CNG price up, brace for fare hike

Mumbai: Commuters in the Mumbai metropolitan region are in for a round of hike in taxi, autorickshaw and bus fares as the price for compressed natural gas (CNG) was raised by Rs 3 per kg on Saturday. This is the third price hike in less than a year and will have a direct impact on the three modes of transportation all of which ply on CNG. And if that's not all, high-end consumers of piped natural gas (PNG) will have to pay at least Rs 2 more per unit of gas from Saturday due to a slab revision. 

    While BEST is contemplating a hike of at least Re 1 in its bus fares, auto unions on Friday demanded a hike of Re 1 per km and taxi union leaders Rs 4, in Mumbai, Thane and Navi Mumbai. 
    Taxi union leader A L Quadros demanded that the minimum fare be raised to Rs 25 from Rs 19 and subsequently Rs 16 per km from Rs 12.35. Auto union leader Shashank Rao said fares in Mumbai should be hiked by at least Re 1. Auto, taxi unions pitch for hikes 
Mumbai:AsCNG prices roseby Rs3 per kg, various transport unions pitched in with their demand for a fare hike. Auto union leader Thampy Kurien said, "The fare should rise by Rs2 asCNG pricehasincreasedby Rs 6 in three hikes in the past one year." Someunions plan totake a delegation to the transport chief with their fare hikedemand. 
    A senior transport official, though, told TOI that the fare hike case wasbeing heardin Bombayhighcourt. "Till the court gives its verdict, the fare will not increase by a single paisa," hesaid.Another officialfrom Mantralaya said the transport ministry had resolvedtohikefaresonly in 2014. "We will try not to burden the common man with a farehikethis year." 
    BEST officials pointed out that the majority of buses ran on CNG and the rest on diesel. "Now, after price hikes in both diesel and CNG, we will submit a proposaltoincreasefaresby atleast a rupee," hesaid. 
    BEST spokesperson A S Tamboli said, "The transport undertaking will incur an annual burden of Rs 18 crore, with an annual gas consumption of 680lakhkg." 
    Kalpana Doshi, an investment consultant, said, "It is becoming increasingly expensive to travel by autos and taxis. A further hike in fares will really addtoour woes." 
    Consumer activist Shirish Deshpande said the last fare hike in October 2012 was being challenged in court and the transport department will not take any decision as the matter was "subjudice". 
    Whilejustifying thehike, a Mahanagar Gas (MGL) spokesperson said, "In order to recover a part of the increase in input costs, especially towardssudden and rapiddepreciation of the rupee against the dollar, MGL isconstrainedtoincreasethe priceof CNGby Rs3." 
    In the case of PNG prices, while there is no hike, the MGL has changed the slabs for consumers from Saturday. Due to this, high-end consumers will have to pay more (nearly Rs2.77 per scm). "Itisunlikely toimpact normalconsumers.However,it may have a minor impacton consumers using gas for purposes other than normal domestic cooking or for commercial activities," said an MGL spokesperson. Commuters can hope for lower BEST bus fare hike 
Mumbai:Despitecostlier diesel and the Rs 3 hike in CNG prices from Saturday, you can expect a lower hike in your BEST bus fare the next time it is announced. For, the BEST power wing has made a profitof Rs125crore. 
    Since BEST has a system of cross-subsidy between its electricity andtransportwings,sources said the losses suffered by its transport department will soon be "nullified" with profits madeby its power wing. 
    Sources said the impact of thefarehike may notbe "too much" as the undertaking's electricity wing has earned Rs 1,087 crore morein 2012-13 than in the previousfiscal year, and posted a net profitof Rs125crore. 
    The latest working accounts statement shows this also led to a dip in the total BEST losses from Rs 847crorein 2011-12toRs 508 crore in 2012-13. The statementwas releasedtoBESTcommittee members at a meeting on Thursday. 
    BEST has begun collecting Transport Division Loss Recovery's charges from 9.5 million power consumers in the island city. The TDLR charges have alsobeen a contributory factor for BEST to increase its revenue in the power wing,sourcessaid.
    Though BEST has been undertaking several measures to save costs, it has not been able to seek subsidy from the state government. 
    Committee chairman Nana Ambole said, "We have planned totake a delegation tochief minister Prithviraj Chavan to give us subsidy so that we don't have to hike fares in Mumbai at all. ButtheCMis yetto giveus an appointment."