Treasurer Scott Morrison has released a statement outlining how newly legislated amendments made by the Turnbull Government will strengthen Australia’s competition law.
These amendments will provide “greater protections for small businesses and more choice for consumers by boosting innovation and opening new markets”.
The move come on the back of recommendations made by the Harper Competition Policy Review to strengthen section 46 of the Competition and Consumer Act 2010, which focuses on the misuse of market power provision.
The Treasurer believes that these reforms will focus on preventing “firms with substantial market power engaging in conduct that harms competition in Australian markets.”
“The reformed section 46 will prohibit a corporation from engaging in conduct with the purpose, effect or likely effect of substantially lessening competition in a market in which it directly or indirectly participates,” explained Mr Morrison.
However, these reforms did not come without controversy. The move has been opposed by both the Business Council of Australia and by Labor.
The amendments will commence as soon as possible, once additional reforms have passed the Parliament.