Evaluation of the Actions and Resources of the Competition Authorities 2005 The OECD Competition Committee debated this topic in June 2005. This document includes an executive summary and the documents from the meeting: an analytical note by Mr. William Kovacic for the OECD and written submissions: Belgium, Canada, Denmark, the European Commission, Finland, Ireland, Japan, Korea, New Zealand, Portugal, Sweden, Turkey, the United States, as well as an aide-memoire of the discussion. In an increasing number of jurisdictions, public bodies are initiating projects to evaluate the effects of competition policy programs or to analyse the efficiency of competition agency organisation and procedures. Evaluation should be a routine ingredient of the competition agency’s annual agenda and should be incorporated into the formulation of budgets and operational plans. Over the past decade competition agencies have responded to their own awareness of the importance of ex post evaluation and external demands for performance measurement by devoting increasing attention to analysing the effectiveness of existing institutional arrangements and initiatives. Useful insights can be derived from a variety of evaluation methods, using resources within and external to the competition authority. One of the most fruitful areas of evaluation to date has been the field of merger control. Evaluations of existing institutional arrangements, including organisation, management methods and operational procedures, have proven useful in identifying areas for improvement and motivating adjustments. The organisation assessment and development framework shows promise as a means for competition authorities to improve the quality of their institutional arrangements. Considerable work remains to be done to refine the methodologies used to evaluate the effectiveness of completed competition policy. Unclassified DAF/COMP(2005)30 Organisation de Coopération et de Développement Economiques Organisation for Economic Co-operation and Development 16-Dec-2005 ___________________________________________________________________________________________ English/French DIRECTORATE FOR FINANCIAL AND ENTERPRISE AFFAIRS COMPETITION COMMITTEE Unclassified DAF/COMP(2005)30 EVALUATION OF THE ACTIONS AND RESOURCES OF COMPETITION AUTHORITIES English/French JT00196091 Document complet disponible sur OLIS dans son format d'origine Complete document available on OLIS in its original format DAF/COMP(2005)30 FOREWORD This document comprises proceedings in the original languages of a Roundtable on the Evaluation of the Actions and Resources of Competition Authorities which was held by the Competition Committee in June 2005. It is published under the responsibility of the Secretary General of the OECD to bring information on this topic to the attention of a wider audience. This compilation is one of a series of publications entitled "Competition Policy Roundtables". PRÉFACE Ce document rassemble la documentation dans la langue d'origine dans laquelle elle a été soumise, relative à une table ronde sur l'évaluation des actions et des ressources des autorités de concurrence, qui s'est tenue en juin 2005 dans le cadre du Comité de la Concurrence. Il est publié sous la responsabilité du Secrétaire général de l'OCDE, afin de porter à la connaissance d'un large public les éléments d'information qui ont été réunis à cette occasion. Cette compilation fait partie de la série intitulée "les tables rondes sur la politique de la concurrence". 2 DAF/COMP(2005)30 OTHER TITLES SERIES ROUNDTABLES ON COMPETITION POLICY 1. Competition Policy and Environment OCDE/GD(96)22 2. Failing Firm Defence OCDE/GD(96)23 3. Competition Policy and Film Distribution OCDE/GD(96)60 4. Competition Policy and Efficiency Claims in Horizontal Agreements OCDE/GD(96)65 5. The Essential Facilities Concept OCDE/GD(96)113 6. Competition in Telecommunications OCDE/GD(96)114 7. The Reform of International Satellite Organisations OCDE/GD(96)123 8. Abuse of Dominance and Monopolisation OCDE/GD(96)131 9. Application of Competition Policy to High Tech Markets OCDE/GD(97)44 10. General Cartel Bans: Criteria for Exemption for Small and Medium-sized Enterprises OCDE/GD(97)53 11. Competition Issues related to Sports OCDE/GD(97)128 12. Application of Competition Policy to the Electricity Sector OCDE/GD(97)132 13. Judicial Enforcement of Competition Law OCDE/GD(97)200 14. Resale Price Maintenance OCDE/GD(97)229 15. Railways: Structure, Regulation and Competition Policy DAFFE/CLP(98)1 16. Competition Policy and International Airport Services DAFFE/CLP(98)3 17. Enhancing the Role of Competition in the Regulation of Banks DAFFE/CLP(98)16 18. Competition Policy and Intellectual Property Rights DAFFE/CLP(98)18 19. Competition and Related Regulation Issues in the Insurance Industry DAFFE/CLP(98)20 20. Competition Policy and Procurement Markets DAFFE/CLP(99)3 21. Regulation and Competition Issues in Broadcasting in the light of Convergence DAFFE/CLP(99)1 3 DAF/COMP(2005)30 22. Relationship between Regulators and Competition Authorities DAFFE/CLP(99)8 23. Buying Power of Multiproduct Retailers DAFFE/CLP(99)21 24. Promoting Competition in Postal Services DAFFE/CLP(99)22 25. Oligopoly DAFFE/CLP(99)25 26. Airline Mergers and Alliances DAFFE/CLP(2000)1 27. Competition in Professional Services DAFFE/CLP(2000)2 28. Competition in Local Services DAFFE/CLP(2000)13 29. Mergers in Financial Services DAFFE/CLP(2000)17 30. Promoting Competition in the Natural Gas Industry DAFFE/CLP(2000)18 31. Competition Issues in Electronic Commerce DAFFE/CLP(2000)32 32. Competition and Regulation Issues in the Pharmaceutical Industry DAFFE/CLP(2000)29 33. Competition Issues in Joint Ventures DAFFE/CLP(2000)33 34. Competition Issues in Road Transport DAFFE/CLP(2001)10 35. Price Transparency DAFFE/CLP(2001)22 36. Competition Policy in Subsidies and State Aid DAFFE/CLP(2001)24 37. Portfolio Effects in Conglomerate Mergers DAFFE/COMP(2002)5 38. Competition and Regulation Issues in Telecommunications DAFFE/COMP(2002)6 39. Merger Review in Emerging High Innovation Markets DAFFE/COMP(2002)20 40. Loyalty and Fidelity Discounts and Rebates DAFFE/COMP(2002)21 41. Communication by Competition Authorities DAFFE/COMP(2003)4 42. Substantive Criteria used for the Assessment of Mergers DAFFE/COMP(2003)5 43. Competition Issues in the Electricity Sector DAFFE/COMP(2003)14 44. Media Mergers DAFFE/COMP(2003)16 45. Non Commercial Services Obligations and Liberalisation DAFFE/COMP(2004)19 46. Competition and Regulation in the Water Sector DAFFE/COMP(2004)20 47. Regulating Market Activities by Public Sector DAFFE/COMP(2004)36 4 DAF/COMP(2005)30 48. Merger Remedies DAF/COMP(2004)21 49. Cartels: Sanctions against Individuals DAF/COMP(2004)39 50. Intellectual Property Rights DAF/COMP(2004)24 51. Predatory Foreclosure DAF/COMP(2005)14 52. Competition and Regulation in Agriculture : Monopsony Buying and Joint Selling DAF/COMP(2005)44 53. Enhancing Beneficial Competition in the Health Professions DAF/COMP(2005)45 5 DAF/COMP(2005)30 TABLE OF CONTENTS EXECUTIVE SUMMARY .......................................................................................................................... 7 SYNTHÈSE................................................................................................................................................ 13 BACKGROUND NOTE............................................................................................................................. 19 NOTE DE RÉFÉRENCE............................................................................................................................ 59 NATIONAL CONTRIBUTIONS Belgium........................................................................................................................................... 111 Canada ............................................................................................................................................ 115 Denmark.......................................................................................................................................... 119 Finland ............................................................................................................................................ 121 Ireland ............................................................................................................................................. 127 Japan ............................................................................................................................................... 131 Korea............................................................................................................................................... 139 New Zealand................................................................................................................................... 143 Portugal........................................................................................................................................... 153 Sweden............................................................................................................................................ 173 Turkey............................................................................................................................................. 179 United States................................................................................................................................... 183 United Kingdom ............................................................................................................................