Competition commission is vital to RA 10667, says MBC

The officials who will head the Philippine Competition Commission play a crucial role to the success of the recently signed Philippine Competition Act or RA 10667, the Makati Business Club (MBC) said Friday.

 

“In the end, the law will level the playing field so that even small players can compete with the giants and will rely on those with whom we will bestow the reins of the competition commission,” Peter Perfecto, executive director of MBC said in an interview.

 

The MBC groups the largest corporations in the Philippines.

 

The business community is keenly following the developments surrounding RA 10667, particularly "... these processes of finalizing the IRR and choosing the commission leaders,” Perfecto noted.

 

The Department of Justice has been tasked to prepare and come up with the implementing rules and regulations (IRR) of the law 180 days from its enactment. President Benigno Aquino III signed the law on Tuesday, July 21.

 

RA 10667 enables small enterprises to compete with big business by penalizing anti-competitive practices like price fixing, cartels and bid rigging. It requires the creation of an independent commission or quasi-judicial body headed by a chairperson and four commissioners.

 

The commission may impose penalties of up to P100 million on the first offense and not less than P100 million to P250 million for the second offenders involved in anti-competitive practices.

 

The members of the commission must be of “good moral character, of recognized probity and independence” and have distinguished themselves professionally for at least 10 years in economics, law, finance, commerce or engineering.
 

Aquino said during Tuesday's signing ceremony that “... we can now say that there is true competition in the market… because we have removed the so-called ‘under-the- table’ arrangements that had for so long put small businesses at a disadvantage.”

 

One of the principal authors of the competition bill, Sen. Bam Aquino said, “The new law will lead to an efficient market economy and a level playing field for all businesses.” 

 

The law also mandates the courts to impose penalties of two- to seven-year imprisonment and maximum fines of P250 million for anti-competitive deals done between and among competitors. – VS, GMA News