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CONSUMER PROTECTION WATCHDOG CAUTIONS HOTELS AGAINST ‘GAS CRISIS LEVY’

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Sanjay Kumar Mishra/Chandigarh

The Central Consumer Protection Authority has raised concerns over hotels and restaurants adding extra charges such as ‘LPG charges’, ‘gas surcharge’, and ‘fuel cost recovery’ to customer bills. Consumer Central Protection Authority termed such levies as an “unfair trade practice”

The Ministry of Consumer Affairs, Food and Public Distribution said on Wednesday that such practices have been identified as unfair trade practices. According to the ministry, the CCPA has also cautioned that any violation of these directions could attract strict action under the Consumer Protection Act, 2019.

The CCPA has observed, based on grievances received on the National Consumer Helpline (NCH), and media reports, that certain hotels and restaurants are levying such charges in the consumer bill by default, over and above the price of food and beverages displayed in the menu and applicable taxes. Such practices result in lack of transparency and impose unjustified costs on consumers.

Addressing the levy of any forced surcharge amidst the West Asia crisis’ impact on LPG supplies, the Consumer Central Protection Authority (CCPA), in an advisory issued through Press Information Bureau on Tuesday (March 24, 2026), asked restaurants and hotels to not levy any unfair additional charges, such as ‘gas surcharge’, ‘fuel cost recovery’ or ‘gas crisis charge’, over and above the final price of food.

The watchdog termed such levies as violation of existing guidelines, in addition to being an “unfair trade practice” as it entails “unjustified costs and lack of transparency”.

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