PETALING JAYA: Private medical practitioners have been warned not to introduce new service-related charges as it could infringe the Competition Act 2010, says the Malaysia Competition Commission (MyCC).
Its chairman Tan Sri Idrus Harun said the commission expressed grave concern over recent reports from multiple media outlets regarding proposals by associations of private medical practitioners in Sarawak, Penang, Selangor and Kuala Lumpur to impose the fees.
“These include additional fees such as prescription charges, registration fees, regulatory compliance charges and facility fees, either already implemented or currently under consideration.
“MyCC firmly maintains that any decision made by associations, including those representing private general practitioners (GPs) to introduce these additional fees, may infringe the Competition Act 2010 (Act 712),” he said in a statement on Friday (May 23).
Under Section 4(2)(a) of the Act, GPs are considered “enterprises” and any agreement between enterprises, including the decision by association to set prices or trading conditions may be deemed anticompetitive.
“Such conduct is categorised as a serious infringement.
“It constitutes a breach of the Act regardless of whether it is implemented or simply agreed upon,” Idrus added.
He said when associations collectively agree to introduce new charges, such action may be interpreted as an agreement to fix trading conditions.
“Similarly, any recommendation of a price range, regardless of whether it is binding or not, may be regarded as the conduct of price fixing under Section 4 of the Act,” he said.
Idrus said the MyCC urged the Society of Private Medical Practitioners Sarawak to retract its advisory issued to members encouraging the implementation of specific new fees.
“MyCC also calls upon the Private Medical Practitioners’ Association of Selangor and Kuala Lumpur and the Penang Medical Practitioners Society to refrain from convening meetings or taking any steps that may result in collective decisions to fix fees or introduce uniform charges,” he said, adding that these actions may be considered infringements of the law.
Should there be such breaches of the Act, MyCC may impose a financial penalty of up to 10% of its worldwide turnover for the duration of the infringement.
“The MyCC will not hesitate to investigate and take strict enforcement action against any party engaged in anti-competitive conduct,” Idrus said.
He added that the MyCC is closely monitoring this matter and strongly urges all stakeholders, especially those in the healthcare sector, to fully comply with the Act.
