Wednesday 20 September 2017

20131023 - Liquigas - Consumers should have right of choice

Consumers should have right of choice

Liquigas Malta believes in competition as it is through competition that Maltese consumers can benefit not only in terms of price but also in respect of quality of service.

The 23 gas distributors represented by GRTU are operating as a cartel and are resisting competition to the detriment of the consumer.

For the benefit of the Maltese consumers, the facts are:

  • The 23 gas distributors represented by GRTU had a territorial agreement dating back to 1992 with Enemalta Corporation that is no longer valid as it was declared null and void by the Office for Fair Competition (OFC).
  • It is not legally possible for distributors to retain geographical exclusivity as this conflicts with Maltese competition law and also with Article 101 of the Treaty on the Functioning of the European Union. This Treaty specifically prohibits cartels and other agreements that could disrupt unhindered competition and free choice in the EU market.
  • Today, five years later after acquiring the business from Enemalta, Liquigas Malta has respected all its obligations as listed in the agreement signed with the Malta Government in 2008.
  • However, Liquigas Malta is still waiting for its right to have its own distribution model to be honoured so as to ensure the best level and quality of service to their customers.

 

Liquigas Malta CEO Dr Roberto Capelluto said that consumers in Malta today want to be able to choose from where and from whom they can get the best service. The current GRTU-backed monopolistic attitude, based on the outdated idea of geographical area exclusivity, forbids other distributors prepared to offer a better service to the community. GRTU’s proposal also goes directly against the consumers’ right of choice from where to obtain the best possible distribution service.

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