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2005/SOM2/CPDG/010
Agenda Item: 7

 

 

 

Convenor� Summary Report to 2nd CTI Meeting

 

Purpose: Consideration
Submitted by: CPDG Chair

 

 

 

 

 

 

 

 

 

Competition Policy and Deregulation Group Jeju, Korea 24 May 2005

 

 

 

(OAA ISSUE AREA)

CONVENOR� SUMMARY REPORT TO 2ND CTI MEETING

1. Major Developments since the 1st CTI meeting (including the major outcomes of the sub-forum meetings at Jeju prior to the 2nd CTI meeting) with respect to progress made in their 2005 work programs/plans, particularly in response to CTI Priorities:

(a) Support for the Multilateral Trading System;

The Competition Policy and Deregulation Group (CPDG) continues providing support for a competitive environment in the APEC region, it also contributes to the progress towards free and open trade and investment, whether in the multilateral context or within APEC. In its annual meeting, CPDG members made several suggestions regarding possible ways to support the Multilateral Trading System, including��

(b) Trade Facilitation;

Growth and development of the Asia-Pacific region have greatly benefited from open trade and investment regimes. More can be done to comply with this CTI priority, and the CPDG has been contributing to this CTI priority in three specific ways:

1. Implementing the APEC-OECD integrated Checklist on Regulatory Reform (Checklist). The Checklist is meant to serve as an instrument for self-assessment on regulatory, competition and market openness policies. Its aim is to implement the APEC and OECD principles embodied in the APEC 1999 declaration of Principles to Enhance Competition and Regulatory Reform and the OECD Policy Recommendations for Regulatory Reform contained in the Report on Regulatory Reforms presented to OECD Ministers in 1997. The Checklist is to be used on a voluntary basis, in accordance with APEC's principle of voluntarism. It also complies with the 2004 Leaders Mandate for Expanded Trade in APEC, as it facilitates the reduction of business transaction costs by cutting red tape and eliminating unnecessary barriers to trade.

Implementation of the checklist will require endorsement by the political bodies of both APEC and the OECD. The process of approval has begun in APEC, with the checklist already approved intersessionally by CPDG (March 18th) and CTI (April 29th), and being submitted for approval by SOM and then by MRT's. The OECD� Council is expected to endorse the Checklist. Once it is approved by the political bodies of both APEC and the OECD, the CPDG expects to work jointly with the OECD to promote its wide diffusion and encourage its implementation in order to guide economies in achieving "good" as opposed to "best" practices in regulatory reform. The checklist should also serve as a tool to assist with capacity building, for example, to develop a complementary set of small case studies or examples on implementation to be used for training purposes.

2. Updating of the APEC Competition Policy and Law Database overseen by Chinese Taipei.

3. Developing countries have also benefited from CPDG� capacity building activities, including the APEC Training Course on Competition Policy, which will be held from 2005 to 2009. Through capacity building work, developing countries are better equipped to reduce unnecessary regulatory burdens, and improving their competitiveness.

(c) Transparency and Anti-corruption; and

To advance key CTI transparency policy interest, the CPDG will be promoting an experience sharing discussion among its members regarding any recent developments in their competition legislation. During this annual meeting, Japan and Korea will be making presentations on recent developments in their competition law and policy, and Hong Kong has submitted a written document outlining its own developments in these matters.

(d) Digital economy and strengthening intellectual property rights.

N/A

N/A

Japan submitted a proposal for the continuation of its training efforts aimed at staff in competition and competition-related authorities. The current project, �PEC Training Course on Competition Policy, comprises a tentative schedule of five training courses to be held once a year from 2005 to 2009. The project will be more focused and narrower in scope than the �PEC Training Program on Competition Policy��. The five training courses will be held in The Philippines, Thailand, Malaysia and Indonesia, and discussions will focus on the following issues: abuse of dominant position, organization and function of competition agencies, mergers, capacity building for effective enforcement, cartels, and competition policy development, among others.

This initiative will contribute to �PEC Principles to Enhance Competition and Regulatory Reform��, which was presented at the CPDG and Strengthening Economic Legal Infrastructure Coordinating Group Meeting. This project has also been a response to the �tructural Reform in APEC economies�� and �PEC Structural Reform Action Plan�� adopted by APEC Ministers in their 2003 Meeting, and by Leaders in the �eaders�� Agenda to Implement Structural Reform (LAISR)��, in 2004.

繚 Lend support in ensuring approval of the APEC-OECD Integrated Checklist on Regulatory Reform by SOM and MRT�.

繚 Endorse the �PEC Training Course on Competition Policy�� submitted by Japan.

繚 Endorse CPDG activities for 2005.