Archives

The Competition Tribunal has confirmed three consent agreements relating to COVID-19 excessive pricing complaints.

The Commission concluded the consent agreements with the firms after receiving and investigating complaints from the public.

The level of cooperation by the firm in question with the competition authorities as well as how timely a firm settles a complaint against it are some of the factors considered by the Tribunal in consent agreements.

“In these three matters there was such cooperation as well as timely conclusion of the consent agreements by all three firms,” said the Tribunal in a statement on Thursday.

The first of the three cases involves Green Hygiene, a company that distributes and supplies washroom dispensers and associated consumables to the away-from-home market.

The company supplies shopping centres, airports and restaurants, among others.

The agreement was reached after the Competition Commission received a complaint on 30 March 2020 relating to the company’s inflation on the price of 700 ml Betasan auto spray sanitiser dispensers.

“Following an investigation, the Commission found that Green Hygiene’s  mark-up on Betasan auto spray hand sanitiser dispensers during March 2020 contravened section 8(1)(a) of the Competition Act (the Act) read with Regulation 4 of Consumer Protection Regulations (the Regulations),” said the Tribunal.

In terms of the consent agreement, Green Hygiene has agreed to contribute R8 079.00 to the Solidarity Fund.

The company has also undertaken to, among others, immediately cease excessive pricing conduct as described in the agreement; reduce its gross profit margin on facemasks to an agreed maximum percentage for the duration of the state of national disaster; and implement a competition law compliance programme.

Meanwhile, the Commission investigated Eldopark Pharmacy, a community pharmacy in Centurion, for alleged excessive pricing of three types of facemasks.

These are 3-ply loop surgical masks; 3 ply KN90 grade surgical masks and FFP1 masks, during the state of national disaster and found that its mark-ups on these products were unreasonably high.

The pharmacy admitted that its mark-ups for all three types of masks during March and April 2020 contravened section 8(1)(a) of the Act read with Regulation 4 of the Regulations.

In terms of the agreement, Eldopark Pharmacy has also agreed to, among others: donate R5 500 to the Solidarity Fund; immediately stop the pricing conduct as described in the agreement; immediately reduce its gross profit margin on facemasks to an agreed maximum percentage; and implement a competition law compliance programme.

On 2 April 2020, the Commission received a complaint against Mica Barberton, a hardware retail store in Mpumalanga, for the alleged inflated pricing of facemasks (FFP2 NR masks) in March 2020.

The Commission, after investigation, found that Mica Barberton’s price increases in March 2020 contravened section 8(1)(a) of the Act read with Regulation 4 of the Regulations.

“In terms of the consent agreement, Mica agrees to donate R10 000 to the Solidarity Fund. It also agrees to immediately desist from the pricing conduct as described in the agreement; immediately reduce its gross profit margin on face masks to an agreed maximum percentage for the duration of the state of national disaster; and implement a competition law compliance programme,” said the Tribunal.

With over 75 000 confirmed COVID-19 cases, Gauteng has overtaken the Western Cape as the epicentre with the highest number of infections, the Health Minister, Dr Zweli Mkhize said.

As of Wednesday, the number of infections grew by 8 810 bringing to 224 665 the confirmed COVID-19 cases reported in South Africa.

Unfortunately, 100 more people succumbed to COVID-19 related deaths.

Of the new additional fatalities, 47 were from Western Cape, 18 from the Eastern Cape, 15 from Mpumalanga, 18 from KwaZulu-Natal and two from Limpopo, which brings the death toll to  3 602.

“We convey our condolences to the loved ones of the departed and thank the health care workers who treated the deceased,” the Minister said.

Meanwhile, the number of recoveries is 106 842, which translates to a recovery rate of 47.5%.

In addition, 1 944 399 tests have been completed since the outbreak of which 36 867 were done in the last 24 hours.

Gauteng, which is now the Coronavirus hotspot has 75 015 cases, followed by the Western Cape 73 292, Eastern Cape 42 357 and KwaZulu-Natal 17 962.

The North West has 7 147 cases, Free State 3 259, Mpumalanga 2 528, Limpopo 2 131 and Northern Cape 974.

