The Spanish National Markets and Competition Commission (CNMC) works to promote and maintain effective competition in all markets, protecting the interests of consumers and businesses.
It is a public body with its own legal personality, independent of the Government and subject to parliamentary control. It began operations on October 7, 2013.
Background
Although Spain's competition authority dates back to the Competition Tribunal (1964), the National Commission on Competition (CNC) was only created in 2007.
Various regulatory bodies appeared in response to the liberalisation of the utility industry, the end of state monopolies and the need to adapt to European regulations.
This led to the creation of the National Electricity Commission (predecessor of the Spanish Energy Commission, or CNE) in 1995 and the Telecommunications Market Commission (CMT) in 1996. The Spanish Railway Regulation Commission (CRF) was set up in 2003. The National Audiovisual Media Council (CEMA) and the National Postal Sector Commission (CNSP) came into operation in 2010, and the Airport Economic Regulation Commission (CREA) in 2011.
In 2013, the regulatory bodies and the competition authority joined forces to strengthen their respective independence and guarantee legal security and institutional trust. The six operating supervisors were therefore integrated: the National Commission on Competition, the National Energy Commission, the Telecommunications Market Commission, the National Postal Sector Commission, the National Audiovisual Media Council and the Railway and Airport Regulation Commission.
Objective
Our primary objective is to safeguard, preserve and promote effective competition, transparency and the proper functioning of markets and productive sectors, as well as to ensure efficient regulation that benefits consumers and businesses.
The CNMC is subject to parliamentary control, which guarantees its independence and strengthens the legal certainty of its actions, which are set out in the resolutions adopted by the Council.
Functions
The CNMC promotes and defends competition in all markets, benefiting consumers and companies. We also monitor the following regulated sectors: energy, telecommunications, audiovisual communication, transport and postal services.
Structure
Our work is organised through two governing bodies: the Council and the President, who is also the President of the Council.
The Council is the collegiate decision-making body. It is made up of ten members appointed by the Government, following a proposal by the Spanish Ministry of Economy, Commerce and Business, chosen for their recognised prestige and professional expertise within the scope of action of the CNMC.
The Economy, Commerce and Digital Transformation Commission of the Spanish Congress of Deputies must approve the appointment. This involves examining their suitability and the possible existence of conflicts of interest. Members of the CNMC are appointed for a non-renewable six-year term and are subject to a strict regime of incompatibilities.
The Council can meet in plenary sessions or in chambers. All members of the Council make up the Plenary, which is chaired by the President. However, they are divided into two chambers: one dedicated to competition issues (the Competition Chamber) while the other deals with the supervision of regulated sectors (the Regulatory Supervision Chamber).
In addition, the CNMC has four Directorates of Instruction reporting to the President: Competition, Energy, Telecommunications and Audiovisual, Transport and Postal Sector. In addition, there are the Competition Advocacy and Internal Control Departments.
Operation
We operate in compliance with European Union regulations, particularly in the areas of competition, energy, telecommunications, audiovisual, transport and postal services. They all work to facilitate further integration of the European Union Single Market. In addition, we cooperate on a regular and periodic basis with other European Union supervisory authorities and the cooperation agencies of European regulators.
The Competition Directorate is entrusted with the investigation functions set out in the Spanish Competition Act (LDC). The CNMC's four Directorates exercise their investigative functions independently of the Council and do not receive indications from the government.
What are competition and efficient regulation for?
As a consumer, competition between sellers guarantees you more varied, cheaper and better quality products and services.
As an business owner, it ensures equal opportunities in the marketplace. Thus, your business success will depend on your capacity, effort and innovation, not on the obstructions or limitations imposed on you by other stakeholders with greater market power or who engage in illicit conduct.
As a citizen, you are guaranteed more competitive domestic production, well-functioning markets and regulatory compliance.
How do we supervise regulated sectors?
In certain markets, competition law enforcement is insufficient to guarantee effective competition.
We therefore monitor some regulated sectors and resolve disputes between operators: electronic communications and audiovisual communication; the electricity, natural gas and renewable energy markets; the postal sector, airport tariffs and the railway sector.
What can the CNMC do to improve competition?
- Investigate and sanction anti-competitive practices on the basis of complaints or on its own initiative.
- Make recommendations to improve the conditions of competition in the different markets.
- Authorise and monitor mergers or concentrations of companies.
- Supervise the conduct of companies operating in regulated markets, processing and resolving, where appropriate, sanctioning procedures for practices contrary to the regulation of economic sectors.
- Offer non-binding advice to the public sector before it approves regulations.
- Promote the values of competition and efficient regulation.
Contribute to the guarantee of market unity, if necessary by filing a special contentious-administrative appeal in defence of market unity. - Monitor the implementation of regulations in the energy, telecommunications, audiovisual, postal and transport sectors.
- Oversee the proper functioning of and eliminate obstacles in the internal market through the Spanish Market Unity Act.
- Monitor the regulatory proposals made by governments to ensure that they comply with the principles of competition and efficient regulation, and have the capacity to challenge regulations with a lower rank than law.
Some actions and practices contrary to competition
- Several companies agree not to compete on price, setting the same buying or selling prices in an abusive manner.
- A company unjustifiably applies unequal prices or other unequal purchasing conditions to different purchasing undertakings for the same goods or services, putting some of them at a disadvantage vis-à-vis their competitors.
- A company obliges a buyer to accept obligations that are unrelated to the sale, such as not buying from a competitor, buying another product, etc.
- A company unjustifiably establishes exclusive sales areas for its distributors.
- One or more companies artificially hinder the entry of new competitors into the market.
- An administration issues rules or passes resolutions that violate or impede market unity.
How to file a complaint?
Any natural or legal person, public or private, national or foreign, may file a complaint for anti-competitive practices or infringements of the regulations of the regulated sectors supervised by the CNMC.
It must be in writing and submitted to the CNMC registry. It must accurately describe the alleged anti-competitive behaviour or behaviour contrary to sectoral regulations, identify those responsible and provide the available evidence.
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