Commerce Commission

The Commission is an independent organisation. It promotes competition so that New Zealanders benefit from competitive prices, better quality goods and greater consumer choice. It is responsible for ensuring that businesses meet the provisions of a number of laws including the Commerce Act, Fair Trading Act, Credit Contracts and Consumer Finance Act, Electricity Industry Reform Act, Dairy Industry Restructuring Act and Telecommunications Act.

The Commission undertakes a range of activities including:

 

• investigating and prosecuting breaches of the Commerce Act, Fair Trading Act and the Credit Contracts and Consumer Finance Act
• adjudicating on proposed business acquisitions or mergers
• regulating competition in the telecommunications, dairy and electricity industries.
  

 

The Commerce Act 1986

The Commerce Act 1986 promotes competition in markets within New Zealand by:

• prohibiting conduct that restricts competition (restrictive trade practices)
• prohibiting the purchase of a business's shares or assets if that purchase leads to the lessening of competition in a market
• allowing the Commerce Commission to authorise proposed restrictive trade practices and business acquisitions that lead to the lessening of competition in a market on public benefits grounds
• allowing the Commerce Commission to recommend to the Minister of Commerce that the price of specific goods and services be controlled.