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We are all aware of the ongoing tensions and war in the West Asian region. Amid this ongoing crisis, fuel companies recently increased the prices of petrol, diesel, and CNG. Indraprastha Gas Limited or IGL has once again increased the price of CNG within 48 hours. On May 15, the price of CNG was increased by Rs 2 per kg nationwide, and now it has been increased by another Rs 1 per kg.

The official statement released by IGL after the hike said that the revision in retail prices of CNG had been implemented only to marginally offset the impact of the increase in input gas costs along with the steep appreciation of the USD.

While the company says that even after the revision, CNG would still offer up to 45 percent savings in running costs when compared to vehicles running on alternate fuels at the current price levels, taxi drivers in the Delhi-NCR region have a different story to tell.

With the latest price hike, the price of CNG in Delhi has crossed Rs 80 per kg. Taxi drivers and unions in the region have called it an unbearable burden and have asked for a rollback of the hike or fare revisions from the government.

Rajender Soni, General Secretary of the Delhi Auto Rickshaw Sangh and Delhi Pradesh Taxi Union, while speaking to the Hindustan Times, said the repeated increase in fuel prices was putting an “unbearable financial burden” on drivers who were already struggling with inflation and rising vehicle maintenance costs. He also said, “Either the increased CNG prices should be rolled back immediately or fares of auto-rickshaws and taxis should be revised so that drivers can survive.”

The drivers’ union representatives mentioned that autorickshaw fares were last revised in 2023 during the AAP government. The current minimum charge for 1.5 km is Rs 30, while the cost for every subsequent kilometre is Rs 11.

The price of CNG has been increased to Rs 80.09 per kg in Delhi, while the price of the same gas in Noida, Greater Noida, and Ghaziabad is now Rs 88.70 per kg. Prices in Gurugram are Rs 85.12 per kg. Almost everywhere in the country, CNG prices have crossed Rs 80 per kg, and in some regions like Hapur, Ajmer, and Kanpur, prices are anywhere between Rs 89–91 per kg.

State-owned fuel companies had recently increased the prices of petrol and diesel by Rs 3 per litre. In Delhi, the price of petrol is Rs 97.77 per litre, while diesel is priced at Rs 90.67 per litre.

The ongoing Iran and Israel-US tensions have become one of the major reasons for this price hike. India imports approximately 50–55 percent of its total natural gas requirement, which includes both piped natural gas and CNG.

The ongoing tensions, along with disruptions around the Strait of Hormuz – one of the key routes for the world’s oil and gas shipments – have contributed to these price hikes. It would not be wrong to say that if these tensions are not resolved at the earliest, fuel prices could rise further in the near future.