CNG price surge: Delhi auto-taxi unions seek fare hike, warn of September 9 strike

Transport unions in Delhi-NCR have called for an immediate revision of autorickshaw and taxi fares after Indraprastha Gas Limited (IGL) raised the price of compressed natural gas (CNG) by ₹3.89 per kg from Saturday morning. The unions have warned that drivers will go on strike on September 9 if the government does not respond within a week.

The revised price of CNG is now ₹86.98 per kg in Delhi, ₹95.59 in Noida and Ghaziabad, and ₹92.01 in Gurugram. The latest increase brings the cumulative rise in Delhi's CNG prices this year to nearly ₹10 per kg. At the start of 2025, CNG was priced at ₹77.09 per kg in the capital. In the second half of May alone, the price was raised by ₹6 per kg in four instalments. There has been no change in the price of piped natural gas used for cooking in households.

Rajendra Soni, general secretary of the Auto Rickshaw Association and Delhi Pradesh Taxi Union, said that while CNG prices have been climbing for months, fares have not been adjusted accordingly. “If fares are not increased, we will hold a strike on September 9,” he told reporters. Soni urged Chief Minister Rekha Gupta to either raise fares or provide a subsidy to drivers, adding that states like Maharashtra and Gujarat have already revised their transport fares.

The CNG price increase is likely to affect more than passenger transport. Rajendra Kapoor, president of the All India Motor and Goods Transport Association, said small vehicles that ferry vegetables and other essential commodities also run on CNG. “This will lead to a rise in transportation costs, kicking up prices of essential commodities,” he said.

Taxi operators with fixed contracts are particularly worried. Baljinder Singh, a taxi service owner, said many drivers have agreements with schools and companies at predetermined rates. “The government knows that we cannot change those contractual obligations. We are expected to absorb the entire hike in operating costs,” he explained.

Transporters are also planning a demonstration at Jantar Mantar after September 15. Sanjay Samrat, president of the Delhi Taxi, Tourist Transporters and Tour Operators Association, said they have sought police permission but were told a protest could only be held after the BRICS meeting. He added that the unions would demand the resignation of Union Ministers Nitin Gadkari (Road Transport & Highways) and Hardeep Puri (Petroleum & Natural Gas).

IGL, in a statement, attributed the price revision to a sharp rise in global liquefied natural gas (LNG) prices following the renewed West Asia crisis and disruptions to gas cargo movements through the Strait of Hormuz. The company said the calibrated increase of ₹3.89 per kg was necessary to partially offset the higher input cost while ensuring uninterrupted CNG supply.