LP gas prices poorly monitored, finds Competition Commission

The Competition Commission says the pricing regulations for liquefied petroleum gas (LPG) are poorly monitored by the sector and Energy Department.

The commission released its findings after a three-year investigation into the industry, where 90% of the wholesale market is shared between Afrox, Easigas, Totalgas and Oryx Energies.

The Competition Commission's Thembalethu Sithebe explains that the LPG pricing at a refinery level was not monitored at all, while the pricing at a retail level was poorly monitored by the department.

Our investigation found that there are only nine inspectors that have the job of monitoring the various petroleum products regulated across about 5 000 service stations.

Thembalethu Sithebe, Senior Economist at the Competition Commission

Sithebe says even when the department's inspectors find price corruption, there is very little recourse that can be taken.

The commission has proposed that the National Energy Regulator (Nersa) should take over the monitoring of LPG pricing in the short term.

Meanwhile, LP gas users will pay an extra 96c per kilogram next month, the Department of Energy has confirmed.

Illuminating paraffin users will pay between 34c and 46c per litre while and diesel will increase by between 30c and 32c per liter.

Motorists will pay an extra 49c per litre for all grades of petrol.

Take a listen to Sithebe unpack the commission findings:

Read More
"Ramaphosa fudged his responses and struggled to defend government's position"

"Ramaphosa fudged his responses and struggled to defend government's position"

EWN's Rahima Essop reports on Ramaphosa's Q&A in Parliament on Mugabe's immunity and government's decision to sell Telkom stake.

Committee can't agree on how to proceed on state capture probe

Committee can't agree on how to proceed on state capture probe

EWN Reporter Lindsay Dentlinger reports on the meeting held by Parliament's Mineral Resources Committee on state capture probe.

Plans to sell alcohol at W Cape school halted by Angie Motshekga

Plans to sell alcohol at W Cape school halted by Angie Motshekga

 Debbie Schäfer, MEC of Education agreed to meet with Motshekga regarding the proposal to sell alcohol at schools.

Another Ford Kuga recall due to fire hazard

Another Ford Kuga recall due to fire hazard

Mark Smyth, editor at Motor News explains the latest recall of Ford Kugas.

Government gives fracking green light despite strong environmental resistance

Government gives fracking green light despite strong environmental resistance

The government argues shale gas could be the answer to SA's energy challenges though environmentalists say it will destroy the Karoo.

Taxi association's petrol station is illegal - Department of Energy

Taxi association's petrol station is illegal - Department of Energy

Dobsonville, Roodepoort, Leratong, Johannesburg Taxi Association (DORLJOTA) sells petrol for 50 cents a litre to taxi drivers.

Popular articles
Getting to know MP, Dr Makhosi Khoza

Getting to know MP, Dr Makhosi Khoza

Dr Khoza is admired by South Africans for her role in the SABC inquiry as a ANC member of parliament.

10 sexting tips on how to keep things spicy (and safe)

10 sexting tips on how to keep things spicy (and safe)

Interested in sexting but worried about the risks? Dr Eve has created a guideline to help you 'sext' in a fun and responsible way.

It's not the end of the road... Top tips to improve your matric

It's not the end of the road... Top tips to improve your matric

"Recognise that it’s not the end, it’s the beginning." Expert advise for school-leavers who want to improve their results.

Gospel singer Sipho Makhabane explains how Sfiso Ncwane died

Gospel singer Sipho Makhabane explains how Sfiso Ncwane died

Makhabane says Ncwane was feeling weak yesterday and his wife phoned paramedics to check on him.

Who is Advocate Tembeka Ngcukaitobi?

Who is Advocate Tembeka Ngcukaitobi?

The EFF lawyer stole the show during the state capture report court battle.

Meet the founder of Capitec Bank, named ‘Best Bank on Earth and Cheapest in SA’

Meet the founder of Capitec Bank, named ‘Best Bank on Earth and Cheapest in SA’

Michiel le Roux speaks about the fascinating story behind the little bank that has the Big 4 shaking in their boots.

3 easy questions could bag you R2000!

3 easy questions could bag you R2000!

WIN R2000! But only if you can prove you're a whiz of the MTN Biz Quiz by answering the following three questions...

Blesserfinder: Matching you with a sugar daddy near you

Blesserfinder: Matching you with a sugar daddy near you

Is social trend Blesserfinder, where girls are allegedly matching up with rich 'benefactors' in exchange for sex, a real thing?

5 ways the NSFAS funding model will change in 2017

5 ways the NSFAS funding model will change in 2017

The National Student Financial Aid Scheme (NSFAS) will pilot a new funding model in 2017. NSFAS chairperson Sizwe Nxasana explains.