NMa Presents Areas of Attention and Instruments To Be Used in 2006

The Netherlands Competition Authority (NMa) has designated the media and communication markets as its central areas of attention this year. These are socially important markets in which innovation and dynamism may not be obstructed by restrictions on competition, according to Mr P. Kalbfleisch, Chairman of the Board of Directors, during the presentation of the NMa Agenda 2006.

In addition, NMa will continue to pay attention to the energy, healthcare, construction, financial and transport sectors and the liberal professions. With regard to its regulatory strategy, the regulator has opted primarily for instruments which also require a contribution from undertakings, such as leniency and compliance.

'Making markets work together '
During the press conference and handing over of the Agenda to Minister Brinkhorst of Economic Affairs, Mr Kalbfleisch emphasised that markets that work well require the cooperation of consumers, businesses, other regulators and politicians. "Companies certainly have a role to play in making markets work. Innovative entrepreneurship can stimulate competition on markets. In some cases, this means that we have to be aware of the effects of our interventions before we intervene, certainly in dynamic markets. But it also means that we will intervene if the dynamism is disturbed," according to Kalbfleisch.

Undertakings may contribute to making markets work by implementing their own compliance programmes or by giving notification of infringements within the framework of the leniency programme. Kalbfleisch: "It is the responsibility of undertakings to comply with the Competition Act; enforcement of the Act is our responsibility." NMa can assist undertakings to comply with the Act by issuing informal opinions and publishing policy rules. For instance, in 2005 NMa issued an informal opinion on payment services and on the shrimp fishery industry. The regulator published policy rules for the taxi branch.

With regard to market regulators, according to the Chairman of the Board of Directors of NMa "Our cooperation with other regulators is fruitful, certainly with regulators closely related to our work, such as OPTA and the Office of Health Regulation which is currently being set up. For instance, we coordinate investigations so that companies are not burdened with this twice."

Annual Overview of 2005
In addition to the agenda for 2006, NMa today presented the first figures for 2005. In the past year, NMa imposed sanctions in 20 cases for a total amount exceeding EUR 141 million, which included fines imposed on construction companies in the civil engineering and infrastructure and the installation engineering sectors. In addition, NMa imposed a fine on Broadcast Partners and Nozema Services for entering into agreements with regard to commercial FM radio frequencies which were put out to tender by the government. For the first time, sanctions were imposed under the energy acts and disputes in the energy sector were settled.

In 2005 10 investigations resulted in suspicions of an infringement, which were set out in a report, and the regulator took 80 decisions in relation to mergers, acquisitions and joint ventures. Of particular note were five cases of mergers in the healthcare sector in which NMa considered further research necessary. NMa's Information Line dealt with more than 15,000 tips, reports and complaints.

In setting its annual priorities, NMa consulted society. The responses to the consultation, NMa's Agenda 2006 and the Annual Overview for 2005 can be obtained from NMa's website (www.acm.nl).

A (royalty free) photograph of NMa's Agenda 2006 being presented to Mr Brinkhorst is obtainable through ANP fotonet and ANP's digital image database.