The Bangalore Hotels Association that has announced on Monday that the supply of commercial gas cylinders has been stopped, creating a major crisis for the hotel industry. However, after saying the hotels will remain shut from Tuesday, the hotel association president said that the hotels will not be shuftdown.
"We will function till the last drop to serve people but the govt and MPs must discuss this matter and help the hotel owners," he said on Monday.
This disruption is expected to affect common people, senior citizens, students and medical professionals who depend on hotels for daily food.
The association in a notice said oil companies had earlier assured that there would be no disruption in gas supply for up to 70 days, but the sudden halt has come as a major blow to the industry. Hoteliers have urged the concerned Union Ministers to immediately intervene, restore the supply of commercial gas cylinders and support the hotel sector.
Due to the shortage of gas supply, hotels across the city have decided to remain closed starting tomorrow.
LPG supply is impacted due to the ongoing conflict in the Middle East following the US-Israeli attack on Iran. Meanwhile, the government has ordered refineries to boost LPG output and give priority to domestic LPG consumers.
Government sources told NDTV Profit also stated that Algeria, Australia, Canada, Norway and the UAE have approached to sell LPG.
ALSO READ: LPG Booking Period Increased From 21 To 25 days Amid Middle East Conflict: Govt Sources
On Saturday, the prices of domestic cooking gas LPG was hiked by a steep Rs 60 per cylinder. It was the second increase in rate in less than a year after the price was hiked by Rs 50 in April last year. Government officials further told NDTV Profit that the price hike in commercial cylinders is based on a hike in Saudi Arabia's crude price, noting that it has increased substantially in the past few months.
There will be no increase in retail prices of petrol and diesel as per their statements. The officials that the government has cut central excise thrice on petrol and diesel in Nov. 21, May 22 and March 24.
They said that 70% of India's crude stock is obtained from 'non-Hormuz' sources. They further said that the statement by Iran's President Masoud Pezeshkian on the Strait of Hormuz only being closed to the US, Israel and Europe was reassuring.
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