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Press Release
by Statskontoret (the Swedish State Office) 2000-04-03

Create the same competition conditions for governmental and private actors

Many state agencies and companies sell products and services in competition with private companies. Part of this activity has proven to have a dampening effect on the possibilities of especially small enterprises to establish themselves and grow in the market place. The reason is that fundamentally different conditions apply to state and private actors which means that they do not compete on equal terms.

Statskontoret has in its report 'The state as a commercial actor' on behalf of the (Swedish) government explored and analysed the activities in which governmental authorities and companies are engaged in competition with private companies. The impact on competition and growth has been studied in more detail in five case studies. In addition Statskontoret has analysed earlier reports and studies which raise the question of commercial activities by the state from a competition perspective. Studies made both internally and by other parties form the basis for a number of proposals for action to reduce competition distortions.

In cases where motives for state players to engage in commercial competitive activity are lacking, Statskontoret proposes that such activities be prohibited. In some cases there are motives for the state to engage in commercial activities. For all such activities Statskontoret proposes the followed three general actions:

• define the term 'uppdragsverksamhet' (ordered service activities) in law and specify it in more detail in the instructions given to the authority
• regulate a requirement for special auditing of cost-based revenues under competition
• make arrangements for a supervisory function for public commercial and competitive activities.