Acsa fined R2m for failed attempt at price-fixing

2015-03-29 17:00

Multimedia   ·   User Galleries   ·   News in Pictures Send us your pictures  ·  Send us your stories

Acsa fixed parking prices at OR Tambo, Gautrain

South Africa’s competition authorities are uncovering collusion and anticompetitive practices at an alarming rate. The latest case sees a South African parastatal being penalised for attempted price-fixing.

Airports Company SA (Acsa) appeared before the Competition Tribunal this week and admitted to being involved in the proposed fixing of prices charged for parking bays supplied to car hire companies.

Acsa has agreed to settle the case with the Competition Commission and pay a fine of slightly less than R2?million.

The consent-order agreement, which details the settlement between the commission and Acsa, states that the commission began its investigation into the matter on July 10 2012.

The investigation focused on the supply of parking bays to car hire companies at OR Tambo International Airport and the Sandton Gautrain station.

The companies involved in the investigation were Acsa and Bombela.

Acsa owns and operates South Africa’s nine largest airports and is majority owned by government.

Bombela is the consortium that built the Gautrain system and consists of shareholders Bombardier Transportation UK, Bouygues Travaux Publics, Murray & Roberts, J&J Group and empowerment company SPG Concessions.

The consent-order agreement states the investigation uncovered that there had been attempted price-fixing between the two companies.

“In terms of the arrangement, Bombela requested Acsa to provide it with rates that Acsa charges car hire companies at OR Tambo International Airport for Bombela not to undercut the rates Acsa charges car hire companies for parking bays at the airport,” reads the consent-order agreement. “On the basis of this understanding, Acsa supplied Bombela with the rates as requested.”

The commission said the price-fixing agreement was never acted on because Bombela never entered the market, but it suspected this decision was made because of the commission’s investigation.

According to the commission, Bombela applied for corporate leniency, which had been provisionally granted, provided it helped to prosecute Acsa.

Responding to City Press this week, Acsa spokesperson Unathi Batyashe-Fillis said “a former employee” of Acsa was found to have shared sensitive information about car hire parking bays with the Bombela Concession Company.

Batyashe-Fillis said the employee, who left the company in 2012, did not have authority or permission to discuss such information with Bombela and Acsa derived no financial or undue benefit from the actions of the employee.

The Bombela Concession Company confirmed it had cooperated fully with the commission.

“Bombela further confirms no rental car parking bays currently exist or have ever existed within the system, and that the Gautrain is not in competition with Acsa or anyone else regarding the provision of rental car parking bays,” it said.

Join the conversation! encourages commentary submitted via MyNews24. Contributions of 200 words or more will be considered for publication.

We reserve editorial discretion to decide what will be published.
Read our comments policy for guidelines on contributions. publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Comments have been closed for this article.

Inside News24


Men.24 Model of the Week: Wendy from Cape Town

Find out more about our featured model, Wendy from Cape Town


You won't want to miss...

Who are the highest paid models of 2017?
10 gorgeous plus-sized models who aren't Ashley Graham
WATCH: Pornhub is giving users free access to premium content these holidays
5 top leg exercises for men
Traffic Alerts
There are new stories on the homepage. Click here to see them.


Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.

Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire network.


Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.

Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.