With increased concern around collusion and price fixing in the Mining and Construction Industry, it is apt that the surface mining industry association, ASPASA, has set out a comprehensive set of guidelines for its members and their clients to assist them in avoiding the possibility of intentionally or unintentionally fixing the prices of the products that they produce.
Nico Pienaar, director of ASPASA, clarifies, “We need our members and customers to be alert to price fixing and be able to recognise what constitutes uncompetitive behaviour and take action to prevent it. Ignorance is no excuse in the eyes of the law, and it is our aim to arm our members with information that will prevent them from accidently falling foul of the law and alert them to circumstances that may be perceived to be contrary to fair competition.”
The association has made their guidelines accessible to all members to help clarify matters when it comes to the fine line between collusion and prudent pricing. ASPASA has sought to inform their members on the following:
- What is bid rigging, rotation and suppression?
- Surface mines, construction managers and suppliers’ obligations
- Consequences of breaking the law
- Fines and disqualification of directors
- Criminal prosecution and imprisonment
- Reputational impact
- Ensuring compliance with competition laws and what practices break the rules
- Non-collusion agreements and competition legislation compliance
- Bribery and the implications of being involved in illegal practices
- identifying the signs of corruption and how to make it clear that this type of behaviour will not be accepted on site