Competitive Neutrality Rules Of Australia

Competitive neutrality is the most important link of national Competition policy in Australia.In the 1970s, in order to save the domestic economy, competitive neutrality rules have been introduced in Australia. Competitive neutrality requires that state-owned enterprises should not enjoy net competitive advantages over their private sector competitors simply by virtue of public sector ownership.It is in line with the present requirements which is limiting state-owned enterprises to obtain more competitive advantage, therefore has been accepted by some international organizations. Competitive neutrality rules requirements will be applied to significant government business activities by charge for goods and services,and the content of it involves many aspects,mainly including tax neutrality,debt neutral, neutral regulation, business rate,full cost pricing and so on.Australia through two ways in follows to realize the competitive neutrality:First is corporate and private state-owned Enterprises,and resolve the problem of state-owned enterprises have more competitive advantage from the source;The second is set up competitive neutrality complaints mechanisms. Competitive neutrality complaints office will investigate the complaint after received,and announce the results of the survey to complainants and make its decision in follows. People who is not satisfied with the decision can submit a case to the court.As the first country that implement Competitive neutrality and be successful for some years,Australia provides a good reference to China. Although China’s current economic situation develop fairly well, but because of the situation that the requirement of limited the trend of state-owned enterprise enjoy competitive advantage, and a large number of state-owned enterprises in China occupy more competitive advantages, our country also should through the way such as legislation to restrict state-owned enterprises,and reduce the proportion of the public sector of the economy in our country national economy.consequently,we Should again to deepen the reform of state-owned enterprises in our country, and improve relevant competitive legislation;And establish competitive neutrality complaints mechanism suitable for our country, and can also play a leadership role of domestic industry association in the fight against state-owned enterprises in the same time.