Compressed Natural Gas (CNG) has become costlier in Mumbai and neighbouring areas after a fresh increase of Rs 2 per kilogram in retail prices.

The revised rates came into effect from midnight on May 29, raising the retail selling price (RSP) from Rs 84 per kg to Rs 86 per kg.

The latest revision is expected to affect a wide range of consumers, including private vehicle owners, taxi operators, auto-rickshaw drivers and commercial transporters who rely on CNG for daily operations.

Gas distributors and dealers have been instructed to implement the revised rates immediately and inform consumers about the changes.

Why Have Prices Increased?

According to officials of Mahanagar Gas Ltd (MGL), rising input costs and disruptions in the global gas market have contributed to the latest hike.

Officials said ongoing geopolitical tensions in West Asia have affected supply conditions and increased import-related expenses, prompting the company to revise prices.

The increase has also sparked concerns among transport operators. According to media reports, representatives of the Mumbai Rickshaw Men's Union have urged transport authorities to consider increasing the base fare for auto-rickshaws and taxis by up to Rs1 to offset higher operating costs.

Second CNG Hike In May

The latest increase marks the second CNG price hike in Mumbai during May.

Earlier, on May 14, gas distribution companies operating in the Mumbai Metropolitan Region (MMR) raised CNG prices by Rs2 per kg, taking the rate from Rs82 to Rs84 per kg.

With the latest revision, CNG prices in Mumbai have increased by a total of Rs4 per kilogram within just over two weeks.

Delhi Also Witnesses Multiple Hikes

CNG consumers in Delhi and surrounding areas have also faced repeated price increases this month.

According to available data, rates were revised upward on four occasions:

May 15: Rs 2 per kgMay 17: Rs 1 per kgMay 23: Rs 1 per kgMay 26: Rs 2 per kg

As a result, CNG prices in Delhi have risen from Rs 77.09 per kg to Rs 83.09 per kg within 11 days.

In neighbouring cities such as Noida and Ghaziabad, CNG rates have climbed to as high as Rs 91.70 per kilogram.

The latest revisions reflect mounting pressure on the domestic gas market as distributors grapple with higher procurement and import costs amid evolving global energy market conditions.