Based on feedback from our members, we estimate that nearly 30 per cent of hotels and restaurants are shut due to the on-going shortage. Establishments that have continued operations have largely done so under curtailed conditions, with reduced operating hours, limited menus and restricted kitchen activity in order to conserve available gas stocks. If fresh supplies do not reach the market soon, more establishments may be forced to temporarily shut operations in the coming days, particularly small and medium-sized eateries that operate with limited reserves.
Government Allocation Offers Hope but Concerns Remain
The industry has taken note of the announcement made by the Hon’ble Union Minister for Petroleum and Natural Gas regarding the allocation of around 20 per cent of the average monthly commercial LPG requirement to help address the shortage. While this offers a glimmer of hope, the key concern remains how quickly this allocation translates into distribution and availability at the ground level. Moreover, the allocation may still be insufficient to sustain operational costs and meet the demand of the hospitality sector, particularly for establishments handling large-scale catering and high-volume food preparation.
Advisory Issued to Manage Operations During Crisis
In the interim, FHRAI & HRAWI have issued advisories to its members to adopt practical operational measures to manage the situation, including conserving available fuel, temporarily rationalising menus to reduce high gas consumption items, integrating electric appliances such as induction cooktops and convection ovens where feasible and adjusting operating hours to focus on peak service periods. At the same time, the Associations strongly urge establishments to avoid panic buying or hoarding of LPG cylinders, as such actions could further destabilise the market and invite regulatory scrutiny.
Ongoing Engagement with Government Authorities
FHRAI has been actively engaging with the Government and relevant agencies to address the crisis and restore normalcy in LPG supply. We remain hopeful that timely intervention and coordinated action will help stabilise the situation and allow restaurants and hotels to continue serving the public without prolonged disruption.
