In a major relief for diners, the Central Consumer Protection Authority (CCPA) issued a nationwide advisory on March 25, 2026, directing hotels and restaurants to immediately stop levying “LPG surcharges” or “fuel cost recovery” fees on customer bills.
The move follows a surge in complaints to the National Consumer Helpline (NCH) where customers reported seeing additional charges ranging from ₹15 to ₹60 per bill, often labeled as “Gas Crisis Charge” or “LPG Revision Fee.”
1. The Verdict: An “Unfair Trade Practice”
The CCPA, led by Chief Commissioner Nidhi Khare, has classified these surcharges as a violation of the Consumer Protection Act, 2019.
- Operational Costs: The government clarified that fuel, LPG, electricity, and water are “input costs” of running a business. These must be factored into the menu price of the food and cannot be billed as separate, mandatory line items.
- Circumvention of Law: The regulator noted that these fees are a “transparent attempt” to bypass the existing 2022 guidelines that prohibit the automatic levying of Service Charges.
- Final Price Rule: The price displayed on the menu must be the final price, exclusive only of applicable government taxes (GST).
2. Why Restaurants Started Charging It
The surcharge began appearing in early March 2026 as a direct result of the West Asia energy crisis.
| Cause | Impact on Restaurants |
| Hormuz Blockade | 90% of India’s LPG imports are delayed or diverted. |
| Prioritization | Govt has diverted LPG to households; commercial supply is cut by ~40%. |
| Black Market | Commercial cylinders reportedly hit ₹3,000–₹5,000 in some cities. |
| The “Surcharge” | Small eateries added 5–10% “fuel fees” to avoid changing printed menus daily. |
3. What to Do if You See a Surcharge
If you are presented with a bill containing an “LPG charge” or “Gas surcharge” today, the government has outlined a clear 4-step recourse:
- Request Removal: Show the restaurant staff the CCPA Advisory (dated March 25, 2026) and ask them to remove the illegal charge.
- Call 1915: If they refuse, lodge a complaint on the National Consumer Helpline (NCH) by dialing 1915 or using the NCH mobile app.
- WhatsApp Reporting: You can also report the restaurant by sending a message to the official NCH WhatsApp number: 8800001915.
- e-Jagriti Portal: For persistent violations, consumers can file a formal complaint through the e-Jagriti portal for a consumer commission hearing.
4. Industry Reaction
The National Restaurant Association of India (NRAI) has advised its members to comply with the order but warned that a general price hike is inevitable.
“All restaurants should mark up their menu prices if they feel the pressure of LPG costs instead of levying an extra charge,” said Sagar Daryani, President of the NRAI. “We expect a 10–15% increase in food prices across the board by April if the supply situation does not stabilize.”
