cost of living in Mumbai and surrounding cities.

Transport unions warned that if fuel prices continue to rise without fare revisions, many drivers may struggle to sustain daily operations. They have urged the Maharashtra government to take an early decision on the proposed fare hike to prevent financial distress among drivers.

The revised rates came into effect from midnight on May 14, taking the price of CNG in Mumbai, Thane, Navi Mumbai and nearby areas from Rs 82 per kg to Rs 84 per kg. The increase is expected to directly impact nearly 12.8 lakh vehicle owners across the MMR region.

According to MGL, the rise in prices was triggered by instability in the global energy market following the Iran-Israel conflict in West Asia, disruptions in the international supply chain, higher crude oil prices and depreciation of the Indian rupee, all of which have increased gas procurement costs.

The latest CNG price revision also follows the Centre’s decision to increase petrol and diesel prices by Rs 3 per litre across the country amid continued volatility in global crude oil markets.

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