Bengaluru Hotels Face Closure Threat Amid LPG Supply Crisis

Hotels and restaurants in Bengaluru have warned that they may be forced to suspend operations if the supply of commercial LPG cylinders is not restored soon. The Bangalore Hotels Association said the sudden halt in gas supply has created a serious crisis for the city’s hospitality sector.

According to the association, commercial LPG supply to hotels stopped unexpectedly, making it difficult for restaurants and eateries to continue cooking food. Since hotels rely heavily on LPG cylinders for daily kitchen operations, the shortage has disrupted regular services across the city.

Hotel owners said the industry provides essential services to thousands of people every day, including students, office workers, travelers, and hospital staff who depend on affordable meals from restaurants. A prolonged disruption in LPG supply could therefore affect a large number of residents.

The association also pointed out that oil companies had earlier assured that there would be no interruption in gas supply for several weeks. However, the sudden suspension has come as a major setback for the hotel industry. Hoteliers have urged the government and oil companies to immediately restore commercial LPG distribution so that normal operations can continue.

In light of current geopolitical disruptions to fuel supply and constraints on supply of LPG, Ministry has issued orders to oil refineries for higher LPG production and using such extra production for domestic LPG use.

The ministry has prioritised domestic LPG supply to…

— Ministry of Petroleum and Natural Gas #MoPNG (@PetroleumMin) March 9, 2026