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LPG Crisis: The Oil Ministry has constituted a special committee in view of the sudden shortage of commercial LPG gas. This shortage is causing a serious crisis in the hotel and restaurant industry. Industry organizations have warned that if the supply is not restored soon, there may be a situation of closure of eateries and restaurants within a few days.

How did the crisis start?

Due to the increasing conflict in the Middle East and closure of the Strait of Hormuz, 85-90% of LPG imports to India from countries like Saudi Arabia have been affected. Due to this, the government has given priority to the supply of domestic LPG, due to which the shortage of commercial gas for hotels and restaurants has increased.

role of committee

Giving information on social media platform X, the Oil Ministry said that a committee of three executive directors of oil marketing companies has been formed. This committee will review matters to LPG supply to restaurants, hotels and other commercial establishments.

LPG consumption

India consumes approximately 313 lakh tonnes of LPG annually. Of this, 87% is used in domestic kitchens and 13% in commercial establishments like hotels, restaurants. 62% of the total demand is met by imports.

government steps

The Oil Ministry has instructed refineries to increase LPG production by reducing petrochemical production. The booking period for domestic gas cylinders has been increased from 21 days to 25 days to prevent hoarding and black marketing. Imported LPG is being provided to essential non-domestic sectors like hospitals and educational institutions on priority basis.

impact on industry

According to PTI sources, the impact of supply disruption is already visible in Mumbai and Bengaluru. Vijay Shetty, president of the India Hotels and Restaurants Association, says the shortage is spreading rapidly and may soon affect the entire sector.

Today’s LPG Cylinder Rate

Commercial Cylinder-

• Delhi: ₹1883 (19 kg)
• Kolkata: ₹1990
• Mumbai: ₹835
• Chennai: ₹2043.50

Domestic Cylinder (14.2 kg)-

• Delhi: ₹913
• Mumbai: ₹912.50
• Kolkata: ₹939
• Chennai: ₹928.50

Overall, the shortage of commercial LPG has become a major cause of concern for the hotel and restaurant industry and the government’s steps are an attempt to control it.