Mumbai residents face a double financial hit from September 1 as fuel prices and public transport fares rise together. Mahanagar Gas Limited (MGL) increased the price of compressed natural gas (CNG) by ₹2 per kg to ₹88 per kg in and around Mumbai, while also raising the price of domestic piped natural gas (PNG) by ₹1 per standard cubic metre. The revised CNG and PNG prices came into effect from midnight on September 1.

MGL attributed the CNG price increase to a sharp rise in gas procurement costs linked to international indices amid the ongoing Middle East conflict. The company said rising demand for CNG has forced it to source a significant portion of its supply through imported spot liquefied natural gas (RLNG), which has become more expensive. MGL stated that the price revision is aimed at partially offsetting higher procurement costs while ensuring an uninterrupted supply of natural gas.

In parallel, auto-rickshaw and black-and-yellow taxi fares in the Mumbai Metropolitan Region (MMR) were revised effective September 1. The minimum fare for auto-rickshaws increased by ₹1 to ₹27, while the minimum fare for black-and-yellow taxis went up by ₹2 to ₹33. The per-kilometre fare for taxis was revised from ₹20.66 to ₹21.90, and for auto-rickshaws from ₹17.40 to ₹18.22.

The fare revision was approved by the Mumbai Metropolitan Region Transport Authority (MMRTA) based on the formula derived by the four-member Khatua panel, which takes into account fuel prices and other operating costs. The revision came after persistent demands from auto and taxi unions about rising fuel and operating costs. The last fare increase of ₹3 each for taxis and auto-rickshaws took effect on February 1, 2025.

Drivers can charge the revised fares either after calibrating their fare meters or by displaying the RTO-approved fare table. They have been given three months, until the end of November, to recalibrate their meters. Drivers who fail to do so within the stipulated period will face penalties.

The CNG price hike is particularly significant for the transport sector, as a large number of vehicles in Mumbai, including taxis and auto-rickshaws, run on CNG. The fare increase is expected to partially offset the higher fuel costs for drivers, but commuters will bear the brunt of both changes.