Hotels, eateries, fast-food outlets stare at shutdown

Mysore/Mysuru: Hotels and restaurants, eateries and fast-food outlets in Mysuru are facing a severe crisis following disruption in the supply of commercial Liquefied Petroleum Gas (LPG) cylinders used for cooking.

According to hotel industry representatives, Government-run oil marketing companies such as Indian Oil Corporation, Hindustan Petroleum Corporation Ltd., and Bharat Petroleum Corporation Ltd., have totally stopped refilling commercial LPG cylinders from this morning.

While two companies had continued partial refilling until yesterday, all three have now halted supply fully. The disruption is linked to geopolitical tensions in the Middle East following military action by the United States and Israel against Iran, which has affected supply chains and LPG availability in India.

Daily 4,500 cylinders

Mysuru has around 1,500 hotels, restaurants, fast-food outlets, tea stalls and other eateries that depend on commercial LPG for their daily operations. The city requires nearly 4,500 commercial cylinders every day.

However, oil marketing companies have reportedly been directed by the Centre to prioritise the supply of domestic LPG cylinders, leaving commercial establishments struggling to procure fuel.

The shortage, coupled with a sharp rise in prices, has left hotel owners worried about sustaining operations. If the situation continues, industry representatives warn that businesses could suffer significant losses and thousands of workers could be affected.

Some hoteliers are even considering temporary alternatives such as traditional wood-fired stoves or husk-based fireplaces that were commonly used about a decade ago. Some are using induction stoves to cook food in 10-kg vessels.

From Rs. 1,700 to Rs. 3,000 per cylinder

C. Narayanagowda, President of the Mysuru Hotel Owners’ Association, said the supply of commercial LPG cylinders from government oil companies had been disrupted for the past five days, forcing hotel owners to rely on private suppliers.

“Commercial cylinders are simply not available. Several agencies have stopped supplying. Private cylinder prices have doubled from about Rs. 1,700 to nearly Rs. 3,000. Gas is being sold at around Rs. 200 per kg and now even that supply has stopped,” he said.

Downs shutters

Narayanagowda said that at least one establishment, a popular vegetarian restaurant in Gokulam, had already shut down due to the shortage, while many other hotels had stocks that would last only two days.

“The situation is similar to the COVID crisis returning. Because of the war, imports have been affected and the existing stock is being reserved for domestic consumers. Hotels may have no option but to temporarily shut down until the situation improves,” he said.

Narayanagowda also pointed out that the price of a commercial LPG cylinder had already increased by more than Rs. 300 since March 1. “Even if hoteliers are willing to pay the higher price, cylinders are simply not available,” he added.

The Mysuru Hotel Owners’ Association has written to Union Minister for Petroleum and Natural Gas Hardeep Singh Puri seeking clarity and assurance for the hospitality sector following the Government’s decision to prioritise domestic LPG supply.

There is no need for panic

The Central Government is already taking steps to address the supply chain related issue. All MPs from Karnataka, including myself, have written to the Centre and we have been assured that appropriate measures will be taken.

There is also no need for panic. Some people are booking extra cylinders and stocking up out of fear, but domestic LPG supply will continue and the Central Government will ensure this.

We believe the Centre will act swiftly and once supply chain issues are resolved, distribution will resume. — Yaduveer Wadiyar, Mysuru-Kodagu MP

I have no information on LPG stock

As of now, I do not have information about the stock of LPG cylinders in Mysuru and commenting on the situation will be wrong.

I have no visibility and can react once the information is available. — G. Lakshmikanth Reddy, DC

With the supply of commercial cylinders halted, distribution has been disrupted. Domestic LPG supply, however, remains unaffected. When the Government itself has stopped the supply, there is little we can do.” — Krishna, Little Gas Agency

We procure gas from AEGIS and fix our rates based on the price they supply. The prices change every day. At present, a 17-kg cylinder is being sold for around Rs. 2,700 to Rs. 2,800. If the war continues, supplies could become difficult. We do not maintain large stocks and purchase cylinders only based on demand.” — S.P. Sumanth, Owner, Sri LPG Pvt. Ltd.