Regional Cooperation and Networking

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FEDERAL ANTIMONOPOLY SERVICE
Regional Cooperation and Networking of the FAS
Russia Andrey Tsyganov, Deputy Head of the FAS
Russia
Sofia Competition Forum November 12, 2012,
Sofia, Bulgaria
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International Cooperation of the FAS Russia

• Enforcement of Part 2, Article 3 of the Law on
  Protection of Competition (extraterritoriality)
• 47 cooperation agreements with competition
  authorities (incl. Brazil, Bulgaria, Czech
  Republic, China, Estonia, Italy, Finland, France,
  Mexico, Poland, Romania, Slovakia, Spain, USA,
  Venezuela, Vietnam, etc.)
• 5 new type agreements (Mexico, EU, Hungary,
  Austria, Spain) which include mechanisms of
  cooperation when considering violations on
  trans-border markets)
• Coordination of actions with foreign competition
  authorities within the frameworks of
  investigations
• (CIS, ?U, BRICS, USA)
• Use of inter-state mechanisms for mutual legal
  assistance.

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Enforcement on the Cross-Border Markets
Cooperation within the CIS

• Interstate Agreement on Antimonopoly Policy
  Coordination (1993)

• The Interstate Council for Antimonopoly Policy
  (ICAP)

was founded in 1993 is a basic forum for
cooperation between the national competition
authorities of the CIS countries

• Harmonizing national competition laws of the CIS
  member-states
• Coordinating approaches to various regulatory
  aspects
• Enhancing cooperation between the antimonopoly
  bodies of the CIS member-states in
  investigations of cross-border violations.

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Enforcement on the Cross-Border Markets
Joint investigations within the CIS

The Headquarters for Joint Investigations was
established in 2006 by the Decision of the ICAP
members

• Establishment purposes
• Joint investigations of violations of the
  antimonopoly legislation in socially important
  and infrastructural markets, which successful
  functioning directly affects welfare of the CIS
  citizens and promotes integration of the CIS
  member-states.

Investigations on the markets of air
transportation, telecommunications, grain, food
products, pharmaceuticals, electric power
energy, oil and oil products.
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Enforcement on Cross-Border Markets

• Agreement on the common competition principles
  and rules of October 9, 2010 (entered into force
  on January 1, 2012)
• Agreement on Eurasian Economic Commission (EEC)
  - a united permanent regulator of the Customs
  Union (CU) and the Common Economic Space in
  several spheres of activity, including
  competition policy.

Establishing supra-national institutions for
protecting competition within the Common Economic
Space of the Republic of Belarus, the Republic of
Kazakhstan and the Russian Federation (since
February 2012)
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Competition policy in the course of the CES
Realization of the competition policy within the
CES
National level
Supranational level
EEC
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The Eurasian Economic Commission
November December 2010 accepted
contract-legal basis of the Common Economic Space
(CES) - the basis for organization of CES.
November 2011 accepted an Agreement on
Eurasian Economic Commission (EEC) - a united
permanent regulator of the Customs Union (CU) and
the Common Economic Space in several spheres of
activity, including competition policy.
February 2012 the Eurasian Economic Commission
(EEC) started exercise its functions.
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Strengthening closer cooperation withcompetition
authorities of EU
Memorandum of Understanding on Cooperation
between the FAS Russia and the DG Competition
signed in Brussels on March 10, 2011.

• Basic means
• conduction of joint markets analysis,
• conduction of joint investigations on violations
  of the antimonopoly legislation on Russia and
  the EU markets,
• conduction of joint merger reviews of
  transactions affecting the state of competition
  in the Russian and EU markets,
• exchange of information (publicly available,
  sensitive) under investigation of violation of
  the antimonopoly legislation.

www.fas.gov.ru
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Cooperation within the BRICS format
Since 2008 the cooperation with BRIC (since 2011-
BRICS) Competition Authorities is one of the
major priorities of the FAS Russia international
activities

