Paulwell
A LONG-AWAITED code of conduct for gasolene retailers and marketing companies took effect Monday without the two groups signing on to the provisions which have been established by the Fair Trading Commission (FTC).
Phillip Paulwell, minister of commerce, science and technology, told journalists that adherence to the code of conduct will be strictly monitored by the FTC.
"We are hoping that once it takes effect both major players in the industry will be able, over time, to develop on this code and, instead of the FTC policing as it is now, it will be a self regulating provision that both sides will voluntarily submit to," Mr. Paulwell said.
MAJOR PLAYERS
He was speaking during the weekly post-Cabinet press briefing at Jamaica House. The major players are the marketing companies and the Jamaica Gasolene Retailers Association (JGRA).
Among the provisions in the code are a requirement for retailers to prominently display prices on display boards, and that a marketing company (such as Texaco or ESSO) should not sell gasolene from its own outlet at a lower price than independent retailers in the same area.
The code also requires that contracts for independent retailers to sell gasolene from a marketing company be for a minimum of three years instead of the current one-year minimum.
Also, marketing companies should not recommend prices that will make it difficult for retailers to cover reasonable operation costs.
According to Mr. Paulwell, the marketing companies and the retailers should be able to meet the requirements of the code immediately, as its provisions were already enforceable under the Fair Trading Act.
