Competition chapter with EU expected to open this year

The government is expecting to accelerate Turkey’s accession talks with the EU following the anticipated harmonization of legislation with the union for the opening of a competition policy chapter in October at the latest. As stated in the founding treaties of the European Community, the EU expects that member government interventions do not distort competition policy and trade inside the union. In this regard, the European Commission monitors and assesses state aid in the union. The union demands that governments introduce regulations to establish separate organs which will manage and monitor state aid to comply with EU rules. The Turkish government has completed preparations for the establishment of a State Aid Monitoring and Supervisory Council along with a State Aid General Directorate. A bill for legislation to this end awaits Parliament’s approval in October. The chapter on competition policy has long remained one of the major barriers in Turkey’s accession talks with the union. The government plans to finalize the necessary legislation before the release of EU progress report in November. A draft of the legislation was earlier sent to Parliament, which will return from recess on Oct. 1. The harmonization of legislation on competition policy with the EU also means that Turkey complies with the Organization for Economic Cooperation and Development’s (OECD) competition policy criteria. Following enactment of the changes, the current law on competition policy the law will become more comprehensible than it currently is. The new legislation minimizes bureaucracy in the Competition Board while the institution’s jurisdiction is redefined.