The Competition Commission has recommended the introduction of various measures to improve competition in the liquefied petroleum gas (LPG) market. Such measures would be implemented between now and 2019, according to a report submitted to Economic Development Minister Ebrahim Patel, following a market inquiry conducted by the commission into the state of competition in the sector. The commission initiated its inquiry into the LPG sector in August 2014 after observing that the sector had certain features that prevented, distorted or restricted competition. The commission said in a statement on Monday that the successful implementation of these measures was essential "for an efficient and competitive LPG sector" as there were a number of features of the LPG market that prevented, restricted and distorted competition. The market was highly concentrated at both production and wholesale level: switching costs were high and the regulatory regime was unfavourable for competition. The limi...
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