CNG and piped gas to get costlier in Mumbai from December 4

The natural gas distribution company, Mahanagar Gas Limited (MGL), has hiked the prices of CNG and PNG by 0.85 paisa perkg and 0.50 paisa per standard cubic metre (SCM) in Mumbai and some adjoining areas of other municipalities.

Compressed Natural Gas (CNG) and domestic Piped Natural Gas (PNG) will be costlier from December 4. The natural gas distribution company, Mahanagar Gas Limited (MGL), has hiked the prices of CNG and PNG by 0.85 paisa per kg and 0.50 paisa per standard cubic metre (SCM) in Mumbai and some adjoining areas of other municipalities.

This will affect about nine lakh households having PNG connections and around 5 lakh vehicles plying on CNG fuel, including taxis and auto rickshaws. (HT Photo)

It means from Sunday, Mumbaiites will have to spend Rs40.82 per kg and Rs24.42 per SCM for CNG and PNG respectively. This will affect about nine lakh households having PNG connections and around 5 lakh vehicles plying on CNG fuel, including taxis and auto rickshaws.

MGL said it has been forced to hike the CNG and PNG prices mainly because of increase in the input tax and consequent increase in cost of gas. It also highlighted that the hike of 50 paisa per SCM in the price of PNG will affect two base consumer slabs of the fuel.

This hike will be applicable in municipalities adjoining Mumbai after factoring in local municipal octroi or LBT and cess rates, according to MGL. The revised prices of CNG in areas around Mumbai are likely to be between Rs 40.82 per kg to 41.58 per kg, and PNG will be between Rs24.42 per SCM to 24.63 per SCM for the first slab.

MGL had reduced CNG and PNG prices two months ago on October 4, 2016 with CNG and PNG costing Rs39.97 per kg and Rs23.92 per SCM respectively.