Oleg Korneev: most complaints in constructions are against the authorities

Businessmen appeal delayed issuing of permits

Last week the Congress-Centre of the Chamber of Trade and Industry of the Russian Federation hosted a Conference on “Novelties on regulating and modernizing the construction industry: challenges for legal departments”.

FAS was represented by Head of FAS Department for Control over Construction and Natural Resources, Oleg Korneev. Attendees included representatives of the Chamber of Trade and Industry, the Chief Department of State Expert Examination of Russia, “IGIIS” Ltd., the Institute for Civil Society Development, Moscow Arbitration Court, etc.

Oleg Korneev outlined the practices of the antimonopoly body on using the appeal mechanism in construction.

From 2016 complaints against the authorities and network companies from builders, designers and other businessmen involved in construction are considered by the antimonopoly body on the fast-track procedure under Article 18.1 of the Federal Law “On Protection of Competition”. It takes 7 -14 days to consider complains.

Today actions of the authorities can be appealed on two grounds:  breaching the procedural timeline specified in the exhaustive lists approved by the Government, or requesting a procedure not included in the list. At the same time, the Law specifies many more violations by network companies to which FAS can react promptly.

“The overwhelming majority of complaints filed to the antimonopoly bodies in the past 1.5 years in the field of construction (42 out of 65) concern unlawful actions by the authorities. At the same time, businessmen most often appeal the authorities delaying permits. We believe that there are other barriers in the construction sector. For instance, excessive requirements to the set of documents. Therefore, we think it is important to extend the list of violations by the authorities in the field of construction that can be appealed to FAS - Article 18.1 of the Law”, pointed out Oleg Korneev.

Industry experts also discussed the novelties in regulating construction and the established enforcement practice. Special attention was paid to the changes in self-regulation in construction, the practices of customers and contractors and dispute settlement.