OREANDA-NEWS. April 24, 2014. The Head of FAS Department for Control over Electric Power Industry, Vitaly Korolyov, and Deputy Head of FAS Fiscal Control Department, Elena Rybachenko, took part in the Round Table on “Pressing Issues and Problems of Putting in Force the Authority for Establishing Municipal Unitary Enterprises” organized at the State Duma of the Russian Federation.

FAS representatives outlined the position of the antimonopoly authority on the prospects of municipal unitary enterprises.

The Head of FAS Department for Control over Electric Power Industry, Vitaly Korolyov, discussed changes to the procedures of establishing new unitary enterprises proposed by the Antimonopoly Service.

“FAS introduced draft amendments to the Government of the Russian Federation, according to which the antimonopoly authority shall be assigned powers for coordinating establishing new state and municipal unitary enterprises ”, said Vitaly Korolyov. “It does not mean direct prohibition of enterprises of such form, but at the same time it will enable FAS to carry out preliminary analysis of competitive environment on a market, where it is planned to form a unitary enterprise, evaluate an impact of such economic entity upon competition. It is obvious that the level of competition in the same field can differ considerably in different subjects of the Russian Federation based on climatic and other conditions”.

Deputy Head of FAS Fiscal Control Department Elena Rybachenko talked about the efforts of the antimonopoly authority under the framework of the Road Map for “Developing Competition and Improving the Antimonopoly Policy”.

She stated that “FAS and “OPORA Russia” National Non-Government of Organization of Small and Medium Business formed a Working Group that analyses the situation and compiling a list of priority markets for developing small and medium business”.

Elena Rybachenko also informed that the Working Group is drafting proposals on decreasing the number of government-sponsored enterprises in the competitive sectors of the economy.

“State companies undoubtedly must be preserved in those sectors where competition is simply inexpedient due to national security information, complex engineering solutions, for instance, in such fields as nuclear power industry, aerospace, defence”, emphasized Elena Rybachenko. “At the same time, in such industries as road construction, medical and pharmaceutical services, transport, housing & utilities, education, amenities and landscaping, security services, ceremonial services, retail and wholesale trade, or public catering the share of municipal enterprises should be decreased. Such market participants hamper growth and development of small business”.

Participants expressed their interest in continuing cooperation with FAS Russia to elaborate proposals on establishing and performance of municipal unitary enterprises.