Competition Commission Of India

Introduction

The conception of Competition Commission happened in the form of The Competition Act, 2002 by the Vajpayee government. In the backdrop of the economic liberalisation, the need to develop a healthy competitive environment became necessary.

The Competition Commission of India is a statutory body that has been established under the Competition Act, 2002. Its main objective is to enforce the provisions of  Act, 2002 and prevent any Anti-Competitive agreements from being realised. It was established on 14th, October 2003 and became fully functional in its duties on May 2009 with Dhanendra Kumar as its first chairman.

Composition of the Competition Commission of India

The Competition Commission of India comprises of a chairman and six other members forming the board of the commission, they are appointed by the central government. Currently, Ashok Kumar Gupta is the chairman of the Competition Commission of India. According to the Act, the commission’s board must at all times consist of a chairman and a minimum of two board members and a maximum of six board members.

The Act requires the chairman as well as the members to have a minimum of fifteen years of experience in the fields of either finance, accounting, law, economics, statistical analytics etc.

Objective

The Competition Commission of India seeks:

• To prevent any practices or policies that may have an adverse effect on constructive competition in the Indian market.
• To protect the freedom of trade in the Indian market
• To protect the interests of end consumers
• To sustain constructive competition in the Indian market
• To spread and create awareness on fair and healthy competitive practices

Duties

The Competition Act, 2002 was enacted to ensure the development of the economy via fair and constructive competition practices. To this extent The Competition Commission of India must do the following:

•  Ensure consumer interests are protected in the market
•  Implement the policies enumerated in the Competition Act, 2002
•  Advocate and educate other Government bodies about the Competition Act, 2002. Such as state governments and ministries etc. 
• To promote fair and constructive competition practices in the market
• To prevent the realisation of anti-competitive agreements
• To cooperate with other regulatory bodies to work more efficiently in ensuring the continuity of a  free and fair market

Powers

The Competition Commission of India is established under Chapter III Section 7 of the Competition Act, 2002. The Act also provides the powers the commission holds to ensure its duties are met. The Act gives The Competition Commission of India the following powers;

• The Competition Commission of India has the power to inquire into a certain agreement as well as the dominant position of enterprises. This means The Competition Commission of India has the power to, by its own authority or by any information of alleged contravention of its prohibition of Anti-competitive regulations launch an inquiry to determine the same.
• The Competition Commission of India has the power to inquire into any acquisition or combination if it determines that such acquisition or combination may adversely affect competition in the Indian market.
• The Competition Commission of India has the power to regulate its own procedures
• The Competition Commission of India has the power to impose monetary penalties upon violation of The Competition Act,2002
• The Competition Commission of India has the power to pass an interim order for any act where there has been anti-competition agreements or abuse of position by dominant parties which adversely affects the competition in the market.