Mumbai, May 14: Mumbai’s auto-rickshaw unions have renewed their demand for a fare hike after the latest increase in Compressed Natural Gas (CNG) prices, putting pressure on the state transport department to revise passenger fares.
The unions met transport officials on Thursday and submitted fresh calculations based on the fare revision formula recommended by the B Khatua Committee.
The demand comes a day after Mahanagar Gas Limited (MGL) increased CNG prices by Rs 2 per kilogram across Mumbai and the Mumbai Metropolitan Region (MMR), taking the retail price to Rs 84 per kg from midnight of May 13-14.
Auto unions are now seeking a Re 1 increase in the existing minimum fare of Rs 26, arguing that rising fuel prices and inflation have sharply increased operating costs for drivers.
Auto unions cite rising operational costs
“The expenses on fuel have increased by around Rs 1.03 for auto-rickshaw drivers. The Consumer Price Index (CPI) has also gone up, affecting overall running costs. We have therefore demanded a fare hike from the government,” said Thampi Kurien, General Secretary of the Mumbai Rickshawmen’s Union.
At present, passengers are charged Rs 17.14 per kilometre after the base fare. According to the unions’ revised calculations, the rate should now increase to Rs 18.17 per kilometre. Union representatives said many drivers are struggling to manage daily expenses due to higher fuel costs and inflation.
MMRTA to examine fare revision proposal
Sources said this was the first round of discussions between unions and transport officials after the latest CNG price revision. The proposal will now be examined by the Mumbai Metropolitan Region Transport Authority (MMRTA), chaired by the Additional Chief Secretary (Transport).
Officials from the Regional Transport Office (RTO) said the demand would be scrutinised in detail before any decision is taken.
Meanwhile, MGL defended the price hike, citing global and domestic economic pressures. The company said geopolitical disruptions, dependence on imported gas, rising crude oil prices, and rupee depreciation have significantly increased gas procurement costs.
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MGL says CNG still cheaper than conventional fuels
Despite the hike, MGL maintained that CNG remains cheaper than conventional fuels, offering around 44 per cent savings compared to petrol and 7 per cent savings over diesel. The company currently supplies CNG to nearly 12.84 lakh vehicles across Mumbai and the MMR, including around 4.7 lakh auto-rickshaws and over 1.6 lakh taxis.
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