Commerce (Promoting Competition and Other Matters) Amendment Bill

I move, That the Commerce (Promoting Competition and Other Matters) Amendment Bill be now read a second time.

This bill forms a key part of the Government’s commitment to improving competition in New Zealand. Strong competition is essential to lifting New Zealand’s economic growth and productivity. Competitive markets encourage businesses to innovate, invest, and improve efficiency, which in turn enables better prices, greater services, and more choice for consumers.

I would like to thank the Economic Development, Science and Innovation Committee for its consideration of the bill. This bill makes key changes to modernise our competition settings by making it easier for businesses to collaborate when it benefits consumers, strengthening the merger regime to more effectively and efficiently prevent harmful market concentration, allowing the High Court to issue corrective action orders if a company breaches the Act, and improving the protection of confidential information provided to the Commerce Commission.

Submissions to the committee highlighted both the importance of the reform package and diverging views on competition reform. Many supported the bill’s direction but differ on the degree of intervention, the extent of the commission’s discretion, and the balance between certainty for firms and strong responses to market concentration and exclusionary conduct. The bill is stronger for that scrutiny. Following the select committee process, changes have been made to respond to the issues raised by submitters and to strike a better balance between strong competition enforcement and a regime that is workable for business. These changes improve clarity, support greater certainty, and better align with aspects of the bill with trans-Tasman competition settings. The core objective remains unchanged: to promote competitive markets for the benefit of consumers and the wider economy, while ensuring the tools and the bill are practical, proportionate, and fit for purpose.

I’d like to draw the House’s attention to a few changes made by the select committee as a result of the submissions received. The bill strengthens the voluntary merger notification regime. The committee has recommended that the clarified substantial lessening of competition test apply to the merger regime only, rather than the entire Act. This reflects the Government’s intent to address killer acquisitions that remove new innovative competitors from the market before they can challenge incumbents. The creeping acquisitions provision has been refined so the three-year look back applies only to prior acquisitions involving small goods or services.

The bill as introduced would also have given the commission a new power to study markets and require new information to assess whether pro-competition regulation may be justified. Submitters considered this too onerous and duplicative of the commission’s existing market study powers; these provisions have therefore been removed. Instead, the bill now relies on the existing market study framework with a targeted amendment making clear that the commission may recommend pro-competition, recommend regulation and reforms to reduce regulatory barriers to competition.

The bill establishes a new statutory notification regime for businesses to seek the equivalent of an authorisation from the commission for conduct—

