Mumbai: Private CNG pump owners warn of stir over MGL’s 15-year lease

Mumbai: Private CNG pump owners warn of stir over MGL’s 15-year lease

Said a private CNG pump owner, who represents the United CNG Dealers’ Association, “It is a strong arm tactic of MGL to make us sign a 15-year lease for our land on which the pump stands

MUMBAI: Private CNG pump owners in Mumbai, Thane and Navi Mumbai have declared a strike in the New Year—from January 4—if Mahanagar Gas Limited (MGL) attempts to ‘force’ them into signing lease agreement for 15 years.

The pump owners said that they had support from the Petrol Dealers Association and threatened a major showdown. MGL officials said that they were prepared with an “alternative arrangement” in case there was a strike. There are 7 lakh CNG consumers in Mumbai and a majority of them are private car owners, followed by auto and taxi drivers. If there is a strike, it could hit public transport.

Said a private CNG pump owner, who represents the United CNG Dealers’ Association, “It is a strong arm tactic of MGL to make us sign a 15-year lease for our land on which the pump stands. We are willing to sign leave and licence agreements upto five years, but do not want to give the land on lease A MGL spokesperson said, “In line with the existing Oil & Gas industry practice, including that followed by Oil Marketing Companies, MGL Board has recently approved new business models which will govern terms and conditions of MGL’s dealing with its dealers. MGL’s existing dealers have opposed the introduction of these new models.”

https://energy.economictimes.indiatimes.com/news/oil-and-gas/mumbai-private-cng-pump-owners-warn-of-stir-over-mgls-15-year-lease/80007470

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