Competition policy and law are of particular importance for market actors and the national economy, especially due to insufficient knowledge of the rules and possibilities of using state aid, it was assessed at a seminar at the Chamber of Commerce (PKCG).
Organized by the Chamber of Commerce and Industry of Montenegro and the project Increasing the capacity of institutions harmonising and implementing EU acquis in the area of Competitiveness and Innovation, another in a series of seminars dedicated to competition was held, on the topic of Efficient Competition - Specific Challenges in the Area of State Aid.
The Chamber of Commerce and Industry of Montenegro announced that the event brought together leading experts from Montenegro and European Union (EU) member states to discuss key challenges in the field of competition and state aid, with a special focus on experiences from Croatia's pre-accession negotiations and their impact on the real sector.
Namely, one of the key challenges in the negotiations, in addition to the rule of law, is the area of competition and state aid.
Competition policy and law are of particular importance for market actors and the national economy, especially due to insufficient knowledge of the rules and possibilities of using state aid – from the limits of permissibility to sanctions in case of their violation.
The Director of the Sector for Associations at the Chamber of Commerce and Industry of Montenegro, Slavica Pavlović, emphasized in her welcoming speech that it has recently been noticeable that there is relatively poor knowledge of the field of competition protection, especially in relation to state aid.
"Chapter 8 in the negotiation process with the EU, which relates to competition, is extremely important, but we still have a lot of work to do in that process. I hope that this seminar will contribute to clarifying at least some of the dilemmas and questions, and the Chamber of Commerce and Industry of Montenegro will, as before, be open to all additional information and support in organizing future trainings," said Pavlović.
The Director of the Agency for the Protection of Competition (AZK), Nebojša Jovović, announced that the issue of state aid is very complex, and that cooperation with the European Commission (EC) is key in order to close Chapter 8.
"We must focus all our attention on state aid, because this is one of the most difficult chapters in the EU accession process, as indicated by the fact that the Croats completed this chapter last," said Jovović.
He also pointed out that many businessmen are not even aware that they are violating competition protection rules and that it is necessary to conduct training that will empower them in recognizing prohibited and restrictive agreements.
Jovović particularly emphasized the importance of training regarding the regulations governing this area, as well as the protection of small business owners.
He also emphasized the importance of sectoral analyses in this area, adding that the Agency has invested great efforts in raising awareness of competition rules in the last two years.
The project leader for supporting institutions in Montenegro in pre-accession negotiations, Andrej Plahutnjik, pointed out that Montenegro faces significant challenges in harmonizing regulations and strengthening institutional capacities.
He spoke about key challenges in the area of competition, emphasizing that there are two main factors that limit competition - the state and market actors.
The state can do this through various mechanisms, such as entry barriers, discrimination, non-transparent allocation of exclusive rights, and state aid policy.
On the other hand, market participants can influence competition through restrictive agreements, abuse of dominant position, as well as concentrations that prevent effective competition.
Also, as Plahutnjik said, the control of state aid and concentrations is extremely important, because they have potential negative effects on competition, such as unfair competition and dumping, which must be carefully regulated.
"To close the competition chapter, Montenegro needs to complete legislative alignment with the EU acquis in this area. It also needs to build adequate administrative and judicial capacity for antitrust, merger and state aid controls, so that the country can effectively implement competition policy. In addition, it is necessary to demonstrate a satisfactory track record of implementing these policies," Plahutnjik said.
Speaking about Croatia's experiences in this area, prominent expert in competition law and state aid, Marijana Liszt, emphasized that state aid control became centralized after EU accession, and that the EC is taking on a key role in overseeing the granting of state aid.
She also pointed out that Important Projects of Common European Interest (IPCEI) have become a key tool for improving competitiveness and the transition to a green and digital economy.
She particularly pointed out the challenges faced by the real sector, including shipbuilding, railways and transport, which were crucial for Croatia's economy during the EU accession process.
Liszt emphasized the open issues and benchmarks that are important for closing Chapter 8 – Competition in the process of Montenegro's accession to the EU.
"For Montenegro, it is extremely important to align with the EU acquis in the field of competition and state aid, as well as to build institutional capacity in order to effectively implement competition policy," Liszt emphasized.
Liszt pointed out the need to enact a new law on state aid control, strengthen administrative and judicial capacities, and improve results in the areas of antitrust rules, mergers and state aid.
Through a dynamic discussion and exchange of experiences, the participants came to a series of conclusions and recommendations for improving the regulatory framework and implementing competition rules in Montenegro.
"This seminar once again confirmed the importance of continuous dialogue and knowledge exchange in order to improve the competitive environment and strengthen economic stability," concluded the Chamber of Commerce and Industry of Montenegro.
Bonus video:
