Targeted review of the Commerce Act 1986

In one of our last newsletters for 2015 we discussed the publication of the Ministry of Business, Innovation and Employment’s (MBIE) Targeted Review of the Commerce Act 1986 – Issues Paper (Issues Paper). The Issues Paper essentially focuses on whether NZ’s misuse of market power test (section 36) and alternative enforcement mechanisms work, and whether NZ needs formal powers to conduct competition “market studies”. On the more substantive issue of unilateral conduct, MBIE’s preliminary view in the Issues Paper is that “the operation of section 36 has not been satisfactory”, as it appears to be:

  • failing to maximise the long-term benefit of consumers, by failing to punish anticompetitive conduct by powerful firms;
  • too complex to allow for cost-effective and timely application; and
  • misaligned with other prohibitions in the Commerce Act and equivalent provisions in a number of foreign jurisdictions.

The purpose of the Issues Paper is essentially to better inform MBIE as to whether there is a need to progress the debate to an “options paper” later this year. Submissions on the Issues Paper are due by 5pm, Tuesday 9 February 2016 and are encouraged by MBIE. Please contact us if you want assistance with a submission. More information and links to download the Issues Paper are available here.

Other NZ Government consultations

The NZ Government is currently consulting on various matters, for which businesses are invited to make submissions.

Consultations provide a valuable opportunity for businesses to submit their views on how future reforms and policy should look and work. In our experience, these consultation processes are not simply a “rubber stamping” exercise, and a well-crafted, evidence-based submission can have significant influence on policy setting and laws.

The following table sets out a selection of current consultation processes and due dates for submissions:

Ministry / Agency

Legislation

Consultation / Inquiry

Submission Due Date

Productivity Commission (PC) New Zealand Productivity Commission Act (NZPCA) The System of Urban Planning: The PC is identifying the most appropriate system for allocating land use in cities to achieve positive social, economic, environmental and cultural outcomes 9 March 2016
NZPCA New models of tertiary education: The PC is investigating how trends in technology, internationalisation, population, tuition costs and demand for skills may drive changes in tertiary eduction An issues paper will be published in February / March 2016
Ministry of Transport Land Transport Act 1998 (LTA) & Rules The future of small passenger services sector: Small passenger services include taxi, private hire (eg Uber type services), shuttles, dial-a-driver, ridesharing and carpooling services 12 February 2016
LTA & Rules The Land Transport Rule: Vehicle Dimensions and Mass 2002 specifies requirements for dimensions and mass limits for vehicles operating on NZ roads 17 February 2016
Ministry for Primary Industries Marine Reserves Act 1971 (MRA) Reforms to the management of marine protected areas: If agreed, the proposed reforms would form the basis of a Marine Protected Areas Act. This new Act would replace the MRA 11 March 2016
Biosecurity Act 1993 Review of the Import Health Standard for Air Containers from All Countries: Proposed changes to the Import Health Standard for Air Containers from All Countries 26 February 2016
Fisheries Act 1996 Review of fisheries sustainability measures for 1 April 2016: Proposed changes to the sustainability measures and other management controls for selected fish stocks 11 February 2016
The Department of Internal Affairs Gambling Act 2003 Proposed changes to the Gambling Act: Proposed changes to the Gambling Act (Class 4 Gambling Equipment) Minimum Equipment Standards 15 February 2016
The Electricity Authority Electricity Industry Act 2010 (EIA) Proposals to amend the Code: Proposals to amend the Code to alter the manner in which the system operator and other market operation service providers perform their roles 10 February 2016
EIA Implications of evolving technologies: Consultation paper, and a supporting companion paper, on the implications of evolving technologies for the pricing of distribution services 2 February 2016
Ministry of Health Health Act 1956 Promotion and use of sunbeds: Proposals to introduce new regulations to protect the public from harm from commercial sunbeds 12 February 2016
Natural Health Products Bill (comes into effect July 2016) New regulatory scheme for low-risk natural health products: A new regulatory scheme for low-risk natural health products is being developed 5 February 2016
Environmental Protection Authority Hazardous Substances and New Organisms Act 1996 (HSNO) Extended use of the insecticide Ampligo: Application to extend the use of the insecticide Ampligo from a maximum of three applications per season to a maximum of four applications per season 23 February 2016
HSNO Application to introduce a moth and a leaf-feeding beetle as biological control agents 10 February 2016

Matthews Law is experienced in drafting and assisting clients with preparing submissions in a wide range of industries and under different legislation. Please contact us if you want assistance with a submission.

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