Regulated Industries
The Commerce Commission has a role in the regulation of some markets where there is little or no competition. The markets where the Commission is currently involved include: electricity transmission and distribution, gas transmission and distribution, telecommunications, airports and the dairy industry. The Commerce Act Part 4 contains specific provisions for regulation in these markets with a purpose of promoting outcomes that are consistent with outcomes produced in competitive markets such that suppliers of regulated goods or services—
- have incentives to innovate and to invest, including in replacement, upgraded, and new assets; and
- have incentives to improve efficiency and provide services at a quality that reflects consumer demands; and
- share with consumers the benefits of efficiency gains in the supply of the regulated goods or services, including through lower prices; and
- are limited in their ability to extract excessive profits
Read more about this topic: Commerce Commission
Famous quotes containing the words regulated and/or industries:
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