Just In: Mozambique’s Competition Authority suspends new driving school tariffs

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Just In: Mozambique’s Competition Authority suspends new driving school tariffs

1:00 CAT | 02 Mar 2022

Photo: O País

The Competition Regulatory Authority (ARC) has suspended the new tariff due to have come into force since yesterday, March 1, in the country’s driving schools.

The measure just announced by the chairman of the Board of Directors of ARC, Iacumba Aiuba, comes into immediate effect under subparagraph c) of number 4 of article 6 of the Organic Statute of this public institution, in conjunction with the provisions of article 42 of the Competition Law.

Schools which are already applying the new tariff should immediately suspend them, given that, Aiuba stressed, it is forbidden by law for an association of companies to directly or indirectly establish the purchase or sale price of any product.

“This attitude constitutes an offence punishable under article 29 of the Competition Law, since each driving school is free to apply its own price, as long as there is no unfair competition. Therefore, an association or a group of schools cannot act in concert to raise prices,” Aiuba said.

The reaction from the Competition Regulatory Authority follows on from the Association of Driving Schools approving new rates for driving lessons, to have come into force yesterday.

Under the now-suspended chart, learner drivers would have been paying 7% more in all categories of driving licence: 11,500 meticais for heavy vehicles, 9,500 meticais for light vehicles, and 6,700 meticais for motorcycles.

Source: Jornal Domingo