The Effect of Fair Competition and the Role of Indonesian Competition Commission (KPPU) to Improve Economic Welfare State

Report Post

There are two important factors that should be the focus of the government in improving the national economic welfare state. First, the development of domestic micro, small & medium enterprises (MSMEs) which support the national economic development. The second is the creation of a healthy business climate in the country. The two important factors can be achieved as the Indonesian Competition Commission (ICC) present to create a conducive environment for all businesses. This was mentioned by the commissioner of ICC Prof. Dr. Drs. Chandra Setiawan, M.M., Ph.D in a general lecture entitled “The Effect of Fair Competition and the Role of ICC (KPPU) to Improve Economic Welfare State” recently (4/10).

Arranged by Law Study Program of President University, the general lecture informed students about the role of ICC in creating a good business climate in Indonesia. “ICC is responsible for the application of business competition law in all sectors. As ruled by Law of Republic of Indonesia Number 5 Year 1999 on the Prohibition of Monopolistic Practices and Unfair Business Competition, monopolistic practice is prohibited,” Chandra said. Further, Chandra also explained ICC’s responsibility to supervise the partnership between MSMEs and large enterprises. This effort is made to prevent large company exploit the MSMEs.

The Head of Law Study Program of President University Zenny Rezania Dewantary, S.H., M.Hum. explained that the practice of Anti-Monopoly Law is a cross major discipline. “Law students need to understand the theory of economy, like the theory of cartel and monopolistic practice. They might understand the law, but they also have to understand the practice in the business. It is also applied to economic students. Not only the practice, but they also need to learn the law as well. Therefore, we organized this lecture for students to understand the law aspects and also how the practice is applied in the business process,” she said.