Press Release
C. 09-13 th
El Salvador, May 14 , 2013.
CS launched toolkit to promote competition in legal framework The Competition Superintendence launched its “Toolkit to Assess the Legal Framework which may pose Restraints on Competition”, in order to contribute in the preparation of laws less restrictive to competition. “Many laws and regulations restrict market competition, since many go further than necessary to achieve their policy objectives, thus, excessively restraining competition”, asserted Francisco Diaz Rodriguez, Competition Superintendent.
The Competition Superintendence presented its “Toolkit to Assess the Legal Framework which may pose Restraints on Competition”, which seeks to identify governmental regulations which might create unnecessary regulatory restraints and developing alternative, less restrictive policies that still achieve government objectives and allow consumer welfare. The purpose of the aforementioned toolkit is to contribute with Ministries and other public institutions in the preparation drafts of law, regulations, amongst others, to consider competition issues while beginning to draft them. A review may also take place when the legal framework is already in force. Personnel of the Competition Superintendence presented said toolkit to public servants involved in drafting laws, treaties, regulations, and technical legal framework.
One of the main aspects of the “Assessment Toolkit” is a competition checklist containing a series of simple questions to screen for laws and regulations that have the potential to unnecessarily restrain competition. A competition assessment would be needed if the drafted proposal contains any of the following three impacts: 1) Limits the number and variety of suppliers; 2) Limits the competitive capacity of the suppliers; and, 3) Reduces the incentives of the suppliers to compete aggressively, The Competition Superintendence signed a cooperation and coordination agreement with the Secretariat for Legislative and Legal Issues of the Republic´s Presidency. As a result of said agreement, the relationships of said Secretariat with other public institutions will be used to carry out joint activities with the in-house legal departments of the governmental entities to promote competition.