MGL hikes CNG Price: After Pune in Maharashtra, now CNG has become expensive in Mumbai and MMR i.e. surrounding areas. Driving on CNG is now going to be expensive in Mumbai and surrounding areas. Mahanagar Gas Limited (MGL) has increased the price of CNG by Rs 1.50 per kg on Saturday. The new prices will be applicable from Sunday, November 15. With this increase, CNG will now be available at Rs 91.50 per kg in Mumbai Metropolitan Region (MMR) and surrounding areas.
At the beginning of January this year, the price of CNG was Rs 80.50 per kg. After the latest increase, till now it has increased by a total of Rs 11 per kg. That means, in less than 11 months, CNG has become costlier by about 14%.
This will have a direct impact on auto and taxi drivers as well as those who run their cars on CNG. Their monthly expenditure on fuel is going to increase.
Why were CNG prices increased?
According to MGL, the prices had to be increased due to increase in the purchase cost of gas. The company said that its costs have increased due to the ongoing crisis in the Middle East, reduction in domestic gas allocation and increasing dependence on expensive imported gas.
According to the company, the increase in the share of imported re-gasified liquefied natural gas (RLNG) linked to international prices has especially put pressure on the purchase cost of CNG. One reason for this is the strong demand for CNG.
MGL said that with the latest increase in prices, some part of the rising cost of gas will be passed on to the customers. This will help in maintaining continuous and stable supply of CNG.
The company says that it is also working on options to reduce costs, so that its benefits can be passed on to customers and the use of natural gas as a clean fuel can be promoted.
CNG prices increased 8 times this year
MGL has increased CNG prices eight times so far this year. The price, which started from Rs 80.50 per kg in January, has now reached Rs 91.50.
Source: ndtv.in
