Mumbai CNG price hike: New ₹89 per kg rate from October 1

Edited By: Warda Zain
Representational Image | PTI
Representational Image | PTI

CNG prices in Mumbai and the surrounding Metropolitan Region have increased by ₹1 per kg from October 1, with Mahanagar Gas Limited (MGL) citing higher domestic gas and imported RLNG costs.

Residents and motorists across the Mumbai Metropolitan Region (MMR) will pay more for CNG from October 1 after MGL increased its retail price by ₹1 per kg.

The revised price of MGL-supplied CNG is now ₹89 per kg, compared with ₹88 per kg previously. The new rate came into effect from midnight on September 30.

Why has CNG become more expensive?

MGL said the price increase was driven by higher input gas costs. The company pointed to increases in the prices of domestically produced natural gas as well as imported regasified liquefied natural gas (RLNG).

According to MGL, a larger share of the additional CNG demand is being met through spot RLNG. Since imported RLNG prices are linked to international gas markets, higher global prices have increased the company's procurement costs.

MGL also linked the rise in international gas prices to the ongoing crisis in West Asia.

The company said the ₹1-per-kg increase would only partially offset the rise in input costs while helping it maintain a sustained supply of natural gas to customers.

Who will be affected?

The increase will affect vehicles using MGL-supplied CNG across the MMR. These include:

  • Auto-rickshaws
  • Taxis
  • Private cars
  • Buses and other commercial vehicles
  • Vehicles operated by transport authorities

The higher fuel price could increase running costs for commercial vehicle operators, potentially adding to transportation expenses.

CNG prices have risen several times in 2026

The latest increase follows a ₹2-per-kg hike announced in September, when the CNG price was raised to ₹88 per kg.

Before that, MGL increased the price to ₹86 per kg in May. At the time, the company cited higher gas procurement costs, including reduced allocation of domestic gas and the depreciation of the Indian rupee against the US dollar.

MGL said it would continue to explore ways to optimise gas procurement while promoting natural gas as a cleaner fuel alternative.

MGL's wider network

MGL supplies CNG in Mumbai and several other regions, including Thane, Raigarh, Ratnagiri, Latur, Dharashiv, Chitradurga and Davangere.

The company supplies CNG to more than 1.3 million vehicles through a network of more than 500 CNG stations. It also provides piped natural gas (PNG) to around 3.2 million households across its operating areas.

The latest ₹1-per-kg increase comes after two earlier revisions this year and reflects the pressure on gas procurement costs faced by city gas distributors. MGL's explanation highlights the role of imported RLNG in meeting CNG demand when domestic gas supplies are insufficient.

For CNG-dependent commercial vehicles, even a relatively small per-kilogram increase can raise daily operating expenses because fuel consumption is significantly higher than that of private vehicles. The effect on commuters will depend on whether operators pass the additional fuel cost through fares.

The increase also shows how international energy-market movements can affect domestic transport fuel prices, particularly when imported gas forms a larger part of the supply mix.