Regulators functions should not contradict each other, says CCI chief

Written by Press Trust of India | New Delhi | Updated: Feb 15 2014, 09:23am hrs
Regulators functions should not contradict each other and their actions should not result in unnecessary burden on economy, Competition Commission of India (CCI) chairman Ashok Chawla on Friday said.

Chawla also asserted that the CCI mainly looked at operational behaviour of entities in the market place.

In recent times, there have been concerns that different sectoral regulators trespassing each others jurisdictions.

The sectoral regulator and the market regulator, in this case the CCI, should function in a manner which does not contradict each other and which should not lead to unnecessary regulatory burden, Chawla said at an event organised by Public Affairs Forum of India in association with J Sagar Associates and Genesis Burson -Marsteller.

Chawla said, in India, different businesses and industries have their own individual sectoral regulators with mandate to look at various aspects such as technical, licensing and tariff issues for ensuring orderly and healthy growth of respective sectors.

On a question as to whether there should be a regulator of regulators in India, he said: I dont think there is any talk of regulator of regulators in India except for the financial sector where there has been some discussion on this aspect.

... There is no possibility, no discussion on regulator of regulators in the Indian economy, he added.

In response to a query on the impact of foreign regulators decisions on some Indian firms, he said every regulator, including foreign, look at behaviour of enterprises in their respective countries.

Every regulator will look at what his mandate is at the law. "So, foreign regulators are looking at the behaviour of enterprises at those country so they will look at that point of view," he added.

"Regulators here are neither entitled to nor expected to focus on what are the concerns of regulators across the country and as businesses become global and as operations extend to all parts of the world different regulators will look at the same activity from their points of view," Chawla said.