Lindita Milo, the head of the Competition Authority, says that it is widely accepted that enterprises are more prone to engage in anti-competitive practices such as cartels or abuse of dominant position in times of economic slowdown
TIRANA, March 5 – The high level of informality and unfair treatment of market stakeholders by the actions and inactions of the public administration has a direct impact on the implementation of the competition law in Albania, the Competition Authority says. Speaking in a international conference on the tenth anniversary of the establishment of the Competition Authority in Albania, Lindita Milo, the head of the Authority, said that it is widely accepted that enterprises are more prone to engage in anti-competitive practices such as cartels or abuse of dominant position in times of economic slowdown when companies’ profit rates drop and access to financing declines.
“Lack of experience for a full evaluation of effects of anticompetitive practice on the market by the judiciary causes problems in the effective implementation of the competition law,” said Lati.
She called for closer cooperation with government on the implementation of competition policies and the full liberalization of the Albanian economy.
Speaking about exclusive rights given to special companies, which are practically a monopoly, Lati said government should cooperate with the Authority in setting reasonable prices for the products or services offered under concession contracts.
Economy Minister Arben Ahmetaj described free competition as key to increasing production.
“We are convinced that under conditions when the Albanian economy is performing below potential, and remittances and exports have been falling, the only instrument to promote development and economic growth is opening up the market to domestic and foreign investments. In this respect, the role and the responsibility of the Competition Authority is to act independently of politics, protect free and fair market competition,” said Ahmetaj.
During its 10 years of operation, the Competition Authority has made more than 300 decisions and imposed fines more than 1 billion lek (Euro 7 million) and has given a series of recommendations to Parliament, government and regulatory entities brining benefits to consumers because of the increase of competition in markets such as telecommunication, different goods and services, insurance, banks, public procurements etc. The amount of fines during the Authority’s 10 years of functioning is small considering allegations of uncompetitive practices in the above mentioned markets and that part of them have been turned down by courts.
