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CNG, PNG to cost less in Mumbai from October 4

The drop is because of a reduction in prices of domestically produced natural gas

Updated on: Oct 3, 2016, 20:36:46 IST
Hindustan Times | By , Mumbai
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Compressed Natural Gas will be cheaper by Rs1.60 a kg and Piped Natural Gas, by Rs1.01 per standard cubic meter in Mumbai starting October 4. The drop, owing to reduction in prices of domestically produced natural gas, comes as relief to lakhs of households, as well as taxi and autorickshaw drivers.

CNG will now cost Rs39.97 a kg, while domestic PNG will cost Rs23.92 per SCM. (Hindustan Times)
CNG will now cost Rs39.97 a kg, while domestic PNG will cost Rs23.92 per SCM. (Hindustan Times)

CNG will now cost Rs39.97 a kg, while domestic PNG will cost Rs23.92 per SCM.

Mahanagar Gas Limited (MGL) said the price reduction will also apply municipalities adjoining Mumbai, after factoring local octroi or LBT and cess — revised prices of CNG in areas around Mumbai are likely to be between Rs39.97 and Rs40.68 a Kg, and PNG will be between Rs23.92 and Rs24.13 per SCM.

Three lakh vehicles in Mumbai ply on CNG fuel, and the number of domestic PNG consumers is more than 2 lakh, mainly in the suburbs.

Earlier, CNG and PNG prices had gone up when the Maharashtra government revised the Value Added Tax (VAT) applicable on these fuels.

On last September 17, MGL had increased the price of CNG and PNG to Rs 41.57 per kg and Rs 24.93 per SCM, in Mumbai.

MGP supplies PNG and CNG in Mira-Bhayander, Thane, Navi Mumbai, Kalyan-Dombivli and Ambernath-Badlapur, around Mumbai. In Mumbai Metropolitan Region (MMR), over 5 lakh vehicles ply on CNG, while 8.9 lakh households use PNG.

According to MGL, Mumbai has the highest number of CNG vehicles — 3.3 lakh — including auto rickshaws, taxis and BEST buses.

Cabbies and drivers expressed happiness over the reduced prices of CNG, but it is not yet clear whether reduction in prices will lead to any fare revision in the future.

  • Kailash Korde
    ABOUT THE AUTHOR
    Kailash Korde

    Kailash works with the political team and has been covering transport beat for over a decade. He is interested in travel and music.

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