Mumbai commuters and transport operators are set to face increased travel expenses after compressed natural gas (CNG) prices in the Mumbai Metropolitan Region (MMR) were raised by ₹2 per kilogram. The revised rate of ₹84 per kg came into effect from midnight on May 14, impacting lakhs of vehicle owners who rely on CNG as a relatively affordable fuel option.

The latest hike was announced by Mahanagar Gas Limited (MGL), which cited rising global energy procurement costs, geopolitical instability in West Asia, higher crude oil prices, and rupee depreciation as major reasons behind the upward revision in prices. The increase is expected to affect autorickshaw drivers, taxi operators, bus services, and private vehicle owners across Mumbai, Thane, Navi Mumbai, and surrounding MMR regions.

According to officials, disruptions in the international energy supply chain due to ongoing tensions in West Asia have significantly pushed up fuel sourcing costs. Energy companies across India have been under pressure as global oil and gas markets continue to remain volatile. MGL stated that the revised pricing became necessary to offset the growing burden of gas procurement expenses.   

The impact of the price increase is likely to be felt immediately across Mumbai’s public transport ecosystem. The MMR region has witnessed a steady rise in CNG adoption over the years due to its lower running costs compared to petrol and diesel. Estimates indicate that nearly 1.28 million vehicles in the region currently operate on CNG. This includes around 4.7 lakh autorickshaws, over 1.6 lakh taxis, and more than 5 lakh private vehicles.

Transport unions have already begun expressing concern over the latest revision. Autorickshaw operators claim that the increase will significantly raise operational costs, reducing already shrinking earnings. Some unions have demanded an increase in base fares to compensate drivers for the additional fuel burden. Reports suggest that transport authorities may soon initiate discussions regarding possible fare revisions for autorickshaws and taxis in the city.

Industry experts believe that although the latest hike increases commuting expenses, CNG still remains comparatively cheaper than conventional fuels. Company officials maintain that even at ₹84 per kg, CNG continues to provide substantial savings over petrol and diesel, making it a preferred choice for cost-conscious vehicle owners.

The development comes at a time when global fuel prices continue to remain unstable due to geopolitical tensions and supply chain disruptions. Rising transportation costs may also have a cascading effect on everyday commuting expenses for Mumbai residents in the coming weeks.