Mumbai gets costlier from today: CNG, milk, auto-taxi fares all rise together

Mumbai residents faced a sharp increase in living costs starting from September 1, as prices for compressed natural gas (CNG), piped cooking gas, buffalo milk, and transportation services rose simultaneously. The changes affected millions of households and commuters, compounding financial pressures during a period of economic uncertainty. Mahanagar Gas Ltd (MGL) raised the price of CNG by Rs 2 per kilogram, bringing it to Rs 88 per kg from Rs 86. Domestic piped natural gas (PNG) saw an increase of Rs 1 per standard cubic metre, impacting cooking expenses for over 30 lakh households connected to the network. These adjustments followed a surge in global energy prices linked to the ongoing Middle East crisis, which has driven up the cost of imported liquefied natural gas. MGL cited higher input costs as a key factor, noting that much of the gas used to meet demand comes from imported spot regasified liquefied natural gas, which has become more expensive due to geopolitical tensions. The MMR, home to more than 4.5 lakh autorickshaws and tens of thousands of taxis, relies heavily on CNG for operation. This means the cost of running these vehicles has climbed significantly, placing additional strain on drivers and service providers. Alongside the CNG hike, authorities introduced new fare structures for both autorickshaws and black-and-yellow taxis. The minimum fare for autorickshaws increased by Re 1, from Rs 26 to Rs 27, while the base fare for taxis rose by Rs 2, from Rs 31 to Rs 33. Per-kilometre rates also went up, autorickshaws now charge Rs 18.22 per km, up from Rs 17.14, and taxis are priced at Rs 21.90 per km, up from Rs 20.66. Until electronic meters are updated, drivers must adhere to RTO-approved tariff cards. Operators have three months to recalibrate meters, with a maximum cost cap of Rs 700. To ensure compliance, RTO teams have been dispatched to inspect for overcharging and the use of counterfeit tariffs. Shared-fare charts for both types of vehicles have also been revised, setting fixed prices for trips under 10 km ranging from Rs 12 to Rs 81 for autos and Rs 11 to Rs 73 for taxis. Buffalo milk prices also jumped, with the Bombay Milk Producers' Association announcing a Rs 9-per-litre increase in wholesale rates. The price climbed from Rs 93 to Rs 102 per litre, leading to retail prices estimated between Rs 110 and Rs 112 per litre, varying by location. In south Mumbai, consumers can expect to pay up to Rs 112 per litre, compared to the previous Rs 104. Other parts of the city may see prices rise from around Rs 100 to Rs 110. The association explained that rising costs for cattle feed, transportation, fuel, labor, and maintenance have made milk production more expensive. It noted that the cost to produce a litre of milk has now reached approximately Rs 98. The revised wholesale price will stay in place until February 28, 2027. With nearly 40 lakh litres of buffalo milk distributed daily across Mumbai, this increase adds to household expenses, especially as the festive season approaches and demand for dairy products typically surges. Transportation unions expressed concern over the combined effect of the CNG and fare increases. Leaders such as Thampy Kurien of the Mumbai Rickshawmen’s Union warned that drivers would resist the hikes, citing the added burden on their operational costs following the fare adjustments. The situation highlights the broader challenge of managing inflationary pressures in a densely populated urban center where public transport and basic goods form essential parts of daily life. As the month progresses, further impacts on consumer behavior and local economies are anticipated, particularly among low-income families who rely heavily on affordable transport and food staples.