Mumbai Autorickshaw Fare: Autorickshaw Unions Demand Fare Hike Following CNG Price Increase

In Mumbai, a day after Mahanagar Gas Limited (MGL) raised the price of Compressed Natural Gas (CNG) by Rs 1.50 per kilogram, autorickshaw unions have called for an immediate fare hike, according to the Hindustan Times. The unions argue that the increased cost of CNG significantly impacts drivers' earnings and warrants an adjustment in fares. Meanwhile, taxi unions are yet to finalise their response, with discussions still ongoing among members.

Details Of Recent CNG Price Increase

On July 8, MGL announced an increase in CNG prices from Rs 73.50 per kilogram to Rs 75 per kilogram in the Mumbai Metropolitan Region (MMR). This price hike comes amidst growing demand for CNG vehicles, with over a million CNG vehicles registered in the MMR, including 4,00,000 autorickshaws, 5,00,000 private cars, 2,400 buses, and 70,000 taxis.

MGL has attributed the price hike to the increasing demand for CNG and a shortfall in domestic gas allocation, which has necessitated sourcing additional supplies at market-priced natural gas.

The autorickshaw unions are proposing an increase in the base fare from Rs 23 to Rs 25 for the first 1.5 kilometres. Additionally, they seek to raise the per-kilometre fare from Rs 15.33 to Rs 16.9. This proposal takes into account the rising consumer price index, a critical factor in determining fare adjustments. Other considerations include the costs associated with vehicle maintenance, repairs, insurance, and taxes.

Impact Of CNG Price Hike

Union leader Thampy Kurien highlighted the daily financial impact on drivers, stating, "The CNG price hike means drivers will lose Rs 130-150 daily. The consumer price index and other expenses have also increased. Therefore, it is essential to revise and hike autorickshaw fares."

Taxi unions have also indicated a desire for a fare hike, proposing an increase in the base fare from Rs 28 to Rs 30. However, they plan to consult further with their members before submitting a formal demand. "Expenses have risen over the years, which is concerning," remarked taxi union leader Prem Singh.

Proposal Submission And Review

The unions intend to submit an official proposal to the transport department soon. The regional transport office has indicated that any fare hike proposal will be reviewed by the Mumbai Metropolitan Region Transport Authority (MMRTA). The MMRTA will conduct multiple meetings to assess the validity of the unions' reasons before making a final decision.

The last fare adjustment by the MMRTA occurred in October 2022, with autorickshaw and taxi fares increased by Rs 2 and Rs 3, respectively. This brought the minimum fares for autos to Rs 23 and for taxis to Rs 28.

As the unions await a response from the transport authorities, the proposed fare hikes are poised to be a significant topic of discussion in the coming weeks.