Chamwe Kaira
The Namibian Competition Commission (NaCC) has paid N$9 million in penalties into the state revenue fund after the audit of its 2024/25 financial year by the auditor general.
This fulfils its obligation under the Competition Act, which requires all collected penalties to be transferred to the fund.
NaCC corporate communication practitioner Dina //Gowases said the commission collected the penalties through settlement and consent agreements with companies in several sectors, including non-financial services (N$1 million), cement (N$5 million) and fuel and air transportation (N$3 million).
She said investigations found that some companies violated chapters 3 and 4 of the Competition Act by conducting mergers without approval and abusing their dominant positions in the market.
//Gowases said that since the commission’s establishment in 2009, a total of N$65 million in penalties has been paid into the fund from various violations of the act.
The Competition Act promotes fair and open markets by addressing anti-competitive practices.
Penalties play a key role in this process by acting as a deterrent, discouraging companies from forming cartels, abusing dominance, or merging without approval.
They also serve as punishment for harm caused by such actions, which can lead to higher prices, reduced innovation and fewer choices for consumers.
Penalties further encourage compliance, as companies are more likely to strengthen internal controls when non-compliance carries financial risks.
According to //Gowases, by punishing rule-breakers, the law ensures that businesses compete based on quality and innovation, not illegal or unethical tactics. She said anticompetitive behaviours such as price-fixing, bid-rigging, and monopolisation distort markets and harm consumers.
She added that penalties for such conduct are a vital deterrent that helps create a competitive and efficient economy. Raising the risks of illegal behaviour discourages companies from limiting competition and encouraging innovation. Penalties also protect consumers from inflated prices and limited options, promoting a fairer distribution of economic benefits.
“The Commission urges all businesses operating in Namibia to ensure adherence to the Act. Additionally, the Commission is committed to implementing the Act to the benefit of all Namibians,” //Gowases said.
Caption
The Namibian Competition Commission pays collected penalties into the State Revenue Fund.
- Photo: Contributed
