This is not
a post – it is an announcement, a message and a brief report regarding my
activity as Vice-President of the Romanian Competition Council. At the end of September 2013, I shall take a
break from the Competition Council, after 4 and half years period, started in
May 2009.
The reasons
for this decision are of personal nature. On one
hand I want to dedicate from now on to studies and researches in the
competition area, mainly at the Center for Studies in Competition Law at the Bucharest
University and to follow post-doctoral studies at a European university.
My list of
project is extended and it includes, on the medium term, an ambitious project
for a treaty on competition law.
On the other
hand, I have a certain discontent with respect to the current realities in the
Romanian Competition Council and with respect to several approaches of the
institution, which do not match with its mission, the applicable procedures and
to my personal principles. I shall not
provide details on my discontents but I can say that it is about events which
took place recently, where the competition authority either did not act properly
(at least in my opinion), or acted without solid arguments. Although I am aware of the fact that misjudgments
do happen – and these could be equally mines - I also believe that there are
limits and that persons in public positions must act always in accordance with
their ”job description”, firmly but also in full respect of the norms,
insulated from their subjective views or any additional element which has no
direct connection to the respective case.
I believe in
principles and in the fact that these must be observed even when they seem to
be rather burdensome. The principles and
the rules issued for their application do have this feature of rigidity but we
also should be aware that in the absence of this rigidity the principles
would lack the necessary strenght and they would transform in a soft material, easy
to be modeled and shaped according to the wishes and the interests of
everyone. This is not an option for a state where the rule-of-law prevails.
With regard
to the Romanian Competition Council I believe that its activities and results
have the same importance as the activities and the results of institutions such
as the National Bank of Romania, the Constitutional Court or the Prosecutor’s Office. The Competition Council is an institution
which is essential to the market economy and the market performance may be
influenced to a significant degree by the activities and the performance of the
Competition Council.
Because the
position I held is a public position, it is normal to present to everybody a brief
report of the activities performed in this position for the duration of my
mandate. From a personal standpoint I
had plenty of professional achievements in this period and the best results in
my career so far. I shall remain with
the satisfaction that I contributed to the rebirth of the Romanian Competition
Council and to its transformation in an institution which is both feared and
respected, as it should be, to the benefit of the respect of the competition
rules. In 2009 I accepted to join the
Competition Council because I was both aware of its strong points and the role
it was meant to play and to the reality that the effective performance of this
institution was below the expectations. The
Romanian Competition Council was either the “sleeping beauty” or the “sleeping
beast”, depending on the part of the barricade from which the Council was
considered.
When I got
to RCC I found both good and bad things. I discovered that there are some very
professional and dedicated people in the staff but I also noticed quickly that
a large part of the staff lacked motivation and impetus for delivering better
results and achieving the results required from an efficient competition
authority. The speed of the investigations was slow, the procedures were
more bureaucratic than they should have been and the communication both inside
RCC and with the outside stakeholders was poor and most often lacked
consistency.
So, together
with the colleagues from the Board I embarked in an ambitious, although
necessary, endeavor in order to make RCC a reputable and efficient institution.
Among the first things to be done was to upgrade the competition
legislation, which was lagging behind the EU legislation and lacked some
instruments and provisions which were already widely used across the European
Union. The amendments to the Romania Competition Law took considerable
efforts and time (almost the entire years 2010 and 2011) but the effort was
worth and, besides, it was shared by a large number of people from the RCC
staff and also from outside - the amendments were prepared in a close
collaboration with the stakeholders, especially with AmCham, which was always open
to us and provided quick and useful feed-back. I must say that we were not
always in agreement with the private stakeholders but even when their proposals
were not accepted, we took the effort to explain why a specific provision was
introduced or not. Besides the competition law, which incurred amendments
for some 90% of its provisions, we had to revisit and to amend the huge volume
of secondary norms issued by RCC in application of the law. I had the honor
of coordinating all this delicate and complex reform process but I have to say
that the merit for the good things in the new regulations belongs to my
colleagues in the drafting team, whilst I had just the role of a coach
(sometimes, a player too but in short this was a team effort!). Like any coach,
I assume responsibility for the bad or unclear provisions in the new
legislation!
