The EFF has added its voice to the growing number of political players weighing in on the Competition Tribunal’s decision to block Vodacom and Remgro’s fibre merger, denouncing Minister Parks Tau’s apparent support of the deal.

‘The EFF strongly condemns Minister of Trade, Industry & Competition Parks Tau for interfering in the Competition Tribunal’s decision to block the Vodacom and Remgro’s Maziv fibre merger through an appeal,’ the party said.

A Business Day report says this follows the tribunal’s decision to block the merger. The proposed deal would result in Vodacom taking a 30% stake in Maziv, which houses Remgro’s fibre units Vumatel and Dark Fibre Africa – together worth an estimated R13bn – with the option of increasing the stake to 40%.

‘This interference is a clear attempt to protect the Johann Rupert family, the interests of the white capitalist elites, and entrench the duopoly of Vodacom and MTN in SA’s telecommunications industry,’ the EFF said.

Meanwhile, the DA said it welcomed Tau’s move to appeal against the tribunal’s ruling.

‘This unprecedented move by the Minister offers an important opportunity not only to revisit this specific case but also to promote meaningful reform of SA’s competition policy more broadly,’ the DA said.

Full Business Day report

A Moneyweb report notes the EFF has called for the Portfolio Committee on Trade, Industry & Competition to hold a hearing on the matter, inviting input from all stakeholders.

It stressed the need for the committee to respect the independence of the tribunal while upholding democratic principles.

The EFF has dismissed claims that the merger would ‘boost investment and create jobs’, describing them as smokescreens designed to deceive the public.

The party argued that historical trends show that monopolies primarily benefit the wealthy, leaving ordinary South Africans to shoulder the burden of inflated prices and limited choices.

Full Moneyweb report