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NATIONAL ASSEMBLY
QUESTION FOR WRITTEN REPLY
QUESTION NO.: 531
DATE OF PUBLICATION: 25 FEBRUARY 2011
Dr M G R Oriani-Ambrosini (IFP) to ask the Minister of Economic
Development:
(1) Whether the Competition Commission (a) has received any complaints
and (b) is conducting any investigation into (i) alleged
anticompetitive practices, (ii) cartels and (iii)(aa) monopolistic or
(bb) oligopolistic positions in the field of manufacturing and
distributing of medical gases such as oxygen and purified air; if so,
when (aaa) did the investigation start and (bbb) will the
investigation be completed;
(2) whether the Competition Commission received the full cooperation of
the relevant organs of state, including the National Treasury in
respect of information related to government tenders; if not, why not;
if so, how much has the fiscus suffered by reason of the prices of
medical gases used in public hospitals being inflated by such
practices in certain provinces;
(3) whether the Competition Commission launched investigations into both
anticompetitive practices based on (a) inflating prices and (b) the
dumping of products in certain provinces in order to prevent or
discourage the entry of competition into the market?
NW577E
REPLY
(1) The Competition Commission received a complaint in June 2010 alleging
collusive tendering and market allocation in the supply of oxygen to
state hospitals. The Commission advises that investigations found no
evidence of anti-competitive behaviour with regard to the tender
process. The Commission informed the complainantâs lawyer on 25
February 2011 of its decision.
(2) National Treasury cooperated with the Competition Commissionâs
investigation and made available information and documents for this
specific tender. Given the Commissionâs finding, the question of harm
to the fiscus was not applicable in the case.
(3) I am advised by the Competition Commission that, in terms of the
Competition Act, 1998 (Act No 89 of 1998) and as set out in Rule 14 of
the Competition Commission Rules, the following information, inter
alia, is treated as confidential and restricted: Description of
alleged prohibited conduct and any other information received by the
Competition Commission in its investigation of the complaint. Such
information is no longer deemed restricted once a notice of referral
or non-referral has been issued.