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MyCC ready to implement Competition Act

Thursday, 29 September 2011 09:29am

©The Sun (Used by permission)
by PREMALATHA JAYARAMAN

> Commission to issue guidelines in December

PETALING JAYA: The Malaysian Competition Commission (MyCC), which will issue guidelines pertinent to the Competition Act 2010 in December, is ready to implement the legislation come Jan 1 to protect the interest of consumers and create healthy competition in the market.

This is despite having only two enforcement officers, although its CEO Shila Dorai Raj said the commission plans to recruit more officers as well as set up branches in Sabah and Sarawak.

“We are currently in the midst of tying up some loose ends in the guidelines. Once they are completed, we will hold consultations with the private sector to seek their views,” she told SunBiz in an interview.

The guidelines will contain details about certain law issues and will provide clarity to the stakeholders.

“The guidelines basically explain in detail on a range of relevant sections in the new legislation. Come Jan 1, I think the business sector will understand how the commission will enforce the law,” she said.

Under the Competition Act 2010, MyCC is empowered to investigate alleged anticompetitive behaviour, conduct raids and impose fines.

Shila said since its inception in June 2011, the commission has received complaints such as price fixing.

“But that does not mean come Jan 1, we will immediately go out and start investigating and finding people,” she said, adding that it may take a while to enforce the law as it is not easy to investigate a case, especially if it is complicated.

“Our priority is advocacy. We need to educate the private and public sectors and consumers on the various provisions of the Competition Act, the implications (of ignoring the law) and what exactly the business sector has to do,” Shila said.

For starters, the business sector would need to put in place a compliance programme.

“If they have any agreements that are anticompetitive in nature, then the business owners have to review them and ensure that they do not go against the competition law,” she added.

On its part, MyCC has initiated several advocacy programmes to increase awareness of the Competition Act among stakeholders, especially businessmen.

Shila said the Competition Act refers to prohibition of anti-competitive practices and abuse of dominant positions in commercial activity which affect competition in Malaysia.

The Act applies to commercial activities within and outside Malaysia. It prohibits fixing of prices, trading terms, limiting or control of production, market access, outlets or even technical and technological development.

“It is aimed at creating healthy competition which would in turn stimulate productivity and innovation, thus creating wider choices of products for consumers with better quality and reasonable prices,” said Shila.

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