PCC includes...
complaints that prospered at PCC, the other case being the alleged collusion in power rates. She refused to identify the third case on confidentiality issue.
From the date of filing, Bernabe said they expect to issue a decision on a case filed and impose a fine over a two-year period.
Decision on the power rate case, which was filed earlier than the cement, is expected by February 2019. Other jurisdictions, he said, take at least five years to get a decision.
Quimbo said that a PCC decision is comprehensive because the basic principle is to assess the damage of the cartel operation to the economy like the impact in price increases because of the cartel.
“Once decided and fined, the impact on the market is immediate,” added Quimbo.
That is why, she said, PCC is putting all safeguards in the full administrative investigation and adjudication process where the respondents are given a year to answer.
“The objective is to provide relief to consumers of anti-competitive practices,” she said.
Consumer group Laban Konsyumer, Inc. (LKI) said DAO 17-02 was a new evidence to the commission's ongoing full administrative investigation of the cement industry for possible violations of Articles 14 and 15 of the Philippine Competition Act.
LKI has criticized the DTI’s DAO saying it exacerbates the abuse of dominant position of the cement industry and ensures that retail prices of imported cement costs at least R8 to R10 higher than local cement. LKI was the same organization that filed the cartel allegations against the industry at the PCC.
According to LKI, the privileges of the exemption on a per shipment and per bill of lading to domestic cement manufacturers translate to a savings of average R10.00 a bag of cement for the importing local cement manufacturers, a savings not available to direct importers.
It said the double product certification the direct importers will have to undergo makes the traders retail price at least R10.00 per bag more expensive.
LKI President Atty. Victorio Mario Dimagiba described the exemption granted by DTI DAO 17-02 as "unconscionably one- sided" in favor of the importing local cement manufacturers.
Furthermore, he said, the exemption defeats the objectives of the same DTI DAO 17-02 on mandatory certification and compliance with the Philippine National Standards since local cement manufacturers are merely required to bag the cement with their local brand name.