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Procurement organizers negligence facilitated bid-rigging by three amelioration sector companies

On 13 September the Competition Council of Latvia (the CC) adopted a decision finding three amelioration companies – SIA “LIMBAŽU MELIO”, SIA “Bauskas meliorācija” and SIA “Meliorācijas eksperts” – liable for bid-rigging in tenders financed partly from European structural and investment funds. The infringement resulted in all companies receiving a total of 70 000 euros in fines.

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About the control of vehicle technical condition – how a monopoly denies the idea of competition

Author: Skaidrīte Ābrama, the Chairwoman of the Competition Council In the middle of summer, the Competition Council of Latvia (the CC) caused a storm in the public space by coming up with conclusions that in the area of vehicle technical inspection, more specifically – control of technical condition, there are competition restrictions and policy-maker...

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The CC: the number of merger transactions increases

In the first eight months of this year, the Competition Council of Latvia (the CC) has adopted 12 decisions on mergers, which is by 50% more than last year at the same period. Most frequently consolidation of market participants has taken place among retailers of daily consumption products.  In all decisions mergers were permitted, because it does not significantly affect c...

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Riga City Council groundlessly forces holders of Riga resident's card to use the municipal payment system

The Competition Council of Latvia (the CC) states that the existing procedure, where holders of Riga resident's card* can receive discounts on parking services in separate areas of the capital only when making payments through a municipal service provider, causes groundless restrictions both for consumers to choose the payment system that is most convenient for them, and for private entrepreneurs to offer their ser...

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The CC reproaches mobile operators about limiting consumer choice during roaming regulation changes

The Competition Council of Latvia (the CC) concluded, that separate mobile operators, while implementing the EU "roam like at home" rules last year, have promoted only those tariff plans that included the roaming services. The consumers, who are not travelling abroad, had only limited information available on possibilities of choosing cheaper tariffs, i.e., without roaming services, hereby...

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The CC proposes to open the vehicle technical condition control market for competition

During market supervision in the area of state technical inspection of vehicles, the Competition Council of Latvia (the CC) detected, that the state groundlessly restricts possibilities of the private sector to provide one of the components of technical inspection – control of technical condition of vehicles. The CC warns, that by groundless restriction of the market development Latvia may infringe le...

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The CC warns 34 persons for alleged coordination of activities in the first 6 months

In the first six months of 2018, the Competition Council of Latvia (the CC) has warned 34 persons because of activities which led to suspicion of prohibited coordination within six episodes of alleged infringements. These warned companies mainly operate in three sectors – burial, security and driving school services. Prohibited agreements in procurements ar...

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Government supports amendments to the Competition Law

On June 26, the Government supported the amendments to the Competition Law, which provides for efficient powers to the Competition Council (the CC) to take actions against distortion of competition caused by public administrative bodies - the State and local governments. The amendments to the Law are necessary because one of the business environment problems...

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The CC invites to play roles of cartelists and honest entrepreneurs

On 29 June in Cēsis the Competition Council of Latvia (the CC) invited visitors of widely known Latvian conversation festival “LAMPA” to take part in exciting strategic roleplay “Cartel”, where participants had a chance to step into shoes of honest and dishonest entrepreneurs. The purpose of this roleplay was to use an attractive approach to educate the participants about – car...

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The CC educates the defence sector about the high bid-rigging risk in procurements

The Competition Council of Latvia (the CC) in a seminar educates representatives of the Ministry of Defence and the State Centre for Defence Military Objects and Procurement (VAMOIC) about alleged prohibited agreements or bid-rigging in public procurements, which is one of the most severe infringements of the competition law. The defence sector has been under sup...

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Court: parent companies may be responsible for competition infringements of subsidiary companies

On 17  May, the Supreme Court adopted the decision, pursuant to which it is stipulated in the competition law of Latvia that parent companies may bear joint responsibility for infringements of competition law committed by subsidiary companies. That means that also in the future in cases of competition infringements the Competition Council of Latvia (the CC) will be entitled to impose responsibility upo...

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The main topic of the 15th Baltic Competition Conference – competition distortions by public administrative bodies

On 15-16 May, the 15th Baltic Competition Conference takes place in Riga, which is an annual experience exchange event of competition supervisory authorities of three neighbouring countries. In this year, among the most significant competition law application topics particular attention will be paid to competition distortions caused by public administrative bodies – state and local municipalities &nda...

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The CC publishes guidelines of the Leniency Programme

The Competition Council of Latvia (the CC) has developed guidelines of the Leniency Programme, which gives a possibility to companies involved in cartel agreements to report infringements to the CC. If a company submits and application for the Leniency Programme, it can obtain full exemption from a fine or reduction of fine, as well as exemption from one year prohibition to participate in procurements.

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The CC warns the security sector about the high bid-rigging risk

In this year, the Competition Council of Latvia (the CC) has warned five security companies for alleged prohibited agreements in public procurements. To reduce bid-rigging risk in the future, the CC in cooperation with the Procurement Monitoring Bureau (PMB) in a seminar has also educated representatives of security companies, including from two associations of the sector.

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The CC imposes a fine on SIA “ZAAO” for abuse of market power

On 21 March, the Competition Council of Latvia (the CC), imposed a fine of EUR 36 665 on the waste management company SIA “ZAAO”, owned by several municipalities, for abuse of dominant position.  The CC detected, that the waste manager has imposed groundless cooperation conditions on its customers and has applied different fees for identical services.

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