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CNG price hiked by Rs 1.50 per kg in Mumbai, auto unions demand fare revision

Mumbai, Nov 15 (UNI) Commuters, motorists and public transport operators in Mumbai and the Mumbai Metropolitan Region (MMR) faced an additional financial burden on Sunday as Compressed Natural Gas (CNG) prices were increased by Rs 1.50 per kg, taking the retail rate to Rs 91.50 per kg.
The revised price came into effect from midnight on Saturday and was applicable at CNG filling stations across Mumbai and adjoining areas from Sunday morning.
The latest hike follows a Re 1 per kg increase on November 1, taking the cumulative rise to Rs 5.50 per kg over the past 75 days. CNG, which was priced at Rs 80.50 per kg at the beginning of the year, has now become costlier by Rs 11 per kg.
The successive price increases are expected to hit auto-rickshaw and taxi drivers, who depend heavily on CNG for their daily operations. Private motorists and operators of CNG-powered commercial vehicles will also have to shell out more for every refill.
The latest revision has once again triggered demands from autorickshaw unions for a hike in passenger fares, with representatives arguing that repeated increases in fuel prices have eroded their earnings.
Thampy Kurien of the Mumbai Rickshawmen's union said that the successive CNG price hikes have reduced the financial benefits of the recent fare revision.
The union has demanded an increase of Rs 2 in the minimum autorickshaw fare, from the existing Rs 27 to Rs 29 for the first 1.5 kilometres. The demand comes at a time when the process of recalibrating autorickshaw meters following the previous fare revision is still underway.
According to estimates, around 12.93 lakh CNG-powered vehicles operate across the MMR, including autorickshaws, taxis, private cars and public transport vehicles.
Mahanagar Gas Limited (MGL), which supplies CNG in the region, has attributed the latest price revision to higher gas procurement costs, reduced allocation of domestically produced natural gas and increased dependence on imported regasified liquefied natural gas (RLNG).
The company cited the ongoing crisis in West Asia and elevated international gas prices as factors contributing to higher procurement expenses, particularly for the CNG segment. It said the price revision was aimed at partially offsetting the increased input costs and ensuring an uninterrupted gas supply.
Meanwhile, the latest CNG price hike has not been accompanied by a corresponding increase in domestic piped natural gas (PNG) rates, offering some relief to household consumers who use piped gas for cooking.
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