Karnataka Hotels Association Urges Centre to Cut Commercial LPG Cylinder Prices by July 15 Amid Falling Global Crude Rates
Bengaluru, June 27: The Karnataka State Hotels Association (KSHA) has urged the Central Government to roll back commercial LPG cylinder prices to February 2026 levels by July 15, citing a sharp decline in international crude oil prices and mounting financial pressure on hotels and restaurants across the state.
In a statement, KSHA President G.K. Shetty said the hospitality industry has been severely affected by the steep increase in commercial LPG prices and supply shortages witnessed over the past few months.
According to the Association, commercial LPG cylinders were priced at around ₹1,800 in February. After dealer discounts, hotels and restaurants were purchasing them for approximately ₹1,650–₹1,700 per cylinder.
Shetty said the conflict involving the United States and Iran had significantly disrupted global gas supplies, leading to a sharp increase in commercial LPG prices.
“Initially, supplies were severely affected before gradually recovering to 20 per cent, 50 per cent and eventually around 70 per cent. These disruptions resulted in a steep increase in commercial LPG prices,” he said.
The Association claimed that hotels and restaurants are currently paying around ₹3,198 for a commercial LPG cylinder—nearly double the price they paid a few months ago.
Pointing out that international crude oil prices have now fallen to around US$70 per barrel, nearly the same level as in February, the KSHA said there is a strong case for revising commercial LPG prices.
“In view of the correction in global crude oil prices, we urge the Central Government to revise commercial LPG cylinder prices accordingly. We request that, from July onwards, the price of commercial LPG cylinders be brought back to the February level so that the hotel industry receives much-needed relief,” Shetty said.
The Association said reducing commercial LPG prices would provide significant relief to restaurants and hotels, which have been grappling with rising operational costs.
The demand has been made by the Karnataka State Hotels Association. There was no immediate response from the Central Government to the Association’s request.
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