Centre lifts commercial LPG curbs as restaurants regain supply

BENGALURU, June 26, 2026 — Karnataka restaurants are gaining LPG relief as the Union government removes commercial LPG supply curbs that had limited availability for eateries and hotels across the state. The move restores supply of non-domestic LPG to levels seen before recent supply disruptions.

The Ministry of Petroleum and Natural Gas said Thursday that all restrictions on commercial LPG deliveries have been lifted, ending months of constrained supply for restaurants and cafeterias that depend on liquefied petroleum gas for cooking. The decision follows improved production and availability of import cargoes that eased pressure on domestic distribution.

Commercial LPG supply normalises for eateries

The removal of curbs applies to Non-Domestic Packed LPG, widely used by restaurants, hotels and small food businesses. Bulk LPG supplies, which were limited during the early supply crunch, have also been partly restored, offering further relief to larger kitchens and institutional users.

During the supply disruption, many eateries in Bengaluru and elsewhere reported having to trim menus, shorten hours or temporarily halt certain services because LPG cylinders were scarce and expensive. Restaurateurs had earlier raised concerns about limited allocation of commercial cylinders.

Why the curbs were imposed

The government had invoked powers under the Essential Commodities Act earlier this year to prioritise household LPG as geopolitical tensions in West Asia disrupted shipping routes and tightened global energy markets. Feedstock for LPG production was directed to household cylinders to safeguard domestic cooking fuel availability through the crisis.

With easing of international pressure and enhanced domestic production, commercial users can now expect steadier LPG delivery, fueling more consistent restaurant operations and helping the hospitality sector recover from earlier constraints.

"Restoring full commercial LPG supplies will help restaurants operate without reducing menu offerings or hours," said an industry representative, noting that reliable fuel access is critical for kitchen workflows.

Government officials have encouraged continued monitoring by oil marketing companies to ensure distribution meets demand for restaurants and other commercial consumers as the sector returns toward normal activity.

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