Russia Should Refine Laws on Self-Regulated Organizations
OREANDA-NEWS. November 30, 2009. The laws on self-regulated organizations should be refined to prevent creating additional administrative barriers for market entry of new participants. The conclusion was reached by members of the Community Advisory Council at the Federal Antimonopoly Service (FAS Russia), reported the press-centre of FAS Russia.
Members of the Community Advisory Council pointed out at the "sensitive issues" of the law on self-regulated organizations in construction, which came into effect on 22nd July 2008. Under the law, from 1st January 2010, construction companies that would like to carry out works, affecting the safety of capital facilities, can perform such kind of works only if they have permission from a self-regulating organisation. From 1st January 2009 their licenses are not valid.
According to a representative of "OPORA Rossii", a champion of the interests of small business in Russia, today the main problem is that activities of self-regulating organizations can push small companies and individual entrepreneurs, that are not members of those organizations, out of the market which reduced the level of competition and leads to monopolization of the market in general.
Members of the Council drew attention of Igor Artemyev, the Head of FAS Russia, that to the fact of "closing the markets" for competition in some regions. In response to that Igor Artemyev made a decision to organize inspections of actions of the authorities in terms of compliance with the antimonopoly legislation when they create self-regulating organizations in the regions.
Reference:
According to "OPORA Rossii", in seven months of 2009 a little bit more than 1% of construction companies joined the self-regulated organizations - 3500 organizations. Overall Russia has 268,000 licensed construction companies.
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