STATE DUMA ADOPTED BILL ON APPROVAL OF PREFERENCES TO SUPPORT SMES PREPARED BY FAS

Improving procedure for the state bodies to submit applications to FAS on approval of preferences will optimize administrative procedures and support business

According to the current legislation, the state bodies are obliged to submit to the antimonopoly authority an application for approval of the provision of state (municipal) preferences [1].

FAS Russia proposes to release them from this obligation by the end of 2022 if preferences are provided for the purpose of social security of the population [2], support for small and medium-sized businesses [3] and ensuring the country's defense capability and state security [4].

At the same time, it is assumed that the state bodies will be obliged to notify FAS Russia about the granting of such preferences. FAS Russia will continue to closely monitor the preservation of competition.

For reference:

[1] In accordance with Part 3 of Article 19 of the Law on Protection of Competition, in order to grant preferences for the purposes specified in Part 1 of Article 19 of the Law on Protection of Competition, the prior consent of FAS Russia is required.

[2] Paragraph 10 of Part 1 of Article 19 of the Law on Protection of Competition.

[3] Paragraph 13 of Part 1 of Article 19 of the Law on Protection of Competition.

[4] Paragraph 8 of Part 1 of Article 19 of the Law on Protection of Competition.