Auto unions seek CNG subsidy rather than fare hike

Over the last few months, CNG prices have increased by almost 70% but the fares have remained the same making it difficult for auto and taxi drivers to make ends meet

Mumbai Rather than demanding a fare hike, a section of auto rickshaw unions are asking for a subsidy on Compressed Natural Gas (CNG) for all public transport. However, some other unions have declared an indefinite strike from September 15 if a decision on fare hike is not addressed.

The suggestion for subsidy put forth by the union, said Rao, can be implemented on 2.32 lakhs autorickshaws, 20,000 taxis and 2,100 BEST buses in Mumbai city (Sanjeev Verma/HT PHOTO)

Over the last few months, CNG prices have increased by almost 70% but the fares have remained the same making it difficult for auto and taxi drivers to make ends meet. However, Shashank Rao, union leader, Mumbai auto rickshaw men’s union, said that burdening passengers with increased fare is not fair. “An approximately 40% subsidy accorded to all modes of public transport will get more citizens to use public transport at cheaper fares rather than them opting for private modes of transport due to a hike,” he added.

CNG prices, in the last one year, have gone up by ₹31/kg from ₹49.40 last year in July. However, the newly-formed state government ensured around a 12% decrease in CNG prices which is not helping drivers run long distances. “If we have to ferry a passenger from Lower Parel to Kurla during evening peak hours, the amount on the meter compared to the gas used does not match up. Moreover, many times we do not get a return fare and end up wasting fuel unnecessarily,” said Parmeet Singh, 52, taxi driver.

The suggestion for subsidy put forth by the union, said Rao, can be implemented on 2.32 lakhs autorickshaws, 20,000 taxis and 2,100 BEST buses in Mumbai city. “Until they plan for a subsidy, an interim fare hike can be implemented,” Rao added.

Meanwhile, most other auto and taxi unions in the city are awaiting a fare hike and have threatened to go on an indefinite strike from September 15 onwards.

“The roll back on CNG rates is not helping as the government has only reduced ₹6 per kg while the CNG prices have increased by over ₹30. Every day, the taxi and rickshaw drivers are losing ₹250 to ₹300 as the fares and CNG prices do not match. We had demanded a revision of the minimum fare to ₹35,” said AL Quadros, general secretary, Mumbai Taximen’s Union.

Earlier, the unions had called for a strike on August 1. However, the decision was deferred after an assurance by the government that the fares will be revised.