Product safety agencies cooperate to improve consumer protection
The European Commissioner for Consumer Affairs announced that the EC will initiate a comprehensive two-month review of toy safety controls following a recent visit with product safety officials in China. Cooperation will be based upon 'clear reporting, increased technical cooperation and effective enforcement' using the RAPEX rapid alert system for dangerous consumer products. The United States Consumer Product Safety Commission announced an agreement with its Chinese counterpart, the General Administration of Quality Supervision Inspection and Quarantine, to coordinate efforts in improving product safety. Cooperation will primarily focus upon preventing the use of lead paint in toy manufacture as well as four other initiatives on toys, fireworks, cigarette lighters and electrical products.
Europe
European Union
Court of First Instance rules on Microsoft
The Court of First Instance upheld the European Commission’s 2004 decision on Microsoft’s abuse of dominance under Article 82 of EC Treaty rules by imposing a monopoly in the market for personal computer operating systems and for media players. The court confirmed a fine of A$810 million to be imposed on Microsoft for refusing to disclose interoperability information that would have allowed its competitors to work with Windows PCs and servers and by linking Windows Media Player to its dominant Windows PC operating system. EC Competition Commissioner Neelie Kroes’ introductory remarks on the ruling applauded the court’s decision, which focused upon the importance of interoperability for consumer choice and innovation in high-technology industries. In a press release, the Department of Justice raised concerns that the ruling may have the 'unfortunate consequence of harming consumers by chilling innovation and discouraging competition'.
European Commission announces ‘third energy package’ reforms
The European Commission announced sweeping reforms to the energy sector focusing upon the unbundling of distribution networks by integrated power groups who dominate the sector. The reforms, entitled the ‘third energy package’, are designed to boost competition and promote the creation of a common European energy market. Member states submitted an alternative proposal, which has been adopted by the commission, in which large energy companies can retain ownership of their network assets while permitting use of their transmission grids by independent system operators.
