No hotel or restaurant can levy additional ‘LPG charges’, ‘gas charges’ by default or automatically in the bill, Government warns

After numerous consumers complained about inflated restaurant bills because of added LPG or gas charges, the government is taking notice and warning restaurants against automatically or by default including these costs. Recently several diners at well-known restaurants voiced their concerns about the extra ‘LPG charges’ or ‘gas charges’ appearing on their final bills.

In a press release dated March 25, 2026, the Central Consumer Protection Authority (CCPA) said they have taken serious note of hotels and restaurants levying additional charges such as “LPG charges”, “gas surcharge” and “fuel cost recovery” on consumer bills. The CCPA said adding these additional fees for LPG gas constitutes unfair trade practices under the Consumer Protection Act, 2019.

The press release said: “Observing that such charges are being imposed by default to circumvent existing guidelines on service charges, the Authority has issued a fresh advisory under Section 10 of the Consumer Protection Act 2019 directing that no such charges shall be levied automatically, and warned that violations may invite strict action.”


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.

CCPA further said that the present practice of levying “LPG charges” or similar charges is an attempt to circumvent the aforesaid guidelines by adopting a different nomenclature.

The CCPA has clarified that input costs such as fuel, LPG, electricity, and other operational expenses are part of the cost of running a business and must be factored into the pricing of menu items. Recovery of such costs through separate mandatory charges constitutes an unfair trade practice under Section 2(47) of the Act.

Also read: LPG crunch forces Delhi restaurants to scale back menus, limit group bookings

Through this advisory, the CCPA has advised that:

• No hotel or restaurant shall levy “LPG charges”, “gas charges”, or similar charges by default or automatically in the bill.
• The price displayed in the menu shall be the final price, exclusive only of applicable taxes.
• Consumers shall not be misled or compelled to pay any additional charge that is not voluntary in nature.

The advisory further reiterates that any such charges, irrespective of nomenclature, are in the nature of service charge or additional fees and their levy by default would amount to violation of the CCPA Guidelines dated 04.07.2022, and may attract action under the Consumer Protection Act, 2019.

Also read: LPG crisis: Delhi restaurateur shuts shop, says black marketeers asking ‘Rs 5000+++’ for gas cylinders

What if restaurants increase the price of food proportionately and do not separately levy an LPG charge

Apurva Agarwal, Founder, Universal Legal a restaurant is free to decide the price of its food, and that price can include all its costs - such as LPG, electricity, rent, and staff expenses. What the CCPA has objected to is not higher pricing, but the practice of adding a separate compulsory charge like “LPG charge” or “fuel surcharge” on the bill.

According to Agarwal, the key idea here is transparency. If the restaurant shows the full price of the food clearly on the menu before you order, then charging that price is fair. However, if it adds an extra charge later, which the customer was not told about earlier, it becomes misleading and can be treated as an unfair trade practice.

In simple terms, a restaurant can charge more for its food, but it should not add hidden or separate compulsory charges after the order is placed.

What should consumers do if a restaurant forces them to pay an LPG charge and refuses to remove it?

Agarwala says that the first step is to stay calm and politely ask the restaurant to remove the charge. You can mention that such charges have been discouraged by the CCPA. Sometimes, this itself resolves the issue.

According to Agarwal, if the restaurant still refuses, you should collect proof - take photos of the menu and the bill, and note the details of the place. This will help you later. Calling the police is usually not required for this kind of situation, because it is a consumer dispute, not a criminal matter. Police should be contacted only if there is serious misconduct like threats or harassment.

The proper step is to file a complaint through the National Consumer Helpline (1915), the NCH app, or the consumer portal.

Consumer grievance redressal

Consumers who encounter such practices may:

• Request the hotel or restaurant to remove the charge from the bill
• Lodge a complaint on the National Consumer Helpline by calling 1915 or through the NCH mobile app
• File a complaint before the appropriate Consumer Commission through the e-Jagriti portal
• Submit a complaint to the District Collector or directly to the CCPA.

Also read: LPG price surge cuts food orders, shrinks delivery rider earnings

The CCPA also said that they are closely monitoring such practices across the country. Any violation, including the imposition of unfair or unauthorized charges by hotels and restaurants, will be dealt with appropriately, and necessary action shall be taken by the CCPA under the provisions of the Act to safeguard the interests of consumers.