Vol. 404, No. 19719, 5 February 1999
GENERAL NOTICE
Notice 92 of 1999
DEPARTMENT OF TRADE AND INDUSTRY
COMPETITION BOARD
INVESTIGATION IN TERMS OF SECTION 10 (1) (a) OF THE MAINTENANCE AND PROMOTION OF COMPETITION ACT, 1979 (ACT No. 96 OF 1979)
The Competition Board hereby gives notice that it is undertaking an investigation in terms of section 10(1)(a) of the Maintenance and Promotion of Competition Act, 1979 (Act 96 of 1979) ("the Act") to determine whether the South African Broadcasting Corporation's (SABC) insistence that South African production houses who produce material for use in programmes screened on the television stations broadcasted by the SABC should use the latter's facilities on a preferential basis constitutes a restrictive practice as defined in section 1 of the Act.
The investigation follows on a complaint lodged with the Board by the Association of Facility Owners. The gist of the complaint is that the SABC, which is the dominant broadcaster in the country and operates in terms of a licence issued by the Independent Broadcasting Authority, insists that its facilities at Henley be utilised by production houses producing programme material for use by the broadcaster. It is alleged that as a result of this policy, independent facility houses are unable to compete on a level, non-discriminatory basis, for the business. Since such facility houses are unable to themselves broadcast material, due to the restrictive nature of the licencing of broadcasters in this country, the practice is alleged, inter alia, to (a) limit the growth of the industry outside of the SABC, whilst (b) threatening the survival of many smaller players.
Any person who has an interest in the transaction may, within thirty (30) days from the date of this notice submit written substantiated representations regarding the transaction to the Chief Director: Investigations of the Competition Board, Private Bag X720, Pretoria 0001 (Facsimile (012) 322 5428) (attention I W Meyer) (File R4/2/1/2/30).
With the view to promoting transparency in the administration of the Act, all the representations received will be made available to other parties who have themselves made representations to the Board (a) on a confidential basis, and (b) where copies of such representations are requested. Such exchange of information is not intended to form the basis of lobbying by interested parties. All interested parties are permitted to comment directly to the Board where the information contained in representations which have been forwarded to them is factually incorrect. In the event that it has been found that parties who are directly involved in the investigation have directly or indirectly approached other parties who have made submissions with the view to convincing them to amend or withdraw such submissions, the Board will have no alternative but to exclude the submissions of those involved in said approaches, from the investigation.