site.btaMPs Pass First-Reading Revisions on Powers of Competition Protection Commission

The National Assembly Wednesday adopted first-reading amendments to the Protection of Competition Act with 109 votes in favor, 35 against, and 35 abstentions. The revisions were tabled by MPs from the ruling majority.

The bill reflects the recommendations of the Competition Committee of the Organisation for Economic Co-operation and Development (OECD), made during the negotiation process for Bulgaria's accession.  

The amendments detail the powers of the Commission for Protection of Competition (CPC) to exercise subsequent control and evaluation of the impact of the implementation of its decisions (the so-called ex post control, also recommended by the OECD). Provision is made for the possibility of including external experts with professional experience relevant to the scope and subject matter of the proceedings in the working team during the investigations carried out by the CPC. 

The bill introduces a new procedure, which is initiated at the request of a respondent in the proceedings willing to admit their participation in a cartel. The admission may result in a settlement agreement containing a confirmation or waiver of the party's participation in the infringement of competition law, as well as liability for that infringement. The settlement procedure is a tool used in practice by the European Commission itself, as well as a number of other Member States (including Germany and France) in order to speed up the adoption of the final act in proceedings for establishing infringements related to cartels, the bill's reasoning reads.

One of the proposed legislative amendments is the possibility for the CPC to carry out on-site inspections within the framework of sectoral analysis proceedings, similar to the on-site inspections carried out in sanction proceedings. On-site inspections are carried out only after judicial authorization by the Administrative Court of Sofia Region, which is subject to judicial review by the Supreme Administrative Court, the bill's sponsors note.

The bill also provides for an amendment to the Electronic Communications Act, creating the possibility for the CPC to obtain data from undertakings providing public electronic communications networks and/or services for the purposes and objectives of proceedings under the Competition Protection Act, if necessary.