Mumbai: CNG, PNG prices hiked from today. Know latest rates here | Mint – Mint

The hike became effective from Monday midnight. Vehicle owners in Mumbai will have to pay the surged prices for CNG and PNG from today, 4 October. 

While, the hike in prices will inevitably affect transport charges, the MGL cited 40% increase in input prices by the government from 1 October for the steep increase in the retail prices along with the supply cut.

It is to be noted that the government revises gas prices twice annually—from 1 April to 30 September and from 1 October to 31 March. So, the price for October 1 to March 31 is based on the average price from July 2021 to June 2022.

The oil ministry’s petroleum pricing and analysis cell on September 30 announced new prices for the next six months from October 1, wherein domestically produced gas prices were increased by a steep 40 per cent. In April 1, the same had been increased by a much higher 110 per cent, citing rising international prices.

With the hike, the price savings between CNG and petrol is down to 45% now, while that of PNG and LPG is down to just 11%.

MGL said apart from hiking prices, the government had also reduced the allocation of gas to MGL by 10 per cent due to which MGL is required to source at a substantially higher cost from the market. It also cited the fall in the rupee as another reason for the hike.

On 30 September, the government hiked the prices of natural gas by 40 per cent to record levels citing soaring global prices.