KUALA LUMPUR (Jan 19): Malaysia Competition Commission (MyCC), which has asked MALAYSIAN AIRLINE SYSTEM BHD [] (MAS) and AIRASIA BHD [] to produce documents and collaboration agreement on the share swap deal, is still awaiting their response.
It has taken the initiative on its own accord to study if there was a breach of "anti-competitive behaviour" and abuse of dominant position in the deal following the brouhaha surrounding the share swap and collaboration agreement, signed between the two airlines, its chairman Tan Sri Siti Norma Yaakob said at the MyCC 2012 work plan media briefing on Thursday.
MyCC had written to both parties following concerns by many quarters that the deal could possibly weigh on air travellers with expensive airfares in the absence of competition.
"It's not an investigation and since it is the first case for the agency, we didn't provide a timeframe. However, we hope to receive a reply by end-January.
"We want to look into the deal and maybe there's nothing in it," she said.
MyCC is empowered to act if both parties do not respond.
Enforcement of the Competition Act 2010 since Jan 1 is to create healthy competition which will in turn stimulate productivity and innovation, thus creating wider choices of products for consumers with better quality and reasonable prices.
The Act prohibits two types of anti-competitive practices which are anti-competitive agreements between enterprises and abuse of dominant position.
On the agency's work plan, Siti Norma said the Competition Commission would be focusing on advocacy and capacity-building this year, with dedicated programmes targeting priority sectors and key stakeholders.
She said the programmes are being designed and ready to be executed throughout the year.
"Currently, MyCC prioritises its activities to ensure the Act was enforced in a responsive manner.
"We will focus on enforcing Section 4(2) of the Act under which practices such as price-fixing, market-sharing, limiting or controlling market access and bid-rigging arrangements will be of immediate focus and where compliance will not be compromised," she said.
MyCC will be issuing a set of guidelines governing the Competition Act 2010 and in line with that, the agency had issued draft guidelines on Market definition, Chapter 1 Prohibition and on Complaints Procedures in last quarter of 2011.
Siti Norma said the three guidelines are expected to be finalised and issued by end of the first quarter this year. - Bernama
It has taken the initiative on its own accord to study if there was a breach of "anti-competitive behaviour" and abuse of dominant position in the deal following the brouhaha surrounding the share swap and collaboration agreement, signed between the two airlines, its chairman Tan Sri Siti Norma Yaakob said at the MyCC 2012 work plan media briefing on Thursday.
MyCC had written to both parties following concerns by many quarters that the deal could possibly weigh on air travellers with expensive airfares in the absence of competition.
"It's not an investigation and since it is the first case for the agency, we didn't provide a timeframe. However, we hope to receive a reply by end-January.
"We want to look into the deal and maybe there's nothing in it," she said.
MyCC is empowered to act if both parties do not respond.
Enforcement of the Competition Act 2010 since Jan 1 is to create healthy competition which will in turn stimulate productivity and innovation, thus creating wider choices of products for consumers with better quality and reasonable prices.
The Act prohibits two types of anti-competitive practices which are anti-competitive agreements between enterprises and abuse of dominant position.
On the agency's work plan, Siti Norma said the Competition Commission would be focusing on advocacy and capacity-building this year, with dedicated programmes targeting priority sectors and key stakeholders.
She said the programmes are being designed and ready to be executed throughout the year.
"Currently, MyCC prioritises its activities to ensure the Act was enforced in a responsive manner.
"We will focus on enforcing Section 4(2) of the Act under which practices such as price-fixing, market-sharing, limiting or controlling market access and bid-rigging arrangements will be of immediate focus and where compliance will not be compromised," she said.
MyCC will be issuing a set of guidelines governing the Competition Act 2010 and in line with that, the agency had issued draft guidelines on Market definition, Chapter 1 Prohibition and on Complaints Procedures in last quarter of 2011.
Siti Norma said the three guidelines are expected to be finalised and issued by end of the first quarter this year. - Bernama