A second
line of action was to enhance the enforcement of the competition rules and to
apply them in a strict, although proportionate way. In order to achieve
this, we provided more specific and detailed fining guidelines, so that each
infringement receives the sanction it deserves, nothing more or less. The staff
was encouraged to investigate in an objective manner and outside any interference
from the management. As a result, the number of finalised cases increased
and so did the amount of the total fines (although we never set this as a goal
or even indicator of the RCC activity). New investigations were opened,
in markets not touched before and involving companies with a large impact on
the economy and the consumers. In the same time, based on the new
provisions introduced in the Competition Law, in line with the legislation and
practice in the European Union, RCC started to use alternative instruments,
such as the commitments in order to finalize investigation in a faster manner
and to re-establish the competition process in the respective markets.
A third line
of action was represented by advocacy and communication. RCC opened its
windows to the private and public stakeholders and allowed the free flow of
ideas and arguments in both directions. I have to disclose that this openness
has been greeted with reserve and even opposition from some of the staff, as
they thought that a public authority should live behind the thick walls of its
fortress and fire, from time, to time, from there, without shaking hands with
people outside the walls. The Board had a different approach and
considered that a correct and transparent flow of ideas would be beneficial for
both sides and would help achieving our goals as a competition authority.
RCC not only
stepped outside the walls but it also increased its impact and activities
across the borders of Romania and I can give as examples the activities in
which I was involved in the International Competition Network, the European
Competition Network, OECD and the assistance provided to the Republic of
Moldova for the drafting of its first state aid law and of a new competition
law, aligned with the regulations of the European Union.
All these
activities were accompanied by a tedious internal reform of RCC, aimed at
preparing the authority for the important mission it has in the market economy.
RCC has been, in 2010 and 2011 in a functional review, made by a team of
experts from the World Bank. There were 6 public authorities and
ministries from Romania involved in similar reviews at that time but I have to
say that RCC was the only which volunteered for this review. RCC also received
one of the highest evaluations from the public authorities subject to the audit
of the World Bank. As a follow-up, the World Bank was called in in 2012 to
assist with the implementation of the action plan which incorporates the
conclusion of the review, based on a financing from the European Union
(PODCA).
On the side
of the efforts of RCC as an institution, I made some efforts to stimulate the
higher education in respect of the competition law and economics in the
Romanian universities. I initiated and I was able to start the activity of a
Center for Studies in Competition Law at the Law Faculty of the Bucharest
University, the first of this kind in a Romanian university. The merit
for this belongs to the dean of the Law School, Professor Flavius Baias, to
Professor Sorin David and to Professor Adriana Almasan.
As I noticed
the need for a better competition culture, I wrote several articles and even a
book, in this period, on the sense and the application of the competition rules
and I had speeches at various conferences, on competition-related issues.
These are,
briefly, the activities I had during my mandate at the Romanian Competition
Council. I do not praise them, I only
mention them. It is up to everyone to
consider whether they meant something and if there are result which would
justify the position I held and the public money from which I have been
paid. I personally consider that I did
nothing more than to start building, alongside my colleagues from the Romanian
Competition Council, the road towards a stronger, more powerful and fairer
institution. But roads are of no use if
they do not lead to any destination or too much time is required to reach that
destination. Thus, it is the duty of the
colleagues which remain at RCC and of those who will later join the team to
continue advancing on this road and to reinforce it.
I shall
return always with an open heart and I am convinced that the high level of
activity from the previous years shall continue, due to the remarkable
qualities of the staff, above many other public authorities (no offence to the
colleagues in other public authorities!) I heard opinions from colleagues in
RCC, saying that they regret my decision to leave the Council. Equally, there might be persons, within or
outside the Competition Council which receive this with joy. To both categories I have to tell that the
real strength of an institution does not reside in a person or another but in the
force of the assembly and in the human and professional skills of those who are
part of the staff. And the conditions in
the case of the Romanian Competition Council are very good, which justifies my
trust that the activity to enforce the competition rules shall be as vigorous as
today and even more intense than it used to be.
At the
moment of this break, I would like to thank mainly to my colleagues in the
Romanian Competition Council but also to those with whom I came across during my mandate
at RCC – persons from other public authorities or from private undertakings,
people from academia and from the media. I say to all of them: all the best!
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