Mumbaikars might soon face the cascading effect of the consistent hike in prices of Compressed Natural Gas (CNG) that we have been seeing over the past few months now. On April 7, the taxi unions demanded a fare hike in kaali-peeli cabs while a meeting has been demanded by the auto-rickshaw unions to discuss the same that is scheduled for April 8.
On Thursday, the taxi union wrote a letter to Additional Chief Secretary Ashish Kumar Singh demanding a hike in black and yellow taxi fares; a copy of which is with Free Press Journal. The letter blames the hike in CNG prices which has shot upwards of 35 percent since March 1, 2021.
Sources in the union claim that the price of CNG has gone up from Rs 51 to Rs 67 now, over the past seven months now. ‘The minimum taxi fare was increased with effect from March 1, 2021, from Rs 22 to Rs 25. Surprisingly after the last fare revision, the price of CNG was increased by more than 35 percent. As per the Khatua Committee Report, if the price of CNG goes up beyond 25 percent then the taxi fare needs to be revised without any delay’, reads the letter written by Mumbai Taximen’s Union.
“However the Transport department is not bothered to revise the taxi fare even though the CNG price has increased by more than 35 percent. The poor taxi drivers, whose earnings suffered during Covid-19 induced lockdown, cannot afford further loss incurred by this hike in CNG price. We have therefore requested to revise the minimum taxi fare from Rs 25 to Rs 30 immediately,” said A L Quadros, veteran leader who heads Mumbai Taximen’s Union.
The taxi unions had stated that the number of their drivers has further dropped by 30 percent primarily due to the recent hike in traffic fines which has burdened them. There are barely 10-12000 black and yellow taxis and the number of total drivers too have dropped to 20,000 or so. The auto-rickshaw unions too are demanding a fare hike and have also made some calculations to prove that the hike is unavoidable.
“We have made calculations which show that the cost index has increased. So the base fare as well as per kilometre cost needs to be revised and a hike has been demanded by us,” said Thampi Kurien, Auto Rickshaw union leader.
The auto-rickshaw unions have demanded a fare hike taking the existing base fare of Rs 21 to Rs 23. Per kilometre cost as calculated by the unions will be Rs 15.50 from the current Rs 14.20. They too have cited the consistent hike in CNG prices behind their demand. Out of this, at least 65 paise of cost is due to hike in prices of CNG. There are nearly 2.60 lakh auto-rickshaws in Mumbai.
The Mahanagar Gas Limited hiked prices of CNG by Rs 7, which came into effect from April 6; thus making it to Rs 67 per kg.
