How Can Competition Benefit Our Daily Lives 04 November 2014

Diamond Hotel, Manila

Ruth U. TanOffice for CompetitionDepartment of Justice

State of Competition Regime in the Philippines

Competition Advocacy ForumCompetition Advocacy Forum

30+ Competition

laws

Sectoral approach to CPL implementationSectoral approach to CPL implementation

60+ Sector

regulators

“Advocacy + Enforcement”

1987 Constitution 1987 Constitution Act 3247Act 3247 (1925) –treble damages Act 3815 Act 3815 (1932)- RPC on monopolies & combination in restraint of trade; machinations in public auction RA No. 7581RA No. 7581 (1992) – Price Act RA No. 8479 (1998) - RA No. 8479 (1998) - downstream oil industry

Current LawsCurrent Laws

RA No. 4152 (1964) vest SOJ with legal and RA No. 4152 (1964) vest SOJ with legal and enforcement duties in competitionenforcement duties in competition

“study all laws relating to trusts, monopolies and combinations; to draft such legislation as may be necessary to up-date of revise existing laws to enable the Government to deal more effectively with monopolistic practices and all forms of trusts and combination in restraint of trade or free competition and/or tending to bring about non-competitive prices of articles of prime necessity; to investigate all cases involving violations of such laws; to initiate and take such preventive measures, including appropriate judicial proceedings, to prevent or restrain monopolization and allied practice or activities or activities of trust, monopolies and combinations.”

Current LawsCurrent Laws

Designated DOJ as competition authority of the Philippines

Created the OFC Did not diminish power of sector regulators Relationship with SRs is governed by a

framework for concurrent application of CL

EO 45 (2011)EO 45 (2011)

Guidelines governing relationship with SRGuidelines governing relationship with SROperational relationshipNotification & referral procedureComplaints handlingExchange of information Delineation: Delineation: SR – Technical & economic regulationOFC – Competition enforcement; exceptions Fundamentals of CooperationFundamentals of Cooperation

EO 45 (2011)EO 45 (2011)

Challenges, Legal Challenges, Legal Scattered Provision on mergers, abuse of dominanceLargely criminal Challenges, EnactmentChallenges, Enactment What are the chances in the 16What are the chances in the 16thth Congress? Congress?

Political commitmentSupport (business, academe, legislators)ASEAN commitment

Legislative InitiativesLegislative Initiatives