Hearing for SA Airlink for excessive pricing takes off
The Competition Tribunal will kick off hearings in Pretoria on Wednesday into SA Airlink, which was found to have adopted excessive pricing strategies.
The Competition Commission began investigations after it received three complaints about the airline's prices for its Johannesburg and Mthatha route.
READ: CompCom orders Google to assist smaller online businesses
It found SA Airlink guilty of violating the Competition Act and abusing its dominance by charging excessive prices for scheduled air passenger transport services on the route between September 2012 and August 2016.
The commission also found that the airline embarked on a predatory pricing strategy by reducing its prices to be below its average prices in response to a new competitor on the route Fly Blue Crane.
ALSO READ: Mr D, UberEats urged to accommodate small outlets
It wants an administrative penalty of up to 10% of SA Airlink's annual turnover for both the conduct of excessive pricing and predatory pricing.
SA Airlink has denied the allegations and will be making representations.
