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Ola and Uber Fares Surge Up to 2x on November 18 Amid GAIL Pipeline Damage in Mumbai

Written by: Akshay ShivalkarUpdated on: 18 Nov 2025, 5:26 pm IST
Ride-hailing fares rose sharply on November 18 as Mumbai faced widespread CNG shortages, leaving taxis, autos and buses struggling to operate normally.
Ola and Uber Fares Surge Up to 2x on November 18 Amid GAIL Pipeline Damage in Mumbai
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Mumbai experienced major travel disruptions for the second straight day as a large-scale CNG shortage forced thousands of autorickshaws, taxis and school buses off the roads. The shortfall created pressure on public transport and triggered sharp fare spikes on app-based cab platforms.

Impact on Commuters and Public Transport

The disruption significantly affected daily commuters, with many reporting difficulty finding transport across key business corridors. Around 44% of the CNG-powered BEST bus fleet was at risk of going off the roads due to low fuel availability, adding to the burden on remaining services. More than five lakh private CNG vehicle owners in the Mumbai Metropolitan Region also faced restricted access to fuel.

Ride-hailing platforms Ola and Uber continued operating through their dual-fuel options, allowing drivers to switch to petrol. However, the reduced availability of CNG cabs led to surge pricing in several areas, where fares reportedly spiked up to 2x compared to regular levels.

Cause of the CNG Shortage

The disruption began on Sunday after third-party damage to a key GAIL pipeline at the Rashtriya Chemicals and Fertilisers terminal in Chembur. The break affected supply to Mahanagar Gas’s main City Gate Station in Wadala, creating a cascading impact across the distribution network in Mumbai, Thane and Navi Mumbai.

With supply pressure significantly reduced, many CNG outlets remained shut or operated at minimal capacity. In Thane, only one out of four MGL pumps was operational, leading to long queues and limited availability. Navi Mumbai residents faced similar shortages, with many motorists unable to access fuel for nearly two days.

Response from Operators and Authorities

MGL stated that repair and restoration work had been initiated and full services were expected to resume by Tuesday noon, subject to pipeline stabilisation. Transport unions, however, noted that operational constraints may persist as many drivers were unable to refuel overnight.

The sharp drop in CNG availability prompted a shift in commuter behaviour, with people relying more heavily on local trains, metro services and the reduced BEST fleet. The situation also highlighted the dependency of Mumbai’s last-mile transport ecosystem on uninterrupted CNG supply.

Read More: CNG Gas Supply Crisis Disrupts Transport Across Mumbai.

Conclusion

As Mumbai navigates the temporary shortage, authorities have urged commuters to plan travel accordingly until supply normalises. The incident has brought renewed focus on the city’s vulnerability to fuel disruptions and the need for resilient transport alternatives.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Published on: Nov 18, 2025, 11:47 AM IST

Akshay Shivalkar

Akshay Shivalkar is a financial content specialist who strategises and creates SEO-optimised content on the stock market, mutual funds, and other investment products. With experience in fintech and mutual funds, he simplifies complex financial concepts to help investors make informed decisions through his writing.

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