Competition regulation in EAEU discussed in Shymkent

Zhanseit Tuimebayev who was chairing the meeting noted that the Eurasian Economic Union has opened big opportunities for Kazakhstan entrepreneurs.

"Before being a member of the EAEU the value of external trade of South Kazakhstan with Russia in 2010 was KZT 225,3 million. In 2016 this indicator increased by 3,4 times and equaled USD 756,6 million. Export volume has grown by 5,8 times. Import has increased by 2,2 times", - the region akim said.

According to region deputy akim Zhakyp Bokenbayev South-Kazakhstan experiences deficit of electrical power and the insufficient part is supplied through the energy systems of Kazakhstan.

Deputy akim reported that out of 1,0 billion cubic meters of natural gas in South Kazakhstan 65% are consumed by industrial enterprises of small and medium business. Increase of tariffs will increase the cost of goods of local producers and decrease competitiveness. Tariffs for heating and drinking water service will not impact the prime cost of products and goods turnover.

The participants of the meeting also considered the possibility of reducing the tariffs for gas and electricity and lowering the price variation between regions if a uniform price is established. Also in order to reduce prime cost of domestic producers it was suggested to subsidize tariff for electric power which will positively impact small and medium businesses.

It should be noted that economic integration has strengthened competition of domestic goods producers. The Eurasian Economic Commission was set up for the purpose of regulation of competition and other macroeconomic situations. The main objective of the commission is implementation and regulation of competitive policy among member countries.