PNG also hit after LPG cylinder shortage; IGL imposes 20% cut on piped gas supply for these Delhi-NCR users

According to TOI, the mounting fuel shortage resulting from the West Asia conflict has officially breached the national capital’s piped gas network, forcing Indraprastha Gas Limited to impose a sharp 20% cut in supply for all commercial and industrial tenants from March 11. This supply crunch, mandated by government notifications to protect domestic consumers, has already crippled the capital’s hospitality sector, with more than a dozen restaurants in areas such as Paharganj and Vasant Kunj suspending operations on Wednesday. As piped gas pressure drops and commercial LPG cylinders become unusable even at high gray market rates, industry leaders warn that the city’s food infrastructure will be completely paralyzed by next weekend.

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IGL Imposes Mandatory 20% Supply Cut on Piped Gas

Reliance on Piped Natural Gas (PNG) as a stable alternative to cylinders has failed to insulate Delhi’s hospitality giants from the current global energy shock. Indraprastha Gas Limited (IGL) has issued an official advisory that all commercial and industrial customers should be restricted to only 80% of their average six-month consumption.
These restrictions came into force at 6 am on Wednesday, March 11, according to a notification issued by Ambience Mall in Vasant Kunj, citing the IGL advisory. Amit Bagga, co-founder of Daryaganj Hospitality, told TOI that this new 20% cut is expected to force “a large number of restaurants” to close permanently or until the crisis subsides, as PNG had previously ranked Delhi better than other cities.

Emergency Closures with Zero Stock and Zero Supply Power

The impact of gas shortage is felt most intensely in high-traffic food hubs like Paharganj. Meher Tandon, owner of Kashmir Chur Chur Naan, told TOI that her establishment was forced to close the shop on Wednesday after its existing stocks ran out. Tandon explained that his restaurant, which usually uses three to four cylinders a day, struggled to survive on just one cylinder a day before the supply reached zero. The crisis has even spread to corporate kitchens; According to reports made available to TOI, the lawyers’ canteen in the Delhi High Court had to briefly halt its main course menu on Wednesday morning due to unavailability of cooking gas.

Industry Leaders Warn of Upcoming Weekend Closings

As the commercial LPG and PNG pool shrinks, restaurant owners are looking for alternative cooking methods. Anurag Katriar, founder of Indigo Hospitality, told TOI that many business owners are now considering “switching to induction-based cooking” to maintain continuity, but the switch may take a few days.
Highlighting the seriousness of the situation, NRAI vice president Zorawar Kalra told TOI that many establishments have already switched to shortened menus. Kalra warned that a significant number of the five lakh restaurants represented by the association may run out of fuel completely by the end of the week as supply is “rapidly dwindling and depleting”.

Emergency Advice for Commercial Tenants

In response to IGL’s recommendation, major commercial real estate managers began issuing emergency protocols to kitchen tenants. Ambience Mall has advised its outlets to keep “electric cooking appliances as a backup” to ensure they can remain operational during temporary PNG outages. This shift towards electricity comes as the NRAI has officially pressured the government to recognize the restaurant industry as an essential service to ensure priority access to commercial LPG cylinders and cloud kitchen fuel supplies before the supply chain collapses completely.
(With TOI entries)