The Central Consumer Protection Authority (CCPA) has prohibited hotels and restaurants from adding extra charges such as LPG fees, gas surcharges, or fuel-related costs to customer bills, calling the practice unfair and misleading.
The authority clarified that customers should only be charged the price displayed on the menu along with applicable taxes. Any additional amount imposed under separate headings, such as fuel recovery or gas charges, will be treated as a violation of consumer protection rules.
The directive follows a rise in complaints from consumers who found unexpected charges added to their bills while dining out. Many establishments were reportedly including fees labeled as “LPG charges” or “fuel surcharge,” increasing the final payable amount without prior transparency.
According to the CCPA, operational expenses like cooking gas, electricity, and other overheads are part of a business’s cost structure. These must already be factored into menu pricing and cannot be passed on to customers as separate line items. The regulator stressed that such practices distort pricing and mislead consumers.
The authority also observed that some restaurants were using alternative names for these charges in an attempt to bypass existing norms, including guidelines around service charges. It made it clear that simply renaming such fees does not make them permissible under the law.
Warning of strict enforcement, the CCPA said it will monitor compliance closely and take action against establishments that continue to impose such charges. Penalties may be applied under provisions of consumer protection law for engaging in unfair trade practices.
Consumers have been encouraged to remain vigilant and check their bills carefully. If any unauthorized charges are found, they can request removal of the fee. In cases where businesses refuse to comply, customers can file complaints through official consumer grievance platforms.
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