Public Sector Gas Distribution Company MGL has hiked the prices of Compressed Natural Gas by ₹2 per kg for the entire Mumbai Metropolitan Region (MMR). Post hike, the cost of CNG would be ₹86 per kg in Mumbai, Thane, Navi Mumbai and other neighbouring regions.
This marks the second price hike in less than a month, following an identical ₹2 per kilogramme increase on May 14. The cumulative ₹4 rise is bound to hit daily commuters, taxi operators, and commercial vehicle users who rely heavily on the fuel, though MGL has not yet detailed the specific reasons behind this latest adjustment.
The move comes just days after CNG prices in Delhi were also bumped up by ₹2 per kilogramme, taking the retail price in the national capital to ₹83.09 on May 26. That revision was the fourth increase within an 11-day window and the third in just over a week, meaning Delhi consumers have seen a cumulative rise of ₹7 per kilogramme since mid-May. The upward trend began with a ₹2 increase on May 15, followed by two separate hikes of ₹1 each over the succeeding week. In contrast, rates for piped natural gas (PNG) for households and domestic LPG cylinders have remained stable.
These continuous fuel revisions are driven by sustained pressure from rising global crude oil prices. It is noted that concerns about possible disruption in the shipping activities at the Strait of Hormuz, one of the most important international routes for transportation, have been increasing due to the rising tensions between the US and Iran.
In conclusion, it is likely that such hikes will ultimately affect daily operational costs for the commuter, transport services and the local businesses. As analysts say, the cost increases may soon be passed on and cause an increase in prices of essential items and food. Nonetheless, government authorities say that such steps are necessary to avoid additional expenses related to the high import cost and ensure sufficient supply of fuel.
Also read: CNG rates hiked by ₹2 per kg again in 11 days
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