| DECLARATIONS |
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The government intervention by regulation it has to be an exceptional way, and only when the results that will obtain without market regulation will be inefficient or against consumers wellbeing. These happens when the existant structure in the market, prevents the full performance of the competition process and free market. So, in Mexico several legal and regulation rules authorizes CFC to issue a resolution about effective competition conditions, substantial power or other analogous terms in order to establish specific obligations regarding tariffs, quality of service and information, legal or regulatory provisions by the sector regulator. Also, the CFC is empowered to issue, prior Federal Executive request, a declatory of effective competition conditions in products and services markets neccesary to the national economy or population consumption. With this resolution the Ministery of Economy can imposed price controls to those products. The legal rule of this empower it sets forth in article 7 of the LFCE. In this way, it ensures the correct application of regulation, without unnecessary distortions to the markets warranting the society wellbeing. The procedure to issue declarations is set forth in articles 33 bis of the LFCE and 53, 54, 55 of the RLFCE.
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| Last Updated on Monday, 07 May 2012 10:11 |