UPDATED – Liberalise the gas distribution market

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The Consumers’ Association has called for the liberalisation of the gas distribution market.

In a statement this morning, it said it believed that the interests of consumers should always come before those of operators and pique.

The association was referring to a document for consultation issued by the Malta Resources Authority, which is the regulator.

It said that wherever there was monopoly, even because of exclusivity, there was arrogance and breach of consumer rights. This was because the operators controlled the market in whichever way suited them best because of the lack of competition.

This was the situation in the gas distribution market.

The association also did not agree with a system where someone dominated the market either in provision or distribution as although such a system might seem beneficial at first, other competitors were usually eliminated and consumers would end up once again dependent on one or two operators and the situation would repeat itself.

The association believed exclusivity in distribution should be removed and the service should be offered by anyone who was well equipped to offer a good and safe service.

It was only in this way that the system could improve as operators would have to work to retain their clients and keep them satisfied with the service and the prices offered.

On the other hand, the regulator should ensure that those who entered the market did not dominate through unfair market practices.

The Times of Malta 26th October 2013 read here

UPDATE

The Association has just drawn up a set of comprehensive proposals in reaction to the consultation document issued by the Malta Resources Authority regarding the door-to-door distribution of gas cylinders to consumers.  The document may be accessed below:

-[camalta/GH_reaction_to_consultation.pdf]==[GH_reaction_to_consultation.pdf]~

29 November 2013