General Authority for Competition

Article 1

Previous Amendments

The following words and phrases – wherever they appear in this regulation – shall have the meanings specified next to each of them:
Authority: General Authority for Competition
Regulation: Regulation of the General Authority for Competition
Law: Competition Law.
Council: Board of Directors of the Authority
President: President of the Authority
Chief Executive Officer: Governor of the Authority
Regulation: Implementing Regulation of the Law
Committee: Committee for the Resolution of Violations of the Law.

Section Two

  • 1) The Authority shall have the independent legal personality, shall be financially and administratively independent, and shall conduct the tasks and competencies assigned thereto according to the Statute.

  • 2) The Authority shall be linked to the Prime Minister, and shall be headquartered in the city of Riyadh. The Authority may establish offices thereof in regions of the Kingdom as may be needed.

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Section Three

  • Taking into account tasks assigned to the Authority according to the Law, the Authority shall protect and encourage fair competition, combat monopolistic practices that affect lawful competition, in addition to maintaining the competitive environment in the business sector in a frame of justice and transparency in local market and issuance of the rules and regulations that organise the same. The Authority shall be entitled specifically to the following:

    • 1) Issue the rules and procedures according to competency, which shall include the following:

      • (a) Rules of monitoring the market to ensure fair competition.

      • (b) Rules related to preventing existing monopolistic practices, and combating new ones.

      •  (c) The measures of controlling and inspecting violations of the Law.

    • 2) Monitor the market in light of the rules adopted by the Board to ensure fair competition, in addition to conducting necessary researches and studies.

    • 3) Spread the culture of competition, hold seminars and conferences, conduct researches and studies, and other scientific awareness activities in competition area.

    • 4) Enhance cooperation and coordination with related authorities within Kingdom of Saudi Arabia and abroad to achieve purposes of the Authority, in accordance with the applicable laws, rules and instructions in this regard.

    • 5) Develop and update information and database regarding economic activity to serve Authority's work in the fields related to competition.

Article 4

Previous Amendments
  • First: The Authority shall have a Board of Directors, whose President is appointed by a royal decree, and shall hold the rank of Minister. The membership shall be as follows:

    • ‌‌1- Chief Executive Officer                                 Member 

    • 2- A representative from the Ministry of Commerce and Investment         Member

    • 3- A representative from the Ministry of Finance                       Member

    • 4- A representative from the Ministry of Economy and Planning           Member

    • 5- A representative from the Ministry of Energy, Industry, and Mineral Resources           Member

    • 6- A representative from the Ministry of Energy Member

  • Provided that the ranks of the representatives of government agencies shall not be less than the rank (fourteenth) or its equivalent.

    • 6- Four members with high competence and experience in the fields of systems or economic activities shall be selected for their qualifications, and appointed by a decision of the Council of Ministers based on the President's proposal.

  • Second: The attendance allowances for the sessions of the Council shall be determined by a decision of the Council of Ministers.

  • Third: Except for the President and the Governor, the term of membership in the Council shall be three years, renewable for a similar term.

Article 5

Previous Amendments

1- The Council shall convene at least four times a year at the invitation of its President, or whenever necessary, or if requested by at least one-third of its members. The Council shall not convene unless a majority of the members are present, including the President or a member designated by him.
2- The meetings of the Council shall be held at the headquarters of the Authority, and may, when necessary, be held at another location within the Kingdom.
3- The Council shall have a Secretary from among the Authority's staff, chosen by the President based on the nomination of the Governor, and the Council shall determine his duties and compensation.

Section Six

 

  • 1) Resolutions of the Board shall be issued by majority of the votes of the attendances. In case of equal votes, the side for which Chairman of the Meeting votes shall prevail.

  • 2) The Board may issue resolutions by submitting the same to the members separately, provided that all members shall accept such resolutions in writing. Such resolutions shall be submitted to the Board within the first subsequent meeting to be registered within the minutes of such meeting.

  • 3) The Board may invite for meetings thereof those persons whom the Board may deem as fit to seek experiences thereof, without being entitled to vote.

  • 4) Deliberations and resolutions of the Board shall be recorded within the minutes that shall be signed by Chairman of the meeting and present members. The resolutions, which the Board may deem as necessary to be published, shall be published in the Official Gazette and in any other means of media, which the Board may deem as appropriate. The Authority shall report such resolutions to concerned authorities directly and in an appropriate manner.

  • 5) Board member shall not refrain from voting or delegating another member to vote in absence thereof. Objecting Board member may register objection thereof and reasons of such objection within the minutes of the meeting.

  • 6) Board member shall not disclose any secrets of the Authority, which such member may acquire.