• Joint BRICS activities in the field of
  competition policy
• BRICS International Competition Conferences (1st
  was held in 2009 in Kazan (Russia) 2nd was held
  in Beijing (China) 3rd will be held in Delhi
  (India) in November 2013
• In 2011 leaders of the Competition Authorities of
  the BRICS countries decided to develop
  interaction within the working groups on joint
  investigations in the pharmaceutical market and
  in the passenger traffic market (Beijing
  Consensus)
• Joint BRICS Book Competition Law in the BRICS
  countries (presented on October 1, 2012, in
  Dublin (Ireland)

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The positive experience of bilateral cooperation

• participation of the heads of competition
  authorities of Austria, Hungary, Lithuania,
  Romania, in the meetings organized by the
  Interstate Council for Antimonopoly Policy of the
  CIS member-states (ICAP),
• exchange of information on the most interesting
  recent cases considered by the FAS Russia through
  participation in seminars and training programs
  (annual study visits to the FAS Russia in
  December),
• exchange of information on the situation in the
  fuel market (Portugal), on the transaction on
  acquisition by gas companies (Hungary), on the
  results of investigations into the financial
  sector (Hungary), on the anticompetitive
  practices by producers of equipment (the
  Netherlands), etc.

www.fas.gov.ru
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New forms of practical cooperation
On the initiative of the FAS Russia the
following international working groups (WG) were
created - WG on research of pricing on the oil
and petroleum-product markets and methods of
their functioning (Russia, Austria, Kazakhstan,
Ukraine, Lithuania, Portugal, Germany and
others) - WG on pharmaceuticals (Russia,
Italy) - WG on roaming (Russia, Kazakhstan,
Azerbaijan, Ukraine, Turkey and others).

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Supplement No.2. Block Diagram of the Main
Activities of the Working Group on Investigating
Issues on Pricing at the Oil Product Markets and
Methods of their Functioning in the Near Future
3rd International Forum The Exchange and OTC
Markets for Oil and Oil Products in the Russian
Federation Decision on creating the Working
Group. Determination of goals, objectives and
priority areas of the Working Groups
operations.
Session of the Working Group on Investigating
Issues on Pricing at the Oil Product Markets and
Methods of their Functioning No.1 (January 24,
2012, Moscow, Russia)
Session of the Working Group on Investigating
Issues on Pricing at the Oil Product Markets and
Methods of their Functioning No.2 (June 29,
2012, Vienna, Austria)
Elaboration of methodology for determining the
product and geographical boundaries of the
wholesale and retail markets of oil and petroleum
products
Session of the Working Group on Investigating
Issues on Pricing at the Oil Product Markets and
Methods of their Functioning No.3 The Russian
Competition Day (September 11, 2012, Kazan,
Russia)
Discussion of existing approaches to monitoring
and analysis of the wholesale and retail markets
of oil and petroleum products
Session of the Working Group on Investigating
Issues on Pricing at the Oil Product Markets and
Methods of their Functioning No.4 (October 4-5,
2012, London, UK, Platts)
Study of the issues of pricing of oil and oil
products on domestic markets, including the
impact of world prices on the pricing of national
markets
Exchange of experience and approaches to the
enforcement of the antimonopoly legislation in
the market of oil and oil products
Session of the Working Group on Investigating
Issues on Pricing at the Oil Product Markets and
Methods of their Functioning No.5 (
)
Discussion of non-confidential information
exchange proceedings among members of the Working
Group
The result of the Working Group should become
Preparation by the competition authorities of
proposals for national governments to promote
competition in the markets of oil and oil products
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The Training Centre of the FAS Russia
On September 12, 2012 the Training Centre of the
FAS Russia in Kazan began its functioning. The
Training Centre of the FAS Russia is a specially
created platform to provide the dialogue on
development of competition legislation and
exchange of best enforcement practices.
Annual study visits of experts from competition
authorities to the FAS Russia - Since 2007 the
FAS Russia Headquarters in Moscow. - Since 2012
- the Training Centre of the FAS Russia in Kazan.
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THANK YOU!
fasovka
anticartel.ru
international_at_fas.gov.ru