Ireland was one of a few European countries where fines for breaches of competition law could only be imposed by a court following a criminal prosecution prior to the act taking effect.

“The substantial financial penalties that are now available to the CCPC will be an essential deterrent when tackling white-collar crime, including cartels,” said CCPC chairman Brian McHugh.

In addition to the introduction of administrative fines, the Competition (Amendment) Act 2022 also introduces increased fines for breaches of competition law, new leniency provisions, a provision against bid-rigging, and additional powers in the areas of mergers and surveillance powers. Trade Minister Simon Coveney said: 

In providing our competition authorities with new powers, we are sending a strong signal that white-collar crime will not be tolerated and will be heavily penalised. 

The CCPC said the “leniency programme” are for those who disclose their participation in cartels and resale price maintenance and provide evidence on other parties.

Mr McHugh said that the “international evidence shows [this] is the single most effective way of gathering essential evidence of collusion”.

The watchdog said that it is incentivising companies to come forward by granting “full immunity from administrative financial sanctions” to the first successful applicant to the leniency programme.

“Subsequent successful applicants may receive possible reductions of any administrative financial sanctions that might otherwise be imposed,” the CCPC said.

Under the act, The CCPC has also been granted a power to unwind a merger or acquisition implemented without its clearance.

The act will also apply to the communications regulator Comreg.

The act aligns competition policy across the EU, enabling more streamlined and efficient co-operation between competition authorities, and allows for the challenging of illegal practices across borders.

“Anti-competitive behaviours drive up costs, hinders innovation, freezes out start-ups and smaller businesses, and leads to bad quality products and poor services,” said Dara Calleary, the minister of State with responsibility for company regulation.

“This new legislation is a powerful asset in competition law enforcement that will ensure violators are faced with strong penalties.”