According to the World Health Organisation, there are 11 669 259 cases globally and 539 906 deaths.

A trend analysis by the Compensation Fund has revealed that women make up the majority of COVID-19 related claims, with the most affected workers being nurses.

This is according to claims lodged with the Compensation Fund, which indicate that more than 80% of the cases received so far involve women.

“This is consistent in all provinces,” the Department of Employment and Labour said in a statement.

As Coronavirus continues to make its devastating presence felt, the department says it finds itself at the centre of not only having to support workers through relief payments, but also now has to deal with the ever-rising number of claims as people get sick at work.

In a statement on Wednesday, the department said the Fund has to date received 941 claims, with the highest number coming from the Western Cape, with 657 claims.

“Of that total, 533 are women. The Fund has accepted liability for 356, repudiated 69 and 233 are pending adjudication.

“In the Eastern Cape, 99 claimants are women, out of a total of 127 claims received. The Fund has accepted liability for 26, while three have been repudiated and 98 await adjudication,” the department said.

Kwa-Zulu Natal has seen 98 claims, 67 of which have been accepted, five repudiated and 26 await adjudication. The total number of women who are affected in that province is 92.

Gauteng province has recorded 54 claims — 46 affect women, 31 have been accepted, seven repudiated and 16 are pending adjudication.

Limpopo and the North West have recorded two claims each, with one accepted in Limpopo, one repudiated and both claimants are women, while in the North West, one claimant is a woman.

Mpumalanga has one case which has been accepted. The claimant is a woman.

To date, the Fund has paid R202 172.35 in medical aid costs.

Other claims have been received through Rand Mutual, which has recorded 474 claims, while Federated Employers have 20 claims. This means that in total, 1 435 claims have been received.

“We are aware that our frontline workers like nurses and other medical staff have been affected by the pandemic. We would like to send an appeal for employers to ensure that workers are adequately protected and are given the necessary protective gear to do their jobs.

“Our figures show that the most affected employees are nurses, who are paying the ultimate price so that we get a second chance to survive the pandemic,” said Labour Minister Thulas Nxesi.

The Minister said the Inspection and Enforcement Services of the department has upped its in loco inspections to ensure that workers are protected and that the letter and spirit of the COVID-19 safety regulations are followed.

“Unfortunately, we continue to see low levels of compliance, with compliance rates hovering at 57% for the private sector and 47% for the public sector. Since the start of the lockdown, we have served 385 prohibition notices and overall, 2 475 notices were served,” said Nxesi.

He stressed that all employers have a duty to care for their employees and ensure their safety.

“Equally, workers should refuse to work under dangerous conditions. Just this week, a company that flouted labour laws and did not adhere to lockdown regulations was found guilty and fined. It was the workers in that company who blew the whistle and both employer and employee have a responsibility for health and safety, albeit with differing roles,” said Nxesi.

The public sector has been served with a total of 88 prohibitions (shutdown), 363 contraventions and 87 improvement notices, while the private sector has seen 45 prohibitions, 339 improvement notices and 1 210 contraventions.

The Department of Correctional Services has warned its suppliers and potential suppliers about scammers pretending to be representatives of the department and issuing fraudulent Request for Quotations (RFQs).

According to the department, the scammers issues RFQs for purchase orders for the supply and delivery of personal protective equipment (PPEs) to the department.

The fraudulent RFQs and purchase orders are used to obtain delivery of PPEs by the fraudsters who then disappear with the goods after which companies approach the department for payment, only to find out that they were defrauded.

“All suppliers and potential suppliers are cautioned to be vigilant and take precautions and ensure that RFQs and purchase orders presented are valid before they deliver any goods,” said the department.

It said suppliers and potential suppliers may call the National Procurement Office on ‪012 305 8621 to confirm the validity of RFQs and purchase orders.

“DCS will not be responsible for compensation of any losses suffered due to such fraudulent activities,” the department said.

North West MEC for Cooperative Governance, Human Settlements and Traditional Affairs, Mothibedi Gordon Kegakilwe, will be laid to rest on Friday during a Provincial Official Funeral Category 1 in Vryburg.

