MUMBAI: For the second time in six months, the Mahanagar Gas Ltd on Tuesday announced hike in prices of Compressed Natural Gas and Domestic Piped Natural Gas for Mumbai and surrounding areas, with effect from midnight July 13-14, officials said.
The rate of CNG – used in over 800,000 vehicles – has been hiked by Rs 2.58/kg, taking it up to Rs 51.98/kg, raising fresh fears of a corresponding increase in the fares for public transport vehicles.
The price of Domestic PNG has been increased by Rs.0.55/Standard Cubic Metre and the new rates will be Rs 30.40/SCM in Slab 1 and Rs 36/SCM in Slab 2, for the 800,000-plus customers in the Mumbai Metropolitan Region region.
After the last hike on February 8, the MGL’s new rates came as people in Mumbai reel under steep petrol prices of over Rs 105/litre and diesel prices hovering around Rs 100/litre.
However, the MGL said that despite the fresh revision in prices of CNG – to offset operational costs and increase in gas pipeline transportation costs, it is around 67 per cent and 47 per cent cheaper than petrol and diesel, respectively.
Likewise, the price of Domestic PNG is around 35 percent cheaper than the Domestic Liquified Petroleum Gas, besides additional benefits of convenience, reliability, safety and eco-friendliness, said the spokesperson.