This is the final project for GSMA Training on Competition Policy in the Digital Age, September 2016

1. SUSTAINABLE COMPETITION POLICY
IN THE DIGITAL AGE
Regulating competition in the digital age
Muhammad Razali Anuar
GSMA Training
September 2016
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2. SUSTAINABLE COMPETITION POLICY IN THE
DIGITAL AGE
Project Summary
We have heard about sustainable development which aims to ensure that the world is
a better place for the next generation. The Earth Summit in Rio further list out the
actions required to address this, and among them is the need for the multistakeholders’
opinion be taken into consideration. Over the years, this concept has been adapted in
various scenario in policy-decision making. As part of this course’s requirement, I
attempt to address the need for better decision-making for competition policy by
identifying the relevant requirements, challenges and possible actions that could be
undertaken to improve the decision making process for competition policy. This is due
to the fact that while competition policy can be quite technical, the implication can be
far more wide reaching, especially in the digital age.
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3. SUSTAINABLE GROWTH AND COMPETITION
POLICY
1. The United Nation’s 2030
Sustainable Development Goals is
about the people
2. The people, who are the
consumers will contribute to the
attainment of these goals
3. A robust competition framework
can be a tool for governments to
ensure sustainability and
longevity of these goals
Source : http://www.un.org/apps/news/story.asp?NewsID=51968#.V_MLuPB94dU
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4. THE SUSTAINABILITY CONCEPT
The Brundtland Commission Report first touched the sustainable development concept in 1987. In the Report,
sustainable development is defined as “development that meets the needs of the present without compromising
the ability of future generations to meet their own needs.”1
The Earth Summit in Rio de Janeiro in 1992 further committed to an action plan for sustainable development,
called Agenda 212. Among the concept being adopted by Agenda 21 is consultation from the relevant
stakeholders to ensure that the development undertaken by the States are sustainable.
Over the years, the concept has developed and has been applied on various issues including environmental
issues related to climate change, forests and biodiversity, and is now being applied to “sectoral policies, such as
agriculture, energy, trade or investment”3
Increasingly, we see more government bodies undertake consultation process in their decision-making process.
In some countries, Regulatory Impact Assessment is a requirement to ensure that the impact of the decision takes
into consideration of the concerns of the relevant stakeholders4.
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5. THE SUSTAINABILITY CONCEPT (2)
Social
EconomicEnvironment
Bearable Equitable
Viable
Sustainable
The sustainability concept takes into consideration of the
three main dimensions, ie the social dimension, the economic
dimension and the environment dimension. As outlined in the
diagram, the interaction between either of these dimensions
will result in bearable, equitable or viable outcome.
Sustainability will only happen when the social, environment
and economic dimensions work together5.
How can the competition policy in digital environment apply
the sustainability concept to support the UN 2030 goals?
In effect, the welfare of consumer is a result of the economic,
social and environmental policies of the actors. How do
provide a framework for a sustainable competition policy?
http://www.un.org/esa/sustdev/csd/csd15/media/backgrounder_brundtland.pdf 5MUHAMMAD RAZALI ANUAR

6. APPLYING SUSTAINABILITY IN COMPETITION
POLICY?
Source : GSMA
Agenda 21 provides the commitments for
States to undertake consultation among the
stakeholders to ensure sustainability
Social
EconomicEnvironment
Bearable Equitable
Viable
Sustainable
How do we ensure the sustainability of
competition policy or decision, taking into
consideration of Agenda 21 commitment for
consultation? 6MUHAMMAD RAZALI ANUAR

7. SUSTAINABILITY – HOW TO IMPROVE THE
DECISION-MAKING PROCESS
“an efficient market requires transparent
market information and decision-making. This
requires regulatory authorities to exercise their
functions as transparently as possible,
providing appropriate information on
regulatory decisions and on relevant market
information and opportunities for
consultation”6.
Ex Ante, Ex
Post or Merger
Market
Definition
Market
Analysis
Dynamic
Efficiencies
Outcome/
Decision
Source : Adapted from GSMA
At what stage is consultation is needed, and
whether consultation is the right approach?
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8. INFORMATION AND TRANSPARENCY IS
IMPORTANT FOR DECISION-MAKING
Decision-making for competition policy can involve very
technical requirements. Defining markets, market
analysis, identifying dynamic efficiencies may require
specialized understanding and background.
Operators, academia, and other interested parties
may participate in the public consultation process, and
would have the resources to do so.
How do we make sure that the consumers are
sufficiently protected and taken into consideration in
decision making?
What are other tools that can be used to improve the
decision-making process?
Ex Ante, Ex
Post or Merger
Market
Definition
Market
Analysis
Dynamic
Efficiencies
Outcome/
Decision
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Source : Adapted from GSMA

9. CHALLENGES IN CONSULTATION IN THE DIGITAL
AGE
Dynamic
consumerism
Technical
complexity
Multistakeholder Timeliness
Consumerism may force
or facilitate the
understanding of the
issues to be discussed by
the regulator. Getting
the right information is
key.
Is the regulator
addressing all
stakeholders’ concern?
Have the objectives
been sufficiently met?
How does the regulator make
the consultation less technical
and provide more
understanding on the
objectives and outcome of the
decision-making?
In changing digital market,
timeliness in information,
processes and decision-making
is very important to ensure
relevancy of the outcome
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10. CONSUMER AWARENESS AND INFORMATION IS
KEY TO SUSTAINABLE COMPETITION POLICY
Ex Ante, Ex
Post or Merger
Market
Definition
Market
Analysis
Dynamic
Efficiencies
Outcome/
Decision
Ensuring relevancy of market definition
and applying adequate SSNIP
assessment with sufficient consumer
feedback
Identifying impact to the consumer
based on market analysis and relevant
justification and feedback from
consumer
How does the
efficiencies and
outcome of the
market affect the
consumer.
Ensure timely and
relevant assessment
of decision
Competition policy in the
digital age require more
collaboration with consumer
and other stakeholders.
However, as the process may
become complicated and
laborious, a strong and
informed consumerism is very
important to address wide-
ranging and changing market.
An improved decision making
process will ensure the
sustainability of the competition
policy.
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11. SOURCES AND OTHER REFERENCES
1. http://www.un-documents.net/our-common-future.pdf
2. https://sustainabledevelopment.un.org/outcomedocuments/agenda21
3. http://www.un.org/esa/sustdev/csd/csd15/media/backgrounder_brundtland.pdf
4. Deighton-Smith, R., A. Erbacci and C. Kauffmann (2016), "Promoting inclusive growth through better regulation: The role of regulatory impact
assessment", OECD Regulatory Policy Working Papers, No. 3, OECD Publishing, Paris.
DOI: http://dx.doi.org/10.1787/5jm3tqwqp1vj-en
5.
http://dspace.nwu.ac.za/bitstream/handle/10394/2252/Schutte_IC_Chapter2_Sustainability.pdf;jsessionid=748F94FCD6DB4F207B4F89E9A814
6D84?sequence=10
6. GSMA. Competition Policy in the Digital Age : A Practical Handbook. October 2015
http://unctad.org/meetings/en/SessionalDocuments/tdrbpconf8d6_en.pdf
http://cisdl.org/public/docs/news/CISDL_Competition_Law_SD.pdf
http://www.un.org/apps/news/story.asp?NewsID=51968#.V_MLuPB94dU
http://www.un.org/esa/sustdev/csd/csd15/media/backgrounder_brundtland.pdf
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12. THANK YOU
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