Chairman of the Agency for the Protection and Development of Competition (APDC) Marat Omarov commented on reports of an alleged investigation into Kazakh airlines and spoke about reducing the high commission for drivers and passengers of Yandex.Taxi. At the press conference, it was also revealed that the APDC is taking legal action against mobile operators over price-fixing.
As reported by zakon.kz citing the speaker, no investigative measures are currently being conducted against the airlines.
“We completed a major investigation into Air Astana last year ahead of the company's IPO. <...> The company unjustifiably changed the fuel surcharge, which led to a 6 per cent increase in ticket prices. This fact was acknowledged, the court issued an appropriate ruling, and the fine was paid,” reported Marat Omarov.
He noted that at present there are no problems in the air transport sector in Kazakhstan.
“But that does not mean we are doing nothing on the civil aviation market and are not seeing problems. The outcome of this investigation was that Kazakhstan adopted a regulatory legal act on the full implementation of the fifth freedom of the air, ‘Open Skies’,” said the speaker.
Marat Omarov also stated that the issue of high prices at Yandex.Taxi remains unresolved. However, according to him, some compromise was still reached.
“Regarding pricing, we said we have concerns about the high commission charged, including to both taxi drivers and passengers. It’s a very convenient service, but questions have always been about pricing. As part of this investigation and negotiations with Yandex, we managed to reach a compromise on reducing the commission for consumers. Secondly, what worried consumers was the sharp increase during peak hours: x3, x4, even x5 (the rate multiplier). Weather conditions or traffic jams would cause the price to spike. We managed to come to an agreement with the company,” he added.
Furthermore, the speaker stated that before the investigation, sharp surges in tariffs for Yandex.Taxi trips were not controlled, but the situation has now changed.
“Today, this price will be capped at a maximum of x3, meaning it will not rise higher. Yes, it is high during periods of high demand, but not as high as before. That is, on certain routes, the price reached x10, x11, so we managed to regulate that part. <...> The investigation is complete, and there is a procedural agreement outlining the company’s obligations to comply,” the speaker summarised.
At the same time, the Chairman of the APDC spoke about the Agency suspecting three mobile operators in Kazakhstan of collusion concerning a price hike on their tariffs. According to Marat Omarov, there were many complaints about telecom operators towards the end of 2023.
“We saw that in the market, especially the mobile internet market, there was a sharp increase in prices by certain operators. Mobile internet tariffs are not regulated by anyone today. We see that tariffs are rising, and we began inspections of all three operators – Kcell, Tele2/Altel, and Beeline,” the speaker added.
He noted that the inspection of these companies is now concluding, results are being finalised, and certain court proceedings have already been initiated. Marat Omarov stated that the APDC will pursue fair pricing.
“The investigation began in December 2023. We are proving that three companies colluded to simultaneously raise prices. In court, we are now proving this fact – that it was coordinated, that there was no reason to raise prices to such a level. The court will examine these details,” concluded the Chairman of the APDC.