The MEC succumbed to COVID-19 on Monday at a healthy facility in Klerksdorp.

“The President of the Republic of South Africa has also instructed that the National Flag fly at half-mast in the North West province from today until the evening of the funeral of the MEC, as a sign of respect to him,” the North West Provincial Government said on Thursday.

The funeral service will comply with the COVID-19 lockdown regulations and applicable health protocols will be observed.

South Africans can pay their respects to the MEC by tuning in to various media platforms, including a live streaming on the Office of the Premier’s Facebook page from 7am.

Statistics South Africa says South Africa’s mid-year population is estimated at 59.6 million in 2020.

According to StatsSA report, Gauteng continues to record the largest share of South Africa’s population, with approximately 15.5 million people (26%) living in this province.

KwaZulu-Natal is the province with the second largest population, with an estimated 11.5 million people (19.3%) living in this province.

Northern Cape maintained its status as the province with the lowest population in the country with a population estimated at 1.29 million people.

Western Cape has 7 million people, Eastern Cape 6.7 million, Limpopo 5.8 million, Mpumalanga 4.6 million, North West 4.1 million and Free State 2.9 million people.

The report indicates that approximately 51.1% (approximately 30.5 million) of the population is female.

According to the report about 28.6% of the population is aged younger than 15 years and approximately 9.1% (5.4 million) is 60 years or older.

Of those younger than 15 years of age, the majority reside in KwaZulu-Natal (21.8%) and Gauteng (21.4%).

Of the elderly (those aged 60 years and older), the highest percentage 24.1% (1.31 million) reside in Gauteng.

The proportion of elderly persons aged 60 and has grown from 7.6% in 2002 to 9.1% in 2020.

The report further shows that for the period 2016 – 2021, Gauteng and Western Cape are estimated to experience the largest inflow of migrants of approximately, 1 553 162 and 468 568, respectively.

Life expectancy at birth for 2020 is estimated at 62.5 years for males and 68.5 years for females. The infant mortality rate for 2020 is estimated at 23.6 per 1 000 live births.

The estimated overall HIV prevalence rate is approximately 1% among the South African population.

The total number of people living with HIV (PLWHIV) is estimated at approximately 7.8 million in 2020. For adults aged 15 – 49 years, an estimated 18.7% of the population is HIV positive.

The Gauteng Department of Health has confirmed that six members of its COVID-19 war room has contracted the virus.

In a statement, the department said its head, Prof Mkhululi Lukhele, was among those who had tested positive.

They are all doing well and isolating at home, reads the statement.

Meanwhile, the department has clarified that it had not dug one million graves for COVID-19.

“The department does not have a million already open graves, the over a million graves refers to the collective capacity municipalities can take,” said the department.

The clarity came after MEC Dr Bandile Masuku visited a gravesite in Tshwane on Wednesday. The gravesite visited has a capacity of about 24 000.

The GDoH said it is continuing to improve and increase both the infrastructure and human resource capacity of its system to deal with the increasing pressure of the pandemic.

“We understand that the subject of death is an uncomfortable matter to engage in, however, ensuring that there is adequate burial space in the province, unfortunately, forms part of the reality government must contend with in the battle against COVID-19,” the department said.

Eskom has warned residents of possible load shedding on Thursday evening, which is also likely to persist throughout the weekend as demand for electricity peaks.

The power utility has since urged the public to reduce electricity usage.

“While Eskom is working hard to return generating units to service, the possibility of load shedding during the peak demand hours is high,” Eskom spokesperson, Sikhonathi Mantshantsha said, adding that the power generation system is severely constrained.

Also, a generation unit at the Tutuka power station tripped, while another one has been taken off the grid, as well as a unit at Lethabo.

“The return to service of a generation unit each at Duvha and Kendal power stations have been delayed.”

Mantshantsha said this has added significant pressure to the generation system.

“Any additional breakdowns will compromise Eskom’s ability to supply the country through the peak demand period from 5pm to 9pm. This constrained supply situation may persist through the weekend.