Section Seven

  • The Board shall be the supreme authority for the Authority, which shall manage the Authority, conduct matters thereof, and develop the general plans to be adopted by the Authority. The Board shall also follow up on execution of laws and instructions related to competition and control of monopolistic practices. The Board may take the necessary actions it deems sufficient to achieve the goals of the Authority, protect and encourage fair competition, including the following:

    • 1) Approve draft general plans and policies, as well as laws of competition and submitting the same according to the related legal procedures.

    • 2) Determine the goals and policies, which the Authority may adopt to achieve purposes thereof, as well as adoption of necessary programs and supervision over the execution thereof.

    • 3) Issue the Regulations, as well as the rules and procedures indicated in Section (1) of Third Article of the Statute.

    • 4) Adopt the internal financial and administrative bylaws of the Authority, provided that such bylaws shall include determination of the conditions for appointment as well as remuneration, benefits, rights, commitments, and job practices of Authority’s employees.

    • 5) Approve taking actions of inquiry, research, collecting evidences, as well as investigation to reveal practices and violations that prejudice competition.

    • 6) To approve on proceeding with lawsuits related to anti-competitive practices and undertaking the necessary legal actions, except for violations related to the disclosure of classified information by board members or the staff of the Authority.

    • 7) Name employees who have power of enforcement regarding application of the provisions of the Law.

    • 8) Name Investigators and Public Prosecution Representatives regarding application of the provisions of the Law.

    • 9) Approve reconciliation with violating facilities according to provisions of the Law and Regulations.

    • 10) Settle the applications of economic concentration, according to provisions of the Law and Regulations.

    • 11) Adopt the organizational structure of the Authority.

    • 12) Form permanent or temporary committees from members thereof or for others, which shall be assigned with tasks as might be deemed appropriate. Resolution of formation shall determine the chairman as members of each committee, in addition to competencies and term for execution of the tasks thereof.

    • 13) Approve the establishment of offices for the Authority within the regions as may be needed.

    • 14) Appoint one auditor (or more) for the accounts of the Authority, and determine remuneration thereof.

    • 15) Approve the Board’s annual draft budget, final account, Auditor’s report and annual report, in preparation for submitting the same according to the legal procedures.

    • 16) Determine the financial return for the services provided by Authority.

    • 17) Give opinion regarding laws, policies and decisions related to competition.

  • The Board may delegate some of the tasks above mentioned to the Governor as may be required by work progress within the Authority, provided that the same shall occur only through written resolution and for a specified period.

Article 8

Previous Amendments

The Authority shall have an Executive President who is appointed and dismissed by a Decision from the Council, which specifies his salary and other financial benefits. He is considered responsible for managing the affairs of the Authority and conducting its matters within the limits set by the Law and regulations, as well as the tasks and powers determined by the Council, including the following:
1) Proposing projects for general plans, policies, and laws related to competition and submitting them to the Council, and following up on their implementation after approval.
2) Submitting the draft budget of the Authority, its final account, and its annual report to the Council.
3) Following up on the implementation of the Decisions issued by the Council.
4) Proposing the organizational structure of the Authority and drafts of regulations and executive Decisions related to the workflow in the Authority, and submitting them to the Council for the completion of their approval procedures.
5) Representing the Authority before judicial, administrative, and other entities.
6) Issuing orders for the Authority's expenditures in accordance with the approved annual budget and the Authority's regulations.
7) Appointing employees in the Authority and supervising them, in accordance with the powers granted to him and what is specified by the laws and regulations.
8) Attracting competencies and appointing those whose work requires the assistance of the Authority.
9) Approving scholarships and training for the Authority's employees for study domestically or abroad, in accordance with the applicable regulatory procedures.
10) Approving the participation of the Authority's employees in forums, seminars, programs, workshops, and visits related to the Authority's objectives and competencies domestically and abroad, in accordance with the applicable regulatory procedures.
11) Measuring the performance of the Authority's work according to performance indicators and achievement standards approved by the Council, and proposing means to evaluate and develop the Authority's performance.
12) Submitting periodic reports to the Council on the Authority's work, achievements, and activities.
13) Carrying out other competencies delegated to him by the Council and the specific laws and regulations of the Authority.
The Governor may delegate some of his tasks and powers to other members of the Authority.

Article 9

Previous Amendments

The Chief Executive Officer shall have a Vice (or more) appointed by a decision of the Council based on the nomination of the Chief Executive Officer. The Vice Chief Executive Officer shall undertake the tasks delegated to him by the Chief Executive Officer, within the limits prescribed by the law, regulations, and approved procedures of the Authority.

Article 10

Previous Amendments

The Labor Law and the Social Insurance Law apply to all employees of the Authority.

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