Mahanagar Gas Limited (MGL) raised the price of CNG across the Mumbai Metropolitan Region by Re 1 to Rs 89 per kg, effective from the night of September 30. MGL has now increased the price five times in 2026, and the per-kg rate stands about Rs 8 above where it began the year, according to Bombay Samachar and a Hindustan Times report summarised by Inshorts.
How the price got here
On its own, Re 1 a kg adds about Rs 8 to a typical car fill. The run of hikes is the bigger cost. MGL took CNG to Rs 86 in May, alongside a rise in piped cooking gas (PNG) to Rs 52 per standard cubic metre. In September it added Rs 2, taking CNG to Rs 88. The October 1 increase followed within weeks.
MGL blames its input costs. The company says it now pays more for domestically produced gas and for imported regasified LNG (RLNG), and it links the imported-gas bill to the conflict in West Asia. Bombay Samachar reported that MGL has leaned more on spot-market RLNG purchases to meet rising demand. Spot cargoes cost more when supply routes look shaky, and city gas distributors pass that cost down the line.
What it means for you
About 12.93 lakh vehicles in the MMR run on MGL’s CNG, by the company’s count as reported. That covers private cars, auto-rickshaws, kaali-peeli and app-based taxis, and a share of bus fleets.
- Car owners: a hatchback that takes 8 kg per fill now pays Rs 712, against roughly Rs 648 before this year’s run of hikes. Fill twice a week and the gap adds up to over Rs 500 a month.
- Auto and taxi drivers: they feel the squeeze hardest because they buy fuel daily and cannot raise fares on their own. A driver who uses 6 kg a day pays about Rs 48 more each day than at the start of the year, close to Rs 1,450 over a 30-day month.
- Passengers: fares have not moved yet. Auto and taxi unions have raised fare revision with the transport authorities, and Bombay Samachar notes that earlier fare revisions did not fully cover fuel increases.
The car figures use simple arithmetic on the published per-kg rates; actual spending depends on tank size and how much you drive.
The fare question
In Mumbai, auto and taxi fares change only when the Mumbai Metropolitan Region Transport Authority (MMRTA) approves a revision. Unions have repeatedly asked it to act after earlier CNG hikes this year, citing the Khatua Committee formula, which ties fares to fuel and operating costs. Each new hike strengthens their case, and five hikes in roughly six months give the authority a clear number to work with. No revision has been announced so far.
For commuters, a revision would raise the cost of short auto hops that many use to reach stations. For drivers, delay means absorbing the full Rs 8 out of daily earnings, which unions say has already cut into take-home pay.
What to watch
Watch three things. First, whether MMRTA takes up a fare revision before the festive season traffic peaks. Second, whether MGL revises PNG as well; reports on this round mention only CNG, so check your next gas bill. Third, global LNG prices: if West Asia tensions ease and spot prices fall, MGL has room to pause further hikes, though the company has not committed to any cut.
If you are weighing a new CNG vehicle against petrol or electric, rerun your running-cost numbers at Rs 89. The price advantage that sold CNG cars in Mumbai has narrowed this year.
Sources: Bombay Samachar, Hindustan Times via Inshorts, Free Press Journal
This report was written with AI assistance from the publicly reported sources linked here; each fact was cross-checked against at least two of them.