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  Hotels, Restaurants seek government intervention amid LPG supply disruptions

Hotel and restaurant businesses are facing uncertainty over the supply of liquefied petroleum gas (LPG) after disruptions along key road routes have affected the distribution of cooking gas.

The government has reportedly indicated that hotels and restaurants may need to arrange LPG supplies themselves amid efforts to ensure smooth availability of cooking gas for households following the disruption caused by the recent Bhotekoshi floods.

The development has raised concerns in the hospitality sector, particularly as Nepal enters a period of increased tourist arrivals. Businesses say they cannot turn away tourists or tell them that food cannot be served due to a shortage of cooking gas.

Hotel Association Nepal President Binayak Shah said the association is preparing to hold discussions with the government on Thursday afternoon to seek a practical solution.

“We are going through a national disaster and are in a very sensitive situation. We cannot tell tourists not to come, nor can we tell those who have already arrived that we cannot provide them food,” Shah said. “We are sitting down with the government today with the objective of finding a solution to the problems faced by everyone.”

The Nepal Oil Corporation has restricted LPG distribution for commercial purposes, citing disruptions along the Krishnabhir road section, where the road has subsided. The damaged road has made transportation of cooking gas more difficult and has affected the regular supply chain.

Gyaneshwor Aryal, president of the Gas Sellers Federation Nepal, said LPG suppliers are struggling to maintain distribution after being forced to use alternative routes.

He said transporting gas even in smaller vehicles has become difficult because of the narrow alternative roads, making it challenging to meet consumer demand.

“Gas is currently being supplied through narrow roads. This has increased transportation costs and made timely delivery difficult,” Aryal said. “We have been doing our best to maintain supplies according to demand.”

The hospitality sector is now seeking government intervention to ensure that hotels and restaurants receive sufficient LPG supplies while household consumers also continue to get uninterrupted access to cooking gas.

[ 3 September 2026 / fiscalnepal.com ]   
 

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