Hotels may shut if LPG supply not resumed: Bengaluru Hotels Association

Raising concerns over the supply of commercial LPG cylinders amid the West Asia conflict, the Bangalore Hotels Association on Monday (March 9, 2026) warned that restaurants across Bengaluru may have to shut down if the supply is not resumed.

Also read: West Asia conflict updates on March 9, 2026

Association president P.C. Rao said the supply of commercial gas cylinders to hotels had been stopped from Monday (March 9, 2026), which could severely affect the hotel industry. The sector, he said, is considered an essential service and is relied upon by a large number of people, including students, senior citizens and others who depend on hotels for their daily meals.

Sudden stoppage

“The oil companies had earlier indicated that there would be no disruption in gas supply for around 70 days. However, the sudden stoppage of supply has come as a setback for the industry. While the restaurants may not close on Tuesday (March 10, 2026), if the supply does not resume, a situation is expected where eateries will be forced to shut,” Mr. Rao told The Hindu. 

The association has requested the Central Government and the concerned Ministers to intervene immediately and ensure that the supply of commercial LPG cylinders is restored at the earliest.

S.P. Krishnaraj of Nisarga Grand, on Infantry Road, told The Hindu that the situation is worrying for hoteliers, as they have been informed that filling of commercial LPG cylinders has not been taking place since March 7. He said that in such circumstances, the concern is not just about business losses but also about the uncertainty faced by those who depend on alternative arrangements, including their own staff who rely on meals provided at these establishments.

Mr. Krishnaraj said that a meeting was held with the concerned authorities, during which they were informed that priority would first be given to domestic consumers, with commercial users to be supplied later. In such a situation, he said, hotels may be forced to shut operations within a day or two if the issue is not resolved.

Hike not justified: CM

Karnataka Chief Minister Siddaramaiah, meanwhile, criticised the Centre over the recent increase in LPG cylinder prices, saying the hike was not justified. 

Speaking to reporters on Monday (March 9, 2026), the Chief Minister said the Central Government had increased the price of commercial LPG cylinders by ₹115 and domestic cylinders by ₹60, arguing that many people believe the hike is excessive and inappropriate. He said there was apprehension about supply issues but added that the price increase was a separate matter.