Price of CNG up by 1.5/kg, cooking gas rate rises by Rs 1 in Mumbai

MUMBAI: The price of compressed natural gas (CNG) and piped cooking gas is set to increase in Mumbai, Thane and Navi Mumbai from Tuesday. Mahanagar Gas Limited (MGL) announced a hike of Rs 1.5 per kg for CNG and a Re 1 hike per unit for cooking gas. With this, the revised retail price of CNG at petrol pumps will be Rs 75/kg and that of piped gas will be Rs 48/unit.
A large number of public transport modes like autorickshaws, taxis, buses in the region depend on CNG.Sources said that with the hike in CNG rates, the auto union will renew its demand for a Rs 2 fare hike.

"We have already calculated the hike is pending as per the government-approved formula, based on cost of living index, fuel, maintenance and other factors. With the present hike, we may demand a Rs 2 hike in fares for autorickshaws in the region," said Mumbai Rickshawmen's Union leader Thampy Kurien.
While over a million vehicles in Mumbai metro region run on CNG fuel, more than 24 lakh households depend on piped gas supply for cooking, and they will be affected with the present hike. "During the last revision in March, MGL had not increased a paisa in cooking gas prices. But this time, the one rupee hike will add to our monthly expenses amid inflation in vegetable and fruit prices," said Sudha Naik, a home-maker from Thane.
A senior MGL official said that even after revision in prices, CNG continues to offer savings of about 50% and 17% as compared to petrol and diesel respectively at current price levels in Mumbai. "Domestic piped natural gas (cooking gas) continues to deliver unmatched convenience, safety, reliability and environmental friendliness to consumers. Our price is among the lowest in the country," she added.
Commenting on the hike, she said: "To meet rising demand of CNG and cooking gas and due to shortfall in domestic gas allocation, MGL is sourcing additional natural gas (imported) at market rates and this has resulted in increased costs."
Private car population on CNG is about 5 lakh and many car buyers now opt for dual fuel which includes petrol and CNG. "CNG is affordable for me as it costs around Rs 30 less than petrol and gives more mileage, with lesser cost of maintenance," said Dhruv Thakker, a CNG car owner.
MGL authorities said they are expanding number of CNG filling outlets in the city. At present, 348 outlets with 2,152 CNG dispensers cater to rising demand of cars in Mumbai region.