Reports of LPG cylinder shortage gripping States across India have cast a long shadow over Goa, a state whose very identity hinges on the tourism industry. The president of the National Restaurant Association of India (NRAI), a body that represents the interests of around 5 lakh restaurants across India, stated that approximately 50 per cent of restaurants could be forced to shut down in the next two to three days if the supply of commercial LPG cylinders is not resumed.
On Tuesday, the Centre tried to allay fears, assuring citizens that authorities are actively working to meet the country’s oil and energy requirements and that the sourcing strategy is being reworked, widening the supply chain from 28 to 40 destinations. Also, the government has reworked gas allocation with LPG, CNG and piped cooking gas getting top priority.
The panic in Goa is palpable because the majority of the restaurants, beach shacks and catering services rely on LPG for their businesses. A 25-day stockpile does not sound convincing, and although the Iran crisis seems distant, it is threatening to choke the lifeblood of Goa’s economy. The practical understanding of Goa will not be an exception when other States are struggling. Moreover, there are no signs of an immediate end to the ongoing war.
While the government has assured that India’s energy supplies remain stable, the palpable panic among restaurant owners, beach shacks, and catering services in Goa underscores a critical disconnect between national assurances and local realities. Restaurant owners and beach shack operators warn that without a steady supply of LPG, their businesses may soon grind to a halt, just the way it happened in other States. Hoteliers across India have cited a shortage of cooking gas supply. It is feared that 20 per cent of restaurants in Mumbai are forced to shut due to the situation. Business outlets in Bengaluru, Delhi, Kolkata, Hyderabad and parts of Karnataka have already been facing the heat.
Goa needs to worry because its tourism sector is heavily dependent on hospitality and restaurants. The immediate threat isn’t merely about inconvenience; it’s about survival. The shutdown of eateries would not only devastate livelihoods but also make it very hard for Goa’s economy. On the flip side, LPG shortage will have a ripple effect fuelling a price hike, adding to the woes.
Political leaders, including the Opposition in Goa’s Legislative Assembly, called for urgent interventions on Tuesday demanding a stakeholder meeting. This should have been either ways a priority of the State government. We cannot find comfort in mere assurances from the Centre because we are staring at a catastrophic situation. The government must prioritise dialogue with the Centre and also take the suppliers and distribution network into confidence.
The concern raised by the members of the House is justified in the wake of what is happening in other States. The State government should spell out options available, prepare a back-up plan to mitigate the crisis, should Goa get hit by a shortage. The closure of restaurants across India and the disruption of the supply chain are indications that we are in for troubled times. While India’s broader energy policy is commendable, it must translate into immediate relief.
