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There are currently 10 category of goods listed in the Act that are price controlled on a long term basis. These items are:
(1) Rice (acquired and supplied by the Treasury Department, Ministry of Finance and Economy)
(2) Sugar (acquired and supplied by the Treasury Department, Ministry of Finance and Economy)
(3) Cooking oil (canola,corn,palm,vegetable,sunflower and soyabean),
(4) Formulated powdered milk (for infants to 6 years of age)
(5) Motor Gasoline, RON 97
(6) Motor Gasoline, RON 85
(7) Motor Gasoline, RON 92
(8) Automotive gas oil, Diesel
(9) Kerosene
(10) Liquefied petroleum gas (LPG).
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How do businesses comply to the Price Control Act? |
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Businesses have a responsibility to ensure that prices of price controlled goods are not sold above the maximum price set. The maximum price set on some of the items like cooking oil and Formulated powdered milk (for infants to 6 years of age)
may change from time to time.
Updated prices are informed by businesses’ respective suppliers and uploaded in the Penggunabijak app.
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| 3 | What does maximum price? |
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Maximum price is a price ceiling set by the Government due to public policy justifications.
Businesses can sell at any level not exceeding the price ceiling set. Apart from items that are price controlled over the long term as listed in the law, some goods are price controlled only over a specific period. The duration set is publicly announced and details are available in PenggunaBijak app or
www.deps.gov.bn/cad
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Why are there only limited items covered in this Act? |
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Not all goods sold are regulated by this law because price intervention is only used for staple and essential goods with public policy justifications. This is also to ensure businesses are able to operate in a well functioning market to promote healthy competition amongst businesses.
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What if businesses are found selling price controlled items above the maximum price? |
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Consumers may reach us through Lodge a complaint in PenggunaBijak app with supporting evidence. The complaint will then be assessed to ascertain if it is within scope of the Act, before an investigation can be launched. It must be understood that not all goods in the market are under the scope of the Price Control Act.
With that said, DEPS would like to remind the public to share their concerns in a responsible manner, through Lodge a Complaint feature in PenggunaBijak app or reach us through Talian Darussalam 123 or 8333123 or email us at aduanpengguna@jpes.gov.bn . The complaint will be assessed.
Please be reminded that spreading rumours by forwarding unfounded viral messages is a criminal offence which can carry a penalty of up to $3,000 fine or 3 months jail term or both, under the Public Order Act, Chapter 148.
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Can the public lodge a complaint about price increase of goods in the market?
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Goods that are not listed under the Act are not price regulated by the Act but there may be some essential goods which are monitored due to specific circumstances, such as, unusual surge in demand of some goods due to crisis, and upon policy directive due to public interest justification. Hence, information shared by the public can be used as input for monitoring work to assess the market situation.
For instance, during the Covid 19 pandemic, DEPS received a large number of complaints formally lodged on alleged excessive pricing by facemasks and hand sanitizer sellers, these complaints are taken seriously for assessments due to public interest reason. Such information were assessed in a case by case basis and information shared was used to support the department’s monitoring work in identifying the possible root cause of issues in the market and propose ways to mitigate the situation.
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What action can be taken against businesses that violate the Price Control Act? |
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Action can be taken accordingly as follow:
a)
Compound not exceeding B$1,000
b)
Penalty of B$5,000 and imprisonment for 2 years
c)
Penalty of B$20,000 and imprisonment for 5 years for subsequent offence
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Why are there differences in pricing for identical items in different shops? |
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Prices vary from shop to shop due to differences in cost structure and business strategy. Some retailers may be able to offer their products at more competitive price than others due to cost advantage through bulk purchase, direct order, source of import, lower overhead expenses, lower logistics costs (own transport), rental, labour and the list goes on.
It is important to not assume that businesses have the same cost and should sell at the same price. This is a common misconception often raised by the public.
Hence, consumers are advised to practise price comparison and be aware that choices are available across retail stores to get the best deal. The 1 2 Compare feature in PenggunaBijak app is one initiative to promote such good practice.
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How often do the price inspectors monitor prices? |
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Price inspections are conducted on a daily basis. During these inspections, price inspectors ensure prices of price controlled items do not exceed the maximum prices set.
Price inspectors also inspect for compliance to the display of price regulation and the cheap sale price regulation. |
