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This is an archive article published on January 11, 2023

Chandigarh consumer court penalises Indian Oil Adani Gas Agency for levying minimum charges

The District Consumer Disputes Redressal Commission of Chandigarh has fined the gas firm and its managing director of Rs 1.20 lakh and directed it to discontinue the practice of charging consumers who have made zero gas consumption.

Manjusha Rani stated in her complaint before the commission that she was having two Piped Natural Gas connections provided by the Indian Oil Adani Gas Private Limited. (Representational)Manjusha Rani stated in her complaint before the commission that she was having two Piped Natural Gas connections provided by the Indian Oil Adani Gas Private Limited. (Representational)
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Chandigarh consumer court penalises Indian Oil Adani Gas Agency for levying minimum charges
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The consumer court in Chandigarh has penalised the Indian Oil Adani Gas Private Limited and its managing director at Chandigarh of Rs 1.20 Lakh, for demanding minimum charges in case of non-consumption of gas.

The District Consumer Disputes Redressal Commission of Chandigarh on December 15 directed the opposite parties, “as per Section 39(g) of the Consumer Protection Act, 2019 to discontinue the unfair trade practice of charging their consumer(s) without any consumption under the garb of minimum charges without getting the consent and knowledge of the customer/consumer and further not to repeat this unfair trade practice to gain unnecessary monetary benefits.”

Manjusha Rani, 61, of Chandigarh stated in her complaint before the commission that she was having two Piped Natural Gas (PNG) connections provided by the Indian Oil Adani Gas Private Limited. She further stated that though there was zero consumption of gas from September 1, 2020, to October 31, 2020, the gas agency sent a bill of Rs 236, including meter rental and taxes. She stated that at the time of installing the PNG Gas as well as in the agreement signed at the time of making connections and depositing the security amount, there was no mention of any minimum charges.

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The complainant raised the issue with the agency but to no avail. Hence she got the gas connections disconnected for which the agency also charged Rs 1,180, including taxes.

Manjusha Rani alleged that the agency cannot charge for zero consumption and that there was no clause of minimum charges in case of non-consumption of gas.

In its reply, the Indian Oil Adani Gas and its managing director stated that if the consumption is below the minimum threshold, then the minimum charges are applied as per their tariff card, which is available in the public domain. It also stated that the charges for the permanent disconnection of the meter are also mentioned in the tariff card.

The consumer court, after hearing the matter, said that the opposite parties, Indian Oil Adani Gas Private Limited, and its MD, failed to place on record any such terms and conditions duly brought to the notice of the complainant/consumer well before installing or issuing the gas connections in question. Thus, they are “not justified in demanding or charging any amount against any head, which has never been brought to the notice of consumer/complainant” well before providing such a facility, it remarked.

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The commission observed that the complainant had to surrender her connections as part of “the mental agony and harassment suffered” due to the deficient and unfair acts of the opposite parties. “Though the mental harassment could not be compensated in terms of money certainly a reasonable amount of compensation is required to be paid and also this practice needs to be curbed, where the consumer is taken by surprise by raising demand of minimum charges which were never clarified at the time of availing service,” it said.

The consumer court held that the deficiency in service as well as unfair trade practice resorted to by the Indian Oil Adani Gas Private Limited and its MD have been proved. It thus ordered the agency and its MD to pay a lump sum amount of Rs 20,000 to the complainant towards compensation and litigation expenses. The commission also directed the agency and its MD to deposit an amount of Rs 1lakh in the “Consumer Legal Aid Account”.

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