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Restriction of competition by state and self-administration authorities

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The distortion of competition conditions may be caused also by a certain conduct of the authorities of state administration, local self-administration and also of administration of interest groups.

More about the restriction of competition by state and self-administration authorities

The interventions of state administration authorities and local self-administration authorities may distort competition conditions and thus cause that “market reference” is distorted. The authorities may provide an evident support giving an advantage to certain undertakings or otherwise restrict competition. Consequently, the advantaged undertakings are not motivated to reduce prices, costs, to innovate and to compete effectively for customers.

Therefore, the Office may sanction also the conduct of state administration authorities, local self-administration authorities (municipalities and self-administration regions) and also self-governing authorities of interest (various chambers and professional associations) in case they perform state administration (the so called transferred performance of state administration) and local self-administration authorities also during the performance of self-administration.

Although this case does not represent the classic concept of competition law, this is a useful tool to enforce competition principles in creating other policies, mainly local policies.

Further information

Further information on the restriction of competition by state and self-administration authorities can be found at Slovak version of the Office´s website.