Kerala hotels, restaurants threaten strike as gas crisis deepens

Hotels and restaurants have raised prices by up to 20% to stay afloat, as many still struggle to get LPG cylinders despite booking through official channels.
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THIRUVANANTHAPURAM: Despite a government order allocating 62% of commercial LPG supply to the hotel and hospitality sector, restoration of regular supply is yet to happen, triggering protests across Kerala. Hotel and restaurant associations have announced a statewide strike on April 2, accusing gas agencies of failing to implement the directive effectively. With 70% of staffers leaving work following the LPG crisis and subsequent shutdown of restaurants, the industry is struggling to stay afloat.

Many hotels and restaurants have hiked prices—some up to 20% — to keep business going. Industry representatives said the situation on the ground remains far from normal, with many establishments still struggling to secure cylinders even after booking through official channels.

President G Jayapal of KHRA alleged that the gas agencies have taken a negligent approach toward a sector heavily dependent on uninterrupted gas supply. “We have directed our district units to identify non-complying distributors and organise protests including dharnas in front of such agencies,” said Jayapal.

With nearly 70% of the workforce reportedly leaving following the disruption, the sector is facing a severe labour crunch. Those who remain are demanding higher wages, significantly increasing operational costs. Small and mid-sized eateries have been among the worst affected.

Annie Thomas, the owner of a restaurant in Thiruvananthapuram had to down shutters on Tuesday after running out of gas. “We can reopen only after we receive fresh supply. Some say the issue is being resolved and a few have started getting cylinders, but we are still waiting. Most of the workers were migrants from Bengal. They have left,” she said. Efforts to switch to alternatives like firewood are impractical for many. “Since there are houses nearby, we cannot use it extensively. Now we cannot even make tea as the gas is fully exhausted,” she added.

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Anas Thaha, MD of a popular restaurant chain in Thiruvananthapuram, said the ground reality remains uncertain despite reports suggesting partial improvement in supply.

“We hear that around 60% supply has been released, but it is not clearly reaching everyone. We are still struggling to manage. Our workers are falling sick and they cannot work long hours in these conditions. Cooking time has become longer and service efficiency has reduced. We cannot extend shifts. Our exhaust systems are not designed for this and this is increasing maintenance cost,” said Anas.

While many establishments have so far avoided steep price hikes, pressure is mounting. “We have already reduced the menu items. A price increase seems inevitable if the crisis continues. Many others have already raised prices,” he said.

Restaurant owner Annu Kunjappan said that the situation is worse than the Covid-19 lockdown. “They say supply will be ensured through the portal system, but in reality, we are not getting cylinders. Maybe a few people manage to get it, but most small hotel owners are left with nothing. The situation is critical. Agencies are not issuing new connections,” she said.

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