HOW TO PREVENT VIOLATIONS OF THE ANTIMONOPOLY LAW BY REGIONAL AUTHORITIES IN RUSSIA?
The main criteria is introducing antimonopoly compliance, prophylactic work and risk evaluation
Recent FAS statistics shows that the authorities are the main violators of the competitive norms. 2018-2020 National Plan for Developing Competition in the Russian Federation specify certain measures to solve the issue, particularly, antimonopoly compliance.
On 24-25 January 2019 FAS organized a workshop for regional bodies on implementing antimonopoly compliance by the authorities if the subjects of the Russian Federation.
“During those days there was a big conversation as to how FAS can help regional bodies to implement antimonopoly compliance. It should be pointed out that such efforts should also take place at the municipal level. In our opinion, municipal bodies also can be actively involved in this activity”, said Deputy Head of FAS Sergey Puzyrevskiy.
“Introducing this tool in the economic management system in a subject of the Russian Federation will not be just a check in a reporting box. As a result, the attitude to making economic decisions in a region has changed”, emphasized Deputy Head of FAS.
Sergey Puzyrevsky thanked staff of FAS regional Offices for the work done and asked them to stay strong in pursuit of the goals.
Head of FAS Legal Department, Artem Molchanov described collaboration with the Offices of Plenipotentiary Representatives of the President of the Russian Federation in the Federal Districts. He pointed out that instructions of the Prussian President issued following the State Council on competition are under special control. Artem Molchanov announced that in spring there will be a second series of teleconferences with regions jointly with the Offices of Plenipotentiary Representatives of the President of the Russian Federation in the Federal Districts.
He also discussed the work on the Road Map for competition development that comprises 274various measures. The work is currently on schedule and should be completed by 2020 in collaboration with sectoral regulators.
Artem Molchanov underlined the documents that have an evolutionary nature: the Rules for non-discriminatory access to ports and услугам generally available postal service.
“Such documents are already adopted and exist in practically all sectors with natural monopolies. Our enforcement practice shows that the rules have already proven efficient. In fact it is the trend of the state to provide equal opportunities for all market participants”, informed Artem Molchanov.
He said: “The new Rules have created the necessary conditions for developing efficient and fair competition on these markets and facilitate non-discriminatory access of private business to the infrastructure of natural monopolies”.
Deputy Head of FAS Legal Department, Oksana Kuznetsova, drew attention to the orders of the President of Russia based on the outcome of the meeting of State Council of the Russian Federation on 5 April 2018 to the regions for developing competition. She stressed that by 1 December 2018 absolutely all regions had devised and coordinated with FAS their key indicators for competition development.
“It is confirmed by active engagement of regional authorities in pursuing 2018-2020 National Plan for Developing Competition in the Russian Federation”, reported Oksana Kuznetsova.
Head of FAS Fiscal Control Department, Vladimir Mishelovin, answered questions raised by the workshop participants and presented the position of the antimonopoly authority regarding the procedure for implementing the antimonopoly compliance in the work of regional and municipal authorities.
He emphasized: “No doubt, regional specifics should be taken into account – peculiarities of the economy and markets development in a particular region, public administration, qualification of management teams. Practice and results of antimonopoly control over the authorities is one of the key factors. The exposed threats and proposals on preventing them that the matrix should contain must be included in the Road Map. Consulting and efficient support in devising the risk matrix is one of the main tasks of FAS regional bodies”.
The final report was given by Elena Rybachenko, Deputy Head of FAS Fiscal Control Department. She described interaction between the Antimonopoly Service and the Public Chamber of the Russian Federation aimed at executing the provisions of the National Competition Development Plan to create a system of Public Councils at FAS Regional Offices.
“In 2018, FAS and the Public Chamber devised a concept of reforming Public Councils, that later was approved by FAS Order of 26th December. The basic difference of Public Councils in the new format will be that they will not comprise public servants. The Council members will be selected on a competitive basis. Hopefully, Public Councils will become an efficient tool of control by the society over implementation of the National Plan and developing competition in the Russian Federation”, explained Elena Rybachenko.