South African Tribunal Dismisses Cartel Complaint Against Fire Safety Firms, ASIB

a red and black fire alarm control

Pretoria, November 3, 2025 — South Africa’s Competition Tribunal has dismissed a referral filed by the Competition Commission (CompCom) against the Automatic Sprinkler Inspection Bureau (ASIB) and six other firms in the fire protection industry, finding insufficient evidence that the companies engaged in anticompetitive conduct.

Complaint Withdrawals and Settlements

The case originally involved ASIB and 17 other firms accused of dividing markets by allocating services and geographic territories. Before the hearing, CompCom withdrew its case against TFMC, while a total of 10 firms settled with CompCom and the settlements have been confirmed by the Tribunal.

The settling companies are Jasco Security & Fire Solutions, Belfa Solutions, Bubhesi Fire Projects, Centa KZN Sprinklers, Country Contract, Cross Fire Management, Fire Check, East Coast Distributors t/a Fire King, Sylvester Fire and Piping Services, and Whip Fire Projects.

Meanwhile, the authority referred the remaining parties, comprising ASIB and six firms—National Security & Fire, Fireco, IBR Fire Protection, Multi-Net Solutions, Specifire, and Tshwane Fire Sprinklers—to the Tribunal.

Tribunal’s Findings

The Tribunal found that ASIB, established in the 1970s by the short-term insurance industry to fill a regulatory void, holds a dominant position in inspection services but does not compete with installers. The Commission failed to prove that ASIB and the firms were actual or potential competitors, concluding there was no horizontal relationship or agreement to divide services.

On the geographic complaint, the Tribunal rejected the Commission’s claim of a “hub-and-spoke” cartel, finding no evidence that ASIB restricted installers to specific territories or penalised those operating outside their listed provinces.

Regulatory Gaps and Advocacy

While dismissing the case, the Tribunal highlighted a regulatory gap in South Africa’s fire protection industry, calling for the Commission to take an advocacy role to promote clearer national standards. “Fires threaten lives and property… Advocacy by the Commission to improve regulation of the industry could include engaging with bodies responsible for safety standards,” it said.

ASIB has since undertaken to clarify its listing conditions, confirming that installers are free to operate nationwide and that the restriction on inspection services remains solely to prevent conflicts of interest.

Source: https://www.comptrib.co.za/info-library/press-room/Competition-Tribunal-dismisses-market-division-complaint-in-fire-protection-industry

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