The auto and taxi drivers in Mumbai are now demanding a Rs 4 hike in fares now that the CNG is at an all-time high price of Rs 86 per kg.
The city gas distributor Mahanagar Gas (MGL) announced the second price hike of Rs 6 per kilogram for CNG and by Rs 4 a unit for piped natural gas on August 3.
A report in the Times of India quoted Thampy Kurien of Mumbai Rickshawmen's Union as saying that according to Khatua committee calculation the minimum hike they could have gotten before the CNG price rise was Rs 3. Now that CNG's price rose by Rs 6, the calculations changed and in accordance, they can get a minimum of Rs 4 hike.
The Khatua committee's calculation method for taxi and rickshaw fare considers the amount of fuel price, cost of living index, capital cost, maintenance of vehicle, insurance and other parameters.
The recent price rise came amid rising prices of natural gas at source both internationally as well as for domestically drilled gas. This is the sixth price hike since April this year.
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