diff --git a/hgext/zeroconf/__init__.py b/hgext/zeroconf/__init__.py
--- a/hgext/zeroconf/__init__.py
+++ b/hgext/zeroconf/__init__.py
@@ -35,6 +35,7 @@
     extensions,
     hg,
     pycompat,
+    rcutil,
     ui as uimod,
 )
 from mercurial.hgweb import server as servermod
@@ -144,7 +145,8 @@
         prefix = app.ui.config(b"web", b"prefix", b"").strip(b'/') + b'/'
         for repo, path in repos:
             u = app.ui.copy()
-            u.readconfig(os.path.join(path, b'.hg', b'hgrc'))
+            if rcutil.use_repo_hgrc():
+                u.readconfig(os.path.join(path, b'.hg', b'hgrc'))
             name = os.path.basename(repo)
             path = (prefix + repo).strip(b'/')
             desc = u.config(b'web', b'description')
diff --git a/tests/test-hgrc.t b/tests/test-hgrc.t
--- a/tests/test-hgrc.t
+++ b/tests/test-hgrc.t
@@ -299,3 +299,11 @@
   $ killdaemons.py
   $ cat access.log
   $ cat errors.log
+
+Check that zeroconf respect HGRCSKIPREPO=1
+
+  $ hg paths --config extensions.zeroconf=
+  hg: parse error at $TESTTMP/.hg/hgrc:3: [broken
+  [255]
+  $ HGRCSKIPREPO=1 hg paths --config extensions.zeroconf=
+  foo = $TESTTMP/bar