Media-Statement-Commission-launches-review-of-regu

Media Statement For Immediate Release 22 April 2026 COMMISSION LAUNCHES REVIEW OF REGULATORY BARRIERS TO COMPETITION AND SME PARTICIPATION The Competition Commission (“Commission”) today launched a review of regulations that may act as barriers to competition and the entry or expansion of firms, particularly small and medium enterprises (SMEs), across all markets in South Africa. The review forms part of national efforts to support inclusive growth, improve the ease of doing business and strengthen the competitiveness of the economy. In his 2026 State of the Nation Address, President Cyril Ramaphosa highlighted the need to reduce red tape and improve the ease of doing business - an issue also raised in the Commission’s market inquiries and by stakeholders calling for a more streamlined and modern regulatory system that enables SMEs to start, operate and expand in international markets. Regulations are often necessary to protect consumers, address market failures and advance development objectives, including through licensing and standards that support safety, health and financial stability. However, where rules are unduly restrictive or poorly implemented, they can raise compliance costs, delay entry and constrain SME growth thus reducing competition, innovation, investment, and ultimately jobs. The Commission will identify and assess regulations (including sector policies and licensing frameworks) that may restrict firm entry or expansion and consider whether they are necessary to achieve their stated purpose or are overly restrictive in design or application. The review will also consider whether current frameworks adequately address market concentration, the effects of vertical integration on non-integrated firms, potential exclusionary practices, and meaningful participation by historically disadvantaged persons. Findings from the review will inform recommendations for regulatory reforms to remove or modify barriers to competition and market participation. The Commission invites businesses and other stakeholders who have experienced regulatory barriers to entry or expansion to make submissions identifying the regulation, explaining how it restricts competition or participation, and proposing practical reforms. Examples of regulatory barriers may include: • Administrative barriers, such as complex, lengthy or uncoordinated authorisation and licensing processes that delay entry or expansion. a competitive, dynamic, deconcentrated and inclusive economy. 2 • Rules that create or entrench monopoly supply, or an artificially limited number of suppliers, through exclusive rights, long-term contracts, or restrictive licensing. • Licence and permit conditions that unduly limit who may operate in a market, including onerous, costly or time-consuming requirements or unnecessary caps on licence holders. • Unreasonable or unnecessary standards or licensing requirements for operating, registering, constructing or meeting compliance obligations in order to serve a market. • Restrictions that limit competition on price or non-price factors (for example, constraints on pricing, location, quality or marketing); and • Requirements that may be reasonable in principle but are poorly implemented, leading to extensive delays, inconsistent interpretation, administrative backlogs or unpredictable outcomes. Submissions should include: • Name and contact details of the person or business making the submission, and a brief description of the products or services offered. • The regulation (and, where possible, the specific provisions and/or aspects of implementation) that are considered to pose a barrier to competition or entry/expansion. • A description of how the regulation affects competition, entry or expansion, including practical experience of compliance; and • Proposed reforms to simplify, amend or remove the barrier while maintaining the regulation’s underlying purpose, or reasons why the provision could be eliminated without undermining consumer protection, market functioning or development objectives. Submissions may be emailed to regulation@compcom.co.za by close of business on 05 June 2026. [ENDS] Issued by: Siyabulela Makunga, Spokesperson On behalf of: The Competition Commission of South Africa Tel: 067 421 9883 Email: SiyabulelaM@compcom.co.za Find us on the following social media platforms: X: @CompComSA Instagram: Competition Commission SA Facebook, LinkedIn and YouTube: The Competition Commission South Africa