Question

The Central Consumer Protection Authority issued an advisory declaring that levying of additional charges such as ``LPG charges'', ``gas surcharge'' and ``fuel cost recovery'' in consumer bills amounts to:

• A. unfair trade practice
• B. tied selling
• C. product and service deficiency
• D. unfair contract

Hint:

Hidden surcharges, misleading pricing practices, and unauthorized extra charges generally fall under Unfair Trade Practices under the Consumer Protection Act, 2019.

Answer 1

The Correct Option is A

Concept: The Consumer Protection Act, 2019 established the Central Consumer Protection Authority (CCPA) to protect consumer rights and prevent unfair business practices.

Step 1: Understand the issue. Additional charges such as LPG charges, gas surcharges, or fuel cost recovery fees often increase the final price payable by consumers beyond the advertised price.

Step 2: Apply the legal definition. Section 2(47) of the Consumer Protection Act defines an unfair trade practice as any deceptive or misleading practice adopted for promoting the sale of goods or services.

Step 3: Evaluate the alternatives.

• Tied Selling: Compelling purchase of another product.

• Deficiency in Service: Inadequacy in service quality.

• Unfair Contract: Unreasonable contractual terms.
The advisory specifically categorized such hidden charges as unfair trade practices because they mislead consumers regarding actual prices. Hence, Option (A) is correct.