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India Deep Research · 4 sources May 16, 2026 · min read

CP Restaurants Struggle for PNG, Menu Prices May Rise 10-20%

Restaurant owners in Connaught Place face hurdles getting piped natural gas despite relaxed norms. Rising LPG costs may force menu price hikes of 10-20%.

ISHRAFIL KHAN

ISHRAFIL KHAN

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CP Restaurants Struggle for PNG, Menu Prices May Rise 10-20%
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TL;DR — Quick Summary

Restaurants in Delhi’s Connaught Place are struggling to get piped natural gas connections even after the government relaxed norms. With LPG costs rising, owners say they may have to hike menu prices by 10-20% to stay afloat.

Key Facts
Location
Connaught Place, Delhi
Issue
Restaurants unable to get PNG connections despite relaxed government norms
Impact
Potential menu price hike of 10-20%
Reason
Rising LPG costs forcing owners to consider price increases
Source
Hindustan Times report

Restaurant owners in Delhi’s Connaught Place are facing a frustrating problem. Even after the government relaxed the rules for getting piped natural gas (PNG) connections, many eateries still can’t get one. This is now pushing them toward a tough decision — raising menu prices.

Why PNG Connections Are Stuck Despite Relaxed Norms

According to a report by Hindustan Times, the government had eased the process for restaurants to switch to PNG. The idea was to make cooking fuel cheaper and more reliable. But in Connaught Place, one of Delhi’s busiest commercial hubs, the rollout has hit a wall.

Restaurant owners say they have applied for connections but are facing delays. The exact reasons for the holdup aren’t fully clear from the report, but the result is the same — they are stuck with LPG cylinders, which are getting more expensive by the day.

Rising LPG Costs Force a Hard Choice

With PNG not available, restaurants have no choice but to keep using LPG. And the cost of LPG has been climbing steadily. This is eating into their profit margins.

Owners now say they may have to increase menu prices by 10% to 20% to cover the higher fuel costs. For diners in Connaught Place, that could mean paying significantly more for their next meal out.

"The rising cost of LPG is making it very difficult to run the business. Without PNG, we have no option but to pass on some of the burden to customers." — Restaurant owner quoted in Hindustan Times

What This Means for Diners and the Industry

For regular visitors to Connaught Place, this is bad news. A price hike of 10-20% means a meal that cost ₹500 could soon cost ₹550 to ₹600. For families and office workers who eat out frequently, the impact adds up quickly.

For the restaurant industry, the situation highlights a bigger problem. Even when the government relaxes norms, ground-level implementation can still fail. If PNG connections don’t come through soon, more restaurants may be forced to raise prices — or worse, shut down.

Our Take: A Fixable Problem That Needs Urgent Action

Looking closely at this, the issue isn’t about policy — it’s about execution. The government has done its part by relaxing the norms. But if the gas companies or local authorities aren’t processing applications fast enough, the policy means nothing.

The bottom line: This is a fixable problem. A coordinated push by the Delhi government and gas distribution companies could clear the backlog in weeks. If that doesn’t happen, Connaught Place’s famous food scene could become noticeably more expensive — and that hurts everyone.

Sources & References

  1. CP restaurants struggle to get PNG despite relaxed norms, may hike menu prices — Hindustan Times
ISHRAFIL KHAN

Written by

ISHRAFIL KHAN

Senior Reporter