The Central Consumer Protection Authority (CCPA) has issued a fresh advisory making it clear that hotels and restaurants cannot automatically add extra charges like “LPG charges”, “gas surcharge” or “fuel cost recovery” to customers’ bills.

Calling such practices unfair under the Consumer Protection Act, 2019, the regulator said that expenses like fuel, LPG and electricity are part of a business’s operational costs and should already be included in menu prices — not charged separately to consumers.

In its March 25 advisory, the CCPA warned that any violation of these directions could invite action under the law.

The move comes at a time when India is facing an LPG supply crunch due to geopolitical tensions in West Asia. Reports suggest that disruptions linked to the Iran conflict, particularly around the Strait of Hormuz — a key route for LPG imports — have impacted global supply chains.

The advisory follows multiple complaints received through the National Consumer Helpline and media reports highlighting that eateries were increasingly adding such charges under different names, over and above menu prices and applicable taxes.

Referring to its earlier guidelines issued on July 4, 2022 regarding service charges, the CCPA reiterated that the listed price of food already includes both goods and service components. Any mandatory charge beyond the displayed price would amount to an unfair trade practice.

It further clarified that adding such charges reflects a lack of transparency and unfairly shifts business costs onto consumers. Even if these charges are labelled differently, they will still be treated as service charges or additional fees, and therefore a violation of existing norms.

The authority has directed that no such charges should be imposed automatically. Menu prices must reflect the final amount payable by customers, apart from applicable taxes.

Consumers, the advisory said, should not be misled or forced to pay any extra amount that is not part of the menu price or is not voluntary.

It also outlined remedies for customers, including asking the establishment to remove such charges from the bill, filing complaints with the National Consumer Helpline, or approaching consumer courts.

The advisory has been circulated to all States and Union Territories, district authorities, the Ministry of Tourism, and industry bodies such as the Federation of Hotel and Restaurant Associations of India (FHRAI) and the National Restaurant Association of India (NRAI)