LPG shortage shuts 30% of Chennai hotels

The city’s hospitality sector is bracing for a turbulent holiday and wedding season. While hotels fear occupancy could plunge, caterers worry orders could be cancelled if the LPG crunch continues.

At least 30% of the 10,000-odd hotels in and around Chennai downed shutters on Thursday, while larger chains explored biogas alternatives. “But chefs complain that biogas slows cooking. The operating cost has also shot up,” said Chennai Hotels Association president M Ravi, who leads Namma Veedu Vasantha Bhavan. Many outlets are unable to switch to firewood, as modern kitchens lack proper equipment and chefs are untrained in its use, he said.




There are more than 3,000 hotels that are three-star and above in the state. “Since international travel has been affected due to the West Asia crisis, we thought we could tap into domestic tourism. But now the cooking fuel crisis has dampened the prospects. If this continues, our occupancy rate, which is around 90% during the holiday season, will drop to 60%,” said Vikram Cotah, chairman of the Tourism Task Force of CII, CEO, GRT Hotels and Resorts.

He said hotels may have to focus on food for guests and stop serving outsiders at restaurant tables. Hotel representatives feel the crisis may put a dampener on large-scale marriages and other events held at banquets. “We have commercial-grade electrical induction cookers and dosa makers. But, they are not much help for preparing on-thespot dosa, chapatis, etc,” said Cotah.

T Natarajan, secretary of South India Hotels and Restaurants Association, said the occupancy rates felt the pinch early as international travel was hit due to the war. “Our association has made a representation to the govt to find a solution for this issue,” he said.

Meanwhile, firewood dealers are struggling to meet the surging demand from hostels, hotels and catering firms. “The cost of 25kg of firewood has jumped from ₹400 to ₹420 in just a few days,” said S Muthu from Sridharan firewood depot, New Washermanpet.
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