LPG Shortage In Shimla Forces Wedding Cancellation, Hits Tourism And Hospitality Sector
With around 50% of advance bookings cancelled in Shimla alone, hoteliers are facing financial losses.
Published : March 20, 2026 at 7:24 PM IST
Shimla: The constant shortage of LPG cylinder supply in the capital city of Himachal Pradesh has triggered widespread disruption across tourism, hospitality, and local businesses. The crisis has escalated to the extent that a family was forced to cancel a planned wedding at the last moment.
The Bikta family from Theog had booked Golden Fern Resort for their wedding. Preparations were complete, invitations had been printed, and guest accommodations were arranged two months in advance. However, due to the sudden shortage of gas cylinders, the resort was unable to cook food at scale, so the family had to cancel the event at the hotel. The wedding was later solemnised at a temple in an intimate ceremony.
According to the resort management, multiple weddings were scheduled simultaneously, but the shortage of gas made it impractical to cater to over 100 guests using induction cooktops. Resort manager Jyoti Guleria said the situation was embarrassing, but the family cooperated. She said the hotel suffered a loss of nearly Rs 10 lakh.
Tourism Hit as Bookings Decline
Industry stakeholders say that the shortage of commercial LPG cylinders has plunged Himachal Pradesh's tourism-driven economy into a serious crisis. With around 50% of advance bookings cancelled in Shimla alone, hoteliers are facing financial losses.
For instance, March is a peak tourist season; however, it has seen a dip in activities in the region. Hotels that typically record 80–90% occupancy on weekends are witnessing cancellations. Prince Kukreja, Vice President of the Hotel Association Shimla, said tourists are reconsidering bookings and many are cancelling or shifting to other destinations. If the situation persists, the tourism sector could see a 30–40% decline in the coming weeks.
The crisis has also hit the destination wedding and corporate event segment in Shimla and nearby regions such as Manali, Dharamshala, and Dalhousie. Many pre-booked events are being cancelled or postponed.
Hotel operators say cooking on induction is viable only on a small scale as electricity costs have surged by 20–30%. The association has urged both state and central governments to restore supply immediately as hotels may be forced to shut down if the situation does not improve within days.
50% Advance Bookings Cancelled
Rajeev Agarwal, owner of Hotel Landmark, said commercial gas supply has reduced over the past few days. It has affected hotel kitchens as they completely depend on LPG. "We usually maintain a 4–5-day stock, but with supply halted, it is nearly exhausted. Around 50% of advance bookings have been cancelled in the last few days," he said.
He added that reassuring guests about normal services has become difficult. A single wedding cancellation, he said, can result in losses between Rs 10 to Rs 20 lakh.
Wider Impact on Businesses and Daily Life
The crisis is not limited to hotels. Several small eateries in Lakker Bazaar have shut down, while others are on the verge of closure. Dhaba owners say the lack of gas has left them without income.
Demand for induction stoves has surged in local markets, and the daily sales have doubled, with prices rising from around Rs 2,500 to Rs 3,000 or more. Residents say gas refills, once available quickly, now take up to 25 days. Even neighbours are reluctant to share spare cylinders due to scarcity.
Additionally, the shortage has forced kitchens supplying food to the Himachal Pradesh Legislative Assembly to switch to traditional wood-fired stoves. Hundreds of meals are being prepared daily using firewood, which has increased both labour and costs. Similar arrangements are being made in hotels operated by the Himachal Pradesh Tourism Development Corporation.
Cooks say preparing food for nearly 800 people on wood-fired stoves is extremely challenging, but there are no alternatives. The impact has extended to religious institutions as well. At the Kali Bari Temple, the preparation of halwa prasad and community meals has been suspended due to irregular gas supply. The temple management said the shortage has made it impossible to continue large-scale food preparation.
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