LPG supply crunch threatens closure of hotels, eateries across multiple states
Food for thought
New Delhi: A shortage of commercial LPG cylinders may force many hotels and restaurants to shut operations if the situation is not resolved within the next two days, industry associations warned on Tuesday.
The Federation of Hotel and Restaurant Association of India (FHRAI) said the supply crunch has become severe in several cities, particularly in Mumbai, where nearly 50 per cent of hotels and eateries could temporarily close depending on their remaining cylinder stocks.
“We are already receiving reports of severe shortages from cities including Mumbai, Pune, Aurangabad and Nagpur, while similar disruptions are being reported in states such as Delhi, Karnataka, Telangana and Andhra Pradesh,” said Pradeep Shetty, Vice President of FHRAI and spokesperson for the Hotel and Restaurant Association (Western India).
According to the industry body, the shortage intensified over the past week and escalated into near complete supply disruptions in several regions since Monday.
The supply crunch follows the government’s decision to revise the priority allocation of domestically produced natural gas amid the West Asia crisis. Under the revised order, LPG production has been placed alongside CNG and piped cooking gas as top priorities. However, hotels and restaurants largely depend on market-priced commercial LPG, which has now become scarce.
Shetty warned that smaller and mid-sized eateries would be the first to be affected as they typically operate with limited LPG reserves.
He added that alternatives such as electric or induction-based cooking are not yet viable for most commercial kitchens, which require high-intensity cooking systems typical of Indian cuisine.
The industry has urged authorities to restore uninterrupted commercial LPG supply to avoid widespread disruptions in the hospitality sector.