“We urge the public’s co-operation in managing demand to help us avoid load shedding and supply the country’s demand through the peak periods,” Eskom pleaded.

The South African Social Security Agency (SASSA) in Mpumalanga has assured those, whose R350 relief grant applications were declined, that they are working around the clock to remedy the situation.

The agency is implementing a recourse and reconsideration process for declined applicants of the Special COVID-19 Social Relief of Distress grant.  A dedicated email address has been set-up with dedicated staff to respond to these queries on covid19srdappeals@sassa.gov.za.

The R350 relief grant is targeted at the unemployed. Applicants are verified through the Unemployment Insurance Fund, Government Employees Pension Fund, National Student Financial Aid Scheme, Compensation for Occupational Injuries and Diseases Act, Home Affairs and South African Revenue Service to ascertain their status of no income or no assistance from government.

If they are found to be otherwise employed, their application will not be approved.

SASSA said when applicants need clarity, they must utilise SASSA official communication platforms to avoid scams that are circulating on social media, and to get accurate information.

They can use the toll free number 0800 60 10 11 or 013 754 9439/9428/9454 from 08:00 – 16:00 during weekdays.

The grant will run until October 2020 and SASSA is still receiving applications.

It has successfully paid 256 660 applicants, which amounts to just over R89 million from June to 3 July, while 324 765 applicants have been approved to be paid.

The Portfolio Committee on Human Settlements, Water and Sanitation; and Cooperative Governance and Traditional Affairs, Water and Sanitation and Human Settlements Select Committee have welcomed the reallocation of R300 million rental relief support to social housing institutions during the National State of Disaster.

“The reallocation will go a long way in alleviating financial pressures faced by households during this period, and will ensure the sustainability of a roof over the heads of many South Africans, especially the most vulnerable,” Select Committee chairperson, China Dodovu, said.

The committees have also welcomed a further R300 million reallocation in order to provide debt relief support to borrowers in the affordable rental housing sector.

Both committees have called for the speedy finalisation of the operational framework for rental relief for households living in social and affordable housing, to enable approval by the Human Settlements Minister.

Adherence to regulation prohibiting evictions

Meanwhile, the committees have emphasised the need for the Department of Human Settlements, in collaboration with provincial governments, to ensure adherence by municipalities to the regulation that prohibits evictions during the National State of Disaster.

The committees said it has been worrying to witness countless evictions across the country, which compound the challenges already faced by many communities, especially the poor.

The committees also cautioned communities against the illegal occupation of land, with the intention to abuse this regulation.

Title Deed Restoration Grant reduction “not surprising”

While raising concerns about the reduction of the Title Deed Restoration Grant by R377.82 million, both committees said they were not surprised because of the underperformance of the grant.

The committees had earlier this year forewarned that the underperformance was worrying, while its impact is being felt by beneficiaries who remain without title deeds to their properties.

The committees said they are aware that a reduction in the number of title deeds is to be anticipated, but have called on the Department of Human Settlements to use this time to devise strategies on how it will improve performance, post COVID-19.

Regional Bulk Infrastructure Grants

Regarding the Department of Water and Sanitation, the committees have called for a speedy process in the approval of municipal business plans for Regional Bulk Infrastructure Grants, and Water Services Infrastructure Grant projects to ensure that the projects have the necessary impact in the short-term.

To ensure sustainability of water supply, the committees welcomed the assurance that part of the reallocated funds will also be used to implement source development or bulk linkage projects to replace the need for water tankering, and sustain the supply of water, post the tankering period.

R200m allocated for water tinkering

Both committees have always emphasised the undesirability of water tankering, as the practice is susceptible to manipulation and corrupt practices.

Despite this, the committees welcomed the allocation of R200 million for water tankering for the 2020/21 financial year, as an intervention to ensure water availability during the lockdown period.

“However, emphasis should be that in the medium- to long-term, tankering should be completely erased as a means of water provision. We need a sustainable method of water provision,” Portfolio Committee chairperson Machwene Semenya said.

Both committees will, following the approval of revised Annual Performance Plans and Medium Term Strategic Framework of both departments, engage to assess the overall impact of the adjustments on set targets.