Hotels warned against ‘LPG charges’

New Delhi: The Central Consumer Protection Authority (CCPA) on Wednesday warned of action against restaurants and hotels levying fees such as “LPG charges”, “gas surcharge” and “fuel cost recovery” in consumer bills, terming any such additional billing heads as an unfair trade practice under the Consumer protection Act. Hotels warned against ‘LPG charges’

The consumer rights watchdog issued an advisory under section 10 of the Consumer Protection Act 2019, asking businesses to refrain from charging illegal levies, saying that violations would invite “strict action”.

Any fuel-related charges may constitute an unfair trade practice under the Act, according to the advisory, consumer affairs secretary Nidhi Khare said, adding that surveillance had been stepped up across cities.

Complaints have been received on the National Consumer Helpline that certain businesses were “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”, the advisory noted.

“It is reiterated that input costs, including fuel, LPG, electricity, or other operational expenses, are part of the cost of running the business, and must be appropriately factored into the pricing of menu items. Recovery of such costs through separate, mandatory charges imposed on consumers amounts,” the directive said.

“No hotel or restaurant shall levy ‘LPG charges’, ‘gas charges’ or similar charges by default or automatically in the bill,” the advisory said.