The Israel Antitrust Authority, headed by Adv. Michal Halperin, is considering recommending the removal of price controls on gasoline at the country's gas stations, sources inform "Globes." Price controls were removed on diesel in 1993 and that market has become much more competitive than the gasoline market.
Any recommendation on gasoline prices would be passed onto the price committee of the Ministry of Finance and the Ministry of National Infrastructures, Energy and Water Resources, which would pass its recommendation to the two ministers for a final decision.
Last week the Israel Antitrust Authority extended the deadline for comments from the public on the hearing began last July about the geographical concentration of gas stations. The Authority found that 84% of gas stations are held by the big four companies (Paz, Delek, Sonol and Dor Alon), which rarely compete with each other. The report pointed at the importance of smaller companies, which bring down prices in the areas where they can be found. The smaller companies, it was found, try much harder and offer lower prices. However, government regulation and long term agreements signed by the larger companies, make it tough for the smaller companies to enter the market.
Published by Globes [online], Israel business news - www.globes-online.com - on November 19, 2017
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