Transtasman merger deal a step closer

The Commerce Commission has moved a step closer to cementing increased co-operation with its Australian counterpart when reviewing transtasman business mergers.

The two bodies have agreed in principle to a protocol to enhance their co-operation in dealing with the review of transtasman mergers after commission chairwoman Paula Rebstock and Australian Competition and Consumer Commission chairman Graeme Samuel met last week.

The groundwork for the agreement was laid this year during negotiations between Finance Minister Michael Cullen and Australian Treasurer Peter Costello, intended to further align the two economies.

The two governments have agreed to legislative changes to allow greater exchange of information gathered by the agencies during competition and consumer protection investigations.

"The protocol builds on a number of practices that are already routinely employed by the Commerce Commission and the ACCC," said Rebstock.

Samuel said the agencies might synchronise merger reviews where possible, share information and analysis, and gather information on each other's behalf.

Further co-operation is possible on consumer and competition law enforcement, particularly relating to cartels. The agencies may also work together to develop "best practice" regulations for the energy and telecommunications sectors.