Markets have evolved from barter systems to modern digital platforms driven by supply and demand.
Climate change disrupts supply chains, causing imbalances in supply and demand and affecting the economy.
Framework
SEBI’s new framework requires companies to report on their environmental impact, promoting transparency.
Authorities worry about balancing sustainability goals with preventing anti-competitive behavior
Japan’s Anti Monopoly Act approach towards the realisation of a ‘green society’ were guidelines brought to help private businesses navigate themselves in horizontal collaborations.
These guidelines suggest that most activities seeking environmental sustainability are unlikely to restrict competition.
EU’s Revised Guidelines: The European Commission’s new guidelines address sustainability but avoid harming competition.
India’s Net-Zero Target: India aims for net-zero emissions by 2070 but needs to address its high global warming contributions.
CCI efforts
The Competition Commission of India (CCI) is considering how to include sustainability in competition assessments.
The CCI allowed information sharing during COVID-19 and may extend similar measures for sustainability efforts.
The CCI can promote sustainability through policies and guidelines, integrating them into economic planning.
Green Technology
The U.K. studied competition in the electric vehicle sector, suggesting a similar study for green initiatives in India.
Encouraging competition in green technology can drive innovation and resource efficiency.
Way forward
Cooperation between companies on sustainability can lead to shared innovations and environmental benefits.
Clear guidelines and exemptions in competition law can balance sustainability goals with fair competition.
Sustainability policies can expand consumer options by promoting eco-friendly products.
Integrating sustainability into competition policies supports long-term economic growth and environmental protection.
Aligning with global sustainability standards helps create consistent policies and enhances competitiveness.
Competition policies should adapt to evolving sustainability challenges and technological advances
Competition policies can address environmental market failures, reflecting pollution costs in market prices
Continuous assessment of sustainability policies helps refine strategies and improve outcomes
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