Rabat – Morocco’s Competition Council has once again pointed out the presence of numerous dysfunctions in the hydrocarbons sector, amid inaction to tackle the situation.
The council said on Thursday that it has “sufficiently convincing evidence” on the presence of anti-competitive practices committed by nine companies operating in the industry.
The council wanted that such acts are against regulations under article 6 concerning competition in markets and prices, stipulating that companies are prohibited to take any action that is to prevent, restrict, or distort competition in a market.
The statement against such practices comes in line with the changes made to the legal framework governing competition in Morocco, the council said, adding that it had addressed its statements of objections to all parties that violated the article 6 regulations.
The council added that the notifications addressed by the “investigation services to the concerned parties cannot prejudge the final decision of the council.”
Asked about the inaction to address situations of anti-competitive behavior, Moroccan economist and professor at the Hassan II University in Casablanca Mohamed Jadri told Morocco World News (MWN) that the report confirms once again the existence of anti-competitive practices by nine companies operating in the fuel industry in Morocco, particularly in terms of distribution.
“ I believe this decision is a continuation of the judgment by the Competition Council, which clearly states that these practices hinder competition,” he added. “The decision also includes the condemnation of the general rapporteur of the Competition Council towards these nine major distribution companies.”
It additionally includes the general rapporteur of the Competition Council’s say towards the concerned nine major distribution companies, Jadri said, stressing that the statement will lead to sessions where the companies can defend themselves, allowing the council to reach a final verdict on whether to convict or exonerate them.
This is not the first time that the council confirms the presence of dysfunctions in the energy sector.
In September 2022, Morocco’s Competition Council acknowledged the government’s lack of political will to implement market reforms amid skyrocketing gas prices.
Another report from the country’s Government Work Observatory earlier this year listed a series of shortcomings on the government’s part to tackle several issues, including soaring energy and fuel prices.
The report publicly slammed the government for its “lack of will” to stand against the ongoing, market-hurting practice of “monopoly and speculation,” especially with regard to foodstuff and energy prices despite strong evidence confirming the existence of several related challenges.
