Hyderabad hotels hike prices, add gas charges
HYDERABAD: A gas shortage linked to ongoing global tensions has pushed up food prices in city hotels, with establishments adding a separate “gas charge” of 5% on bills.
Hotels across Hyderabad have increased menu prices by ₹10 to ₹30 within a week. Customers are now paying an additional burden beyond the existing 5% Goods and Services Tax (GST). On a ₹500 bill, consumers are paying nearly ₹50 extra after taxes and gas charges.
Hotel owners said the price rise is due to increased gas costs and raw material prices. A notice at a Udupi hotel in Secunderabad read: “Due to current war conditions, gas prices and input costs have increased. We have raised our prices by 5%. Thank you for your support.”
Commercial cylinder supply falls sharply
Supply of commercial Liquefied Petroleum Gas (LPG) cylinders has dropped following directives from the Union petroleum ministry prioritising domestic use.
Hotels said availability of cylinders has reduced significantly. While the official price of a commercial cylinder is ₹2,105, black market rates have surged to ₹4,500–₹5,500.
Owners said they are forced to procure cylinders at higher rates due to shortages and rising prices of alternative fuels such as coal and firewood. “We are unable to absorb the cost and have added a 5% gas charge directly to the bill,” they said.
Menu prices see steady increase
Average revised prices include:
Idli: ₹40–₹60 to ₹60–₹80
Masala dosa: ₹30–₹45 to ₹40–₹55
Poori/vada: ₹40–₹50 to ₹50–₹65
Single biryani: ₹160–₹170 to ₹170–₹190
Meals: ₹110–₹140 to ₹120–₹150
Tea/coffee: ₹15–₹20 to ₹20–₹25
Items requiring higher gas usage have seen sharper increases.
Up to 2,000 small hotels shut in a week
Supply gap widens as priority shifts to essential sectors
The shortage has severely hit the hotel industry. Authorities have diverted gas supply to priority sectors such as households, transport, hospitals, schools and hostels.
Hyderabad has around 70,000–80,000 restaurants and tiffin centres. In the past week, 1,500 to 2,000 small hotels, roadside stalls and tiffin centres have shut down.
Many hotels have reduced menu items, removing dishes that require longer cooking time. Some have shifted to induction stoves and firewood.
Industry warns of deeper crisis ahead
Hotel associations said the sector needs 18,000 to 23,000 commercial cylinders daily but is receiving only about 6,200.
They warned that the next 15 days are critical. If the shortage continues, the industry could face heavy losses. Nearly 5 lakh workers dependent on the sector may lose their livelihood.
Consumers, meanwhile, are bearing higher costs for eating out.
