Q FM Africa's Modern Radio
CCPC has fined the Zambia Airports Corporation Limited 3% of its annual turnover
The Competition and Consumer Protection Commission has fined the Zambia Airports Corporation Limited 3% of its annual turnover for abusing its dominant position of market power.
CCPC Executive Director Chilufya Sampa in a letter to the Zambia Airports Corporation Limited Managing Director dated 13th June,2016 says this follows a complaint lodged by the Zambia Export Growers Association (ZEGA) that ZACL had recently sought to impose restrictions on the use of check-in counters for load control and sought to impose a charge on ZEGA.
Mr Sampa says the ZACL stand warned and should desist from abusing its dominant position of market power and from issuing threats to operators in the market.
He says the CCPC board of commissioners at its meeting held on 13th June further directed that the Zambia Airports Corporation Limited to normalize the charges and trading conditions to both client airlines and ZEGA limited to a manner that does not affect trade or result in discrimination.
Mr Sampa adds that the board observed that ZACL was dominant and had market power and its ability to apply differential rates to airline clients and ground handlers for equivalent transactions was a violation of Section 16(1) and Section 16(2)(c) of the Act.
He further states that its threats to withdraw concessions to Zambezi Airlines though dysfunctional and the application of excessive charges to ZEGA Limited for water and the handling of Emirates airlines constituted an abuse of dominance as it had an effect on how these enterprises trade and the economy in general.