ISLAMABAD: Finance Ministry is likely hold a high level meeting with stakeholders to resolve the issue of non-payment of 3 percent fee and charges by the regulatory agencies to the Competition Commission of Pakistan (CCP).
Presently, the Finance Ministry is examining this proposal through consultative process with the departments and divisions. In this regard, a thorough discussion at the highest level is underway,” sources at the Finance Ministry told Customs Today.
The Competition Commission of Pakistan (CCP) was established in October 2007 under the Competition Ordinance, 2007. The ordinance was enacted as the Competition Act in October 2010. CCP is mandated under the Competition Act, 2010 to ensure that competitive forces are unhindered in all spheres of commercial and economic activity to enhance economic efficiency and to protect consumers from anticompetitive behavior across Pakistan.
The source said that to meet the budgetary requirements of the commission, section 20 was inserted in the Act and it provided establishment of CCP Fund. It denotes six sources of income including grants by the federal government, fees levied by commission, donations, return from investments of he commission and a percentage of fees ad charges levied by other regulatory agencies as prescribed by the federal government.
“In December 2008, the government specified rate of 3% through a notification, but the regulatory agencies raised numerous objections to the payment of 3% fee and charges to CCP and held law administered by this relevant bodies will require amendment prior to any payment to CCP” the source added.
The source recalled that Senate Finance Committee also took up this issue in August and October last year and recommended to Finance Ministry to discus the amendment in the CCP Act to increase CCP’s income.
It is pertinent note here that CCP has imposed total penalties of over Rs 26 billion on different undertakings for various violations of the Competition Law since 2007, aimed to protect consumers from anti-competitive practices and restore and ensure free competition in the country’s economy.
