The Bundeskartellamt’s tasks

The Bundeskartellamt uses a number of tools to protect free and fair competition in the social market economy, in particular by prosecuting cartels, controlling mergers and abusive practices and conducting sector inquiries.

Over the years, the Bundeskartellamt has also been given various additional tasks and powers.

Bundeskartellamt
Source:Bundeskartellamt

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Cartels

Prosecuting and punishing illegal cartels is a key task of public competition law enforcement.

What exactly is a cartel and how does the Bundeskartellamt track down these illegal and secret agreements? What are the penalties offenders have to expect and how can you also help uncover a cartel?

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Mergers

The Bundeskartellamt controls mergers between companies. The purpose of merger control is to prevent companies from becoming too powerful by taking over competitors or acquiring stakes in other companies, with the result of adversely affecting competition.

What mergers does the Bundeskartellamt examine and how are such proceedings conducted? Why does the Bundeskartellamt stop some companies from implementing their plans and what is ministerial authorisation?

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Abuse control

The purpose of abuse control is to prevent large, powerful companies from exploiting their economic power to the detriment of others.

What companies are subject to abuse control and what kind of conduct is prohibited? What exactly can the Bundeskartellamt do?

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Extended abuse control over large internet companies

In 2021 the Bundeskartellamt was given extended powers to control companies of “paramount significance for competition across markets”. The new provision set out in Section 19a of the German Competition Act (Gesetz gegen WettbewerbsbeschränkungenGWB) is aimed in particular at large digital companies.

Alphabet (Google), Amazon, Apple, Meta (Facebook), Microsoft, etc.? What kind of conduct can the Bundeskartellamt prohibit? How do these powers relate to the EU Commission’s responsibilities under the Digital Markets Act?

Digitalisierte Globus über eine Stadt bei Nacht, um den herum Bilder zu digitalen Themen kreisen
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Public procurement law

The two Federal Public Procurement Tribunals are located at the Bundeskartellamt. They are responsible for reviewing award procedures carried out by the Federation or federal contracting authorities.

What does public procurement law have to do with competition? Who can initiate review proceedings and how are they conducted?

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Competition Register for Public Procurement

Since 2021 the Bundeskartellamt has been keeping the Competition Register for Public Procurement. Companies which have committed certain economic offences are entered in a fully electronic central database. Such companies may have to be excluded from public award procedures. The Competition Register for Public Procurement makes it easier for contracting authorities to assess this.

What is entered in the register and what are the consequences for companies? How does “self-cleaning” work and how can an entry be deleted?

Digitale Aktenschrankwand

Consumer protection

In 2017 the Bundeskartellamt was for the first time given powers in the area of economic consumer protection.

How are consumer rights protected in Germany? What does protecting consumers have to do with protecting competition and how do the Bundeskartellamt’s competences in the area of consumer protection differ from its powers under competition law?

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Market Transparency Unit for Fuels

The Market Transparency Unit for Fuels enables consumers to obtain information on current fuel prices at petrol stations in Germany. Is it even worth comparing fuel prices and how does the Market Transparency Unit for Fuels work?

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Monitoring the electricity and gas markets

Especially since the energy and gas markets were liberalised in the late 1990s, the Bundeskartellamt has been protecting competition in the markets upstream and downstream of the energy networks, most notably the markets for energy generation, energy trading and the supply of energy to end customers.

Every year the Bundeskartellamt publishes a report on the market conditions in electricity generation and, in cooperation with the Bundesnetzagentur, a monitoring report on developments in the electricity and gas markets. The Bundeskartellamt also operates the Market Transparency Unit for Electricity and Gas together with the Bundesnetzagentur.

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Control of abusive practices in the context of energy price relief measures

In response to soaring energy prices at the end of 2022 the Federal Government introduced price caps for electricity, gas and heat to ease the financial burden on private households and companies. In this context, the Bundeskartellamt was assigned a completely new task: to examine whether any energy suppliers have unjustly claimed relief payments made available by the state.

 Are suppliers allowed to raise prices, and if so, by how much? What consequences do energy suppliers have to face if they unjustly raise their prices and claim compensation payments?

Glühbirne, in der ein Globus leuchtet und die mit verschiedenen Energiesektoren vernetzt ist
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Sector inquiries and remedies

The Bundeskartellamt conducts sector inquiries to get an accurate picture of the competitive situation in certain sectors of the economy. Sector inquiries can be initiated if there are indications suggesting that competition in these sectors is limited or distorted.

What powers does the Bundeskartellamt have in the context of carrying out sector inquiries? What measures can be taken following a sector inquiry? What powers of intervention can result from a sector inquiry?

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