
In its latest Annual Report, the Competition Council of Latvia (CC) has compiled the most significant achievements of the authority and topicalities of application of the competition law in Latvia in 2019.
In the last year, significant resources of the authority were devoted to prevention of activities of public administrative bodies that restrict development of fair competition. In spring of 2019, the CC detected bid-rigging by several companies in price quotations organised by SIA “Rīgas satiksme”, which is owned by Riga City Council. Moreover, the official of the public administrative body was not only aware of these competition distortions, but even initiated the bid-rigging.
Also, last year, the CC took action against efforts of Riga City Council to eliminate competition on the household waste collection market. To prevent market monopolization for a period of 20 years, the CC imposed interim measures for the first time, which were aimed at preservation of the competition structure on the household waste management market until adoption of the final decision by the authority.
In the previous year, 75 applications were received related to competition distortions caused by public administrative bodies. Therefore, the year 2019 was notable for the fact that following several years of discussions the CC finally has obtained more efficient powers to fight against competition distortion caused by public administrative bodies.
On January 1 of this year, amendments to the Competition Law came into effect, imposing an obligation on public administrative bodies to follow the principle of competition neutrality, i.e., to refrain from creating any advantages to themselves and their capital companies that are not available to players of the private sector.
Full Content: Baltic Times
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