PRESIDENTIAL DECREE OF THE REPUBLIC OF UZBEKISTAN

of July 6, 2020 No. UP-6019

About additional measures for further development of competitive environment and reducing the state participation in economy

For the purpose of creation of effective competitive environment by step-by-step decrease in monopoly in the goods and financial markets in the country the measures directed to reducing participation of the state in economy, refusal of excessive price regulation and reduction of influence of the state by economy are implemented.

At the same time there are pressing tasks on further reduction of negative impact of monopoly of the managing societies with participation of the state on economy competitiveness, to increase in system effectiveness of provision of privileges and preferences, and also decrease in regulatory load of entrepreneurship subjects.

For the purpose of development of the competition in the goods and financial markets, creations of equal conditions for activities of subjects of entrepreneurship, ensuring openness and further enhancement of procedures of public procurements, and also according to the State program on strategy implementation of actions in five priority directions of development of the Republic of Uzbekistan in 2017 - 2021 in "Year of development of science, education and digital economy":

1. Determine that:

a) The committee on development of the competition and consumer protection of the Republic of Uzbekistan (further - Committee) in the activities is accountable to the Senate of the Oliy Majlis of the Republic of Uzbekistan and the President of the Republic of Uzbekistan;

b) The committee on permanent basis enters directly to the President of the Republic of Uzbekistan information in case of realization of the following tasks:

implementation of the state control of efficiency of the government assistance provided in the form of privileges, preferences and exclusive rights on conducting activities, and also introduction of offers on their cancellation in case of negative impact on competitive environment;

implementation together with the Ministry of Finance of the state control of compliance with law about public procurements, and also behind purchases of the managing societies and companies of strategic importance for which the separate procedure is established;

introduction of offers on cancellation of decisions of the state bodies violating requirements of the legislation on the competition and application of measures for their officials;

identification and suppression of "cartel" agreements and collusions in cooperation with law enforcement agencies;

control of creation of business entities with participation of the state;

c) Committee:

interacts with the Secretariat concerning the macroeconomic analysis, structural transformations, financial bank system, management of the state assets, development of the competition, support of entrepreneurship and reducing poverty of the Cabinet of Ministers of the Republic of Uzbekistan when ensuring coordination of measures and policy in the sphere of the competition and counteraction of monopoly, implementation of the structural reforms connected with forming of the free and competitive market, and also competitive conditions during the implementing of procedures of public procurements, realization of the state assets;

together with the Ministry of Economic Development and reducings poverty performs the mutually coordinated actions for improvement of competitive environment in economy and regions of the country, determination of strategically priority directions and tasks in the sphere of the competition, including to carrying out institutional reforms.

2. Establish procedure according to which since October 1, 2020:

a) one of the main objectives of the state bodies determined by representatives in industries and spheres is improvement and development of competitive environment with assignment of implementation of these tasks on heads and their first deputies;

b) creation (creation initiation) of business entities with participation of the state and persons affiliated with them, and also public institutions is not allowed, authorized to perform economic activity (except for creations for the purpose of ensuring defense capability and homeland security), in the following cases:

in spheres in which five and more subjects of private entrepreneurship in one goods market already function;

from state bodies in those spheres in which they are given authority on licensing, registration, accreditations and issues of permissions;

c) business entities with the participation of the state which is the single supplier or given this right or holding the dominating (exclusive) position are forbidden to create persons affiliated with them whose activities depend on use of goods (resources) or network infrastructure of the founder and who compete with subjects of private entrepreneurship, except as specified creations of these affiliates as a result of their separation with providing activities conditions, equal with competitors;

d) creation (reorganization) of business entities with participation of the state and persons affiliated with them, and also public institutions, authorized to perform economic activity, except for creations for the purpose of ensuring defense capability and homeland security, it is performed after receipt of prior consent of antimonopoly authority;

e) the business entity having conflict of interest with the state customer, economic society and the company of strategic importance cannot be the participant of public procurements or selection of the best offers or direct negotiations, except for public procurements for safety of the faces which are subject to the state protection, defense capability, safety and maintenance of internal procedure in the Republic of Uzbekistan, and also tied with the state secrets;

e) the state customer, economic society and the company of strategic importance to the organization of the tender and competitive biddings, selection of the best offers, and also direct negotiations shall place information on persons affiliated with them on special information portal of public procurements.

3. Determine that all regulatory legal acts providing the following are accepted in accordance with the established procedure only in the presence of the conclusion of the Ministry of Economic Development and reducing poverty and the Ministry of Justice about assessment of regulatory impact, and also Committee - on the basis of results of assessment of impact on competitive environment:

introduction of new restrictions and new types of allowing procedures, licenses to business entities or distribution of the operating restrictions, allowing procedures and the licensed types of activity on more wide range of participants of the market;

introduction of additional requirements and conditions for receipt of allowing documents or licenses;

increase in requirements to the minimum size of the authorized capital of legal entities;

restriction (reduction) of the established rights of business entities or introduction for them additional obligations or additional expenses;

establishment for business entities of any kinds of privileges, guarantees, preferences, and also provision of the new rights, including exclusive.

To the Ministry of Economic Development and reducing poverty together with Committee to develop and submit for approval in the Cabinet of Ministers Regulations on assessment of regulatory impact of drafts of regulatory legal acts in a month.

4. Approve:

The strategy of development of the competition in the goods and financial markets in 2020 - 2024 according to appendix No. 1;

"Road map" on strategy implementation of development of the competition in the goods and financial markets in 2020 - 2024 according to appendix No. 2;

The plan died on carrying out continuous inventory count of the regulatory legal acts and regulations in the sphere of technical regulation which are directly influencing business activity according to appendix No. 3;

the list of the ministries and departments responsible for development of development programs of the competition for the period till 2024 to which regulation of industries, according to appendix No. 4 is assigned;

the list of the companies with participation of the state into whom since January 1, 2021 the system of anti-monopoly komplayens as experiment, according to appendix No. 5 takes root.

5. Establish procedure according to which since January 1, 2021:

a) contractors of public procurements, and also purchases of economic societies and companies of strategic importance shall:

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