Parliament, Tuesday, 02 May 2017 – The Portfolio Committee on Energy has noted the report released by the Competition Commission calling for price and regulatory changes in the liquefied petroleum gas (LPG) industry.
The Chairperson of the Committee, Mr Fikile Majola, said this is an important survey and should benefit poor communities that rely on gas as a source of energy.
“In all sectors we need to decisively deal with collusive behaviour and situations that are conducive to collusion. If collusive behaviour is allowed to continue, only a few will benefit from our economy and radical economic transformation will become a pipe dream for many of our people,” Mr Majola said. “We welcome the assurance that the report will be tabled in Parliament soon. Many of our people rely on gas for energy and it should be an affordable option,” he said.
The Competition Commission last week released a market inquiry report into the liquefied petroleum gas industry. The report revealed that only four wholesalers account for over 90 percent of the market. The report recommends that the National Energy Regulator of South Africa and the Transnet National Ports Authority align their adjudication processes so that delays in the approval of infrastructure-related licensing becomes a thing of the past in the industry.
“Gas should be affordable and priced fairly so that where electricity is a challenge people are not condemned into cold darkness,” Mr Majola said.
ISSUED BY PARLIAMENTARY COMMUNICATION SERVICES ON BEHALF OF THE CHAIRPERSON, MR FIKILE MAJOLA
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