Draft law amending the Competition Act (466 SE) - First Reading

Session: 15th Estonian Parliament, 4th session, plenary sitting

Date: 2024-10-14 21:09

Participating Politicians:

Total Speeches: 5

Membership: 15

Agenda Duration: 4m

AI Summaries: 5/5 Speeches (100.0%)

Analysis: Structured Analysis

Politicians Speaking Time

Politicians

Analysis

Summary

The agenda item was the first reading of the draft law amending the Competition Act, initiated by the Republic's Government, 466. Justice and Digital Minister Liisa-Ly Pakosta introduced the draft as a technical amendment aimed at reducing administrative burden and bureaucracy, saving resources for both the state and interest groups. The draft is driven by proposals from entrepreneurs and its main content is the smoother adoption and implementation of European Union competition law group exemptions in Estonia. This allows for exemptions to be established by a minister’s regulation in cases where cooperation between entrepreneurs (e.g., research and development) is beneficial to consumers.

The leading committee, the economic committee, and rapporteur Mario Kadastik highlighted a discussion focusing on raising the turnover limit for vertical integration group exemptions. While the current limit is 3.2 million euros and the draft proposes 10 million, EU rules allow for a limit of 50 million euros, which remained a matter of political discretion. The committee also raised questions about the use of a minister’s regulation instead of a government regulation, leading to a decision to request an assessment of this hybrid solution from the Riigikogu's legal department. Ultimately, the leading committee proposed to conclude the first reading.

Decisions Made 3
Mario Kadastik
Mario Kadastik Fraktsiooni mittekuuluvad Riigikogu liikmed

The economic affairs committee decided to request an opinion from the legal and analysis department of the Riigikogu Chancellery regarding the draft, particularly in connection with the hybrid solution established by the minister's regulation.

Collective Decision

Bill 466 has concluded its first reading.

Collective Decision

The deadline for submitting amendments was set for October 28th at 5:15 PM.

Most Active Speaker
Mario Kadastik
Mario Kadastik

Fraktsiooni mittekuuluvad Riigikogu liikmed

Mario Kadastik (a member of the economic affairs committee) was active, presenting a thorough overview of the steering committee's discussions, including issues concerning the VAT threshold and the use of the minister’s regulation.

Aseesimees Arvo Aller
21:09:57
AI Summary

Today, under the fourth item on the agenda, we will be discussing the first reading of Draft Law 466 on amendments to the Competition Act, which was initiated by the government. The report will be presented by Liisa-Ly Pakosta, the Minister of Justice and Digital Affairs.

Justiits- ja digiminister Liisa-Ly Pakosta
21:10:16
AI Summary

According to Liisa-Ly Pakosta, the Minister of Justice and Digital Affairs, this is a technical draft bill that reduces administrative burden, accelerates the implementation of European Union legal acts in Estonia, and allows for block exemptions in competition law. These exemptions apply, for example, when conducting joint research and development work, which may be beneficial to consumers. To achieve this, Section 7 of the Competition Act will be amended in accordance with EU law, and a ministerial regulation will be established.

Aseesimees Arvo Aller
21:12:16
AI Summary

There are no questions, and the request is made to forward the discussion held in the lead committee to Mario Kadastik, member of the Economic Affairs Committee.

Mario Kadastik
Mario Kadastik
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmed
21:12:27
AI Summary

The Economic Affairs Committee discussed the draft bill over two sittings: on September 9, the rapporteur was appointed (6 in favor, 0 against, 3 abstentions), and on October 8, the focus was on raising the turnover threshold for vertical integration from 3.2 million to 10 million, which, according to EU rules, can be up to 50 million. The discussion was held due to the hybrid solution, and the committee decided to request the opinion of the Riigikogu’s Legal and Analysis Department, submit the draft bill to the agenda, and conclude the first reading. All decisions were made by consensus.

Aseesimees Arvo Aller
21:14:21
AI Summary

Deputy Speaker Arvo Aller announced that the debates have been opened and closed, and the first reading of Draft Bill 466 has been concluded. The deadline for submitting amendments is 5:15 PM on October 28 of the current year.