MGL raises CNG price by Re 1 to Rs 90 a kg in Mumbai days before Diwali

CNG vehicle owners in the Mumbai Metropolitan Region have been hit with another price rise just days before Diwali. Mahanagar Gas Limited (MGL) has raised the price of CNG by Re 1 per kg. It will now sell at Rs 90 per kg.

The new rate came into effect at midnight on October 31, which means customers will have to fill up at this rate from November 1. Before the increase, CNG was priced at Rs 89 per kg.

The company has also explained the reason for the increase. According to MGL, the conflict between the United States, Israel and Iran in West Asia has affected fuel supplies, pushing up the price of natural gas. Imported gas has also become costlier. The company says it now has to pay more to buy gas and had no option but to raise prices.

The decision will affect about 12.93 lakh CNG vehicles in the Mumbai Metropolitan Region. These include autorickshaws, taxis and private cars, as well as government and municipal corporation buses. Drivers who run public transport and depend on CNG every day are feared to be the worst hit.

This is not the first increase. In September, CNG prices were raised by Rs 2 per kg. A further increase of Re 1 per kg followed in October. With the latest Re 1 rise, the fuel has become costlier three times in about two months.

The increase in the festival season comes at a time when household and business budgets are already under pressure. Not long ago, the price of a commercial gas cylinder was raised by Rs 20, and CNG went up soon after.