As a result of the Harper Review into competition policy, the Federal Government announced that it will legislate to amend Section 46 of the Competition and Consumer Act – the misuse of market power provision.
The Harper Review found that Australia’s current misuse of market power provision is not reliably enforceable and permits anti-competitive conduct. The Review recommended that Section 46 be replaced by a new provision which is better able to deal with harm to competition in Australian markets.
The new provision will prevent firms with substantial market power from engaging in conduct that has the purpose, effect or likely effect of substantially lessening competition.
The changes announced by the Government will more effectively focus on the long-term interest of both small businesses and consumers, improving the law’s clarity, effectiveness and force.
Click here for more information.