Mahanagar Gas Reduces CNG Price By Rs. 6 Per Kg In Mumbai

A reduction on state tax on CNG saw prices reduced to Rs 60 per kg in Mumbai from April 1.

By car&bike Team


1 mins read


Published on April 5, 2022

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  • Maharashtra reduces VAT on CNG to 3%.
  • CNG costs Rs. 60 per kg from April 1.
  • Prices likely to be revised in the coming months.

While India has dealt with a near continuous rise in fuel prices, there was respite on the horizon for some. Mahanagar Gas (MGL) on March 31 announced a revision to CNG prices in Mumbai and adjoining areas reducing the rate by Rs. 6 per kilo with effect from April 1. At Rs. 60 per kg, the price for CNG in the financial capital is now lower than in New Delhi where the price for the fuel has been hiked by up to Rs. 3.5 per kg in recent weeks. CNG currently retails at Rs. 64.11 per kg in the national capital.

As per reports, the reduction in pricing came courtesy of a revision in VAT on the fuel at the state level. With effect from April 1, the VAT levied on CNG at the state level was reduced to 3 per cent as against the previous rate of 13.5 per cent.


MGL had at the start of the year hiked CNG prices by Rs. 2.50 per litre owing to procuring gas at the market rate to cater to increased demand.

Also see: CNG Dearer By ₹ 2.5 Per Kg In Delhi

As per a PTI report, while Mumbai and its adjoining areas received a notable respite in CNG prices, the Centre on March 31 double the price of domestically produced natural gas for a six-month period starting April 1. This was done owing to a spike in prices globally. A MGL spokesperson in the report stated that the company would evaluate the impact of the centre's price hike and adjust retail prices accordingly.

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