Emerging Issues from the CREW project for
infusing Competition Reforms in Economic
Planning Process in DCs
Owen Gabbitas
Australian Productivity Commission
CREW International Meeting, Bangkok, Thailand
18 - 19 November, 2014
Productivity Commission
The Australian experience
• Impetus for reform varies depending on the
nature of the reform
− Some driven by industry, some by government
− Easier where a coalition for reform exists
− Requires ongoing commitment by government
• Reform requires political ‘buy-in’
• The case for reform needs to be made
− Qualitatively; often quantitatively as well
− Needs to be credible
− May take time to garner momentum for change
• May need to convince many different levels of
government (national, provincial & local)
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Some characteristics of Australian
reform
• Agenda set unilaterally
• Reform in one area may highlight impediments
in others of the economy
− It builds the case for reform in these areas
• Initially focused on opening the economy
reducing tariffs; removing quotas
− Subsequently broadened to other sectors/reforms
• Focus on reducing/elimination impediments to
the efficient operation of markets
• Focus on getting the incentive for markets right
• Require appropriate safeguards (eg competition
law)
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Who needs to be convinced & how?
• Who needs to be convinced?
− National, state & municipal governments
− Stakeholders
 Directly affected workers, industries & consumers
− The wider public (all Australians)
• Convinced through research that is:
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High quality
Rigorous
Independent
Transparent
Objective
Focused on the national (not sectional) interest
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Areas where externalities may be
significant
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Law & order
Pollution
Congestion
Waste management
Effective commercial law
Good government
Despite resolution
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Some other sectors where the CREW
methodology might work
• International trade
• Infrastructure
− Energy (electricity generation, gas supply), railways
(freight & passenger), communications, irrigation,
urban water, shipping, post
• Government-owned business enterprises
• Registration & licensing
− Business, occupations, standards
• Access to finance (banking, credit)
• Provision of government services
• Healthcare/Pharmaceuticals
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