South Africa relaxes laws to salvage firms hit by power costs

South Africa eased antitrust rules to allow competitors in industries hit by high power costs to cooperate on negotiating cheaper power supply in a bid to prevent their total collapse, a move that potentially helps the country’s ailing ferrochrome industry. Trade, Industry and Competition Minister Parks Tau changed the scope of an energy users’ block exemption in the Competition Act in regulations published January 5, allowing firms operating in “industries in distress” to jointly negotiate buying energy, share ownership of backup generation capacity and collectively work with suppliers as long as no price-fixing of goods and services takes place.