The Delhi Cabinet will tomorrow consider a report by the Transport Department which favours an increase in the fare structure of autorickshaws and taxis in the national capital.

Sources said the cabinet will discuss the proposals and is likely to give its approval for a fare hike, which is being demanded by autorickshaw and taxi unions for a long time.

The Transport department move comes after autorickshaw unions threatened to go on a strike last month after the Centre decided to hike the CNG rate.

The CNG rate in Delhi has gone up by Rs. 5.60 per kg - from Rs. 21.90 to Rs. 27.50 per kg.

As the new rates came into effect on June 16, the unions again threatened to go on an indefinite strike from tomorrow, but they withdrew their decision following an assurance from Transport Minister Arvinder Singh Lovely.

Autorickshaw unions told PTI that Mr. Lovely assured them that the cabinet will take a decision on the fare structure tomorrow and it will be notified the next day.

Officials say there may be a hike of 35 to 40 per cent on auto and taxi fares, though it is not yet clear whether the government will consider any hike in bus fare.

The report has given three different proposals and sources said one is that the minimum rate will be set at Rs. 15 and Rs. 8 for every subsequent km, while the other one is that the base fare will set at Rs. 20 and Rs. 4.50 for every subsequent km.

The existing base fare is Rs. 10 and for every subsequent km it is Rs. 6.50, while taxis have a flat rate of Rs. 15 every km.

Commuting by taxi will get pricey by Rs. 20 per km.

Last time, the Delhi Government had effected a raise in the fares of autorickshaws and taxis in 2007.

The auto drivers contention is that since the price of CNG has been hiked five times in the past one year, they need a hike in the fare structure.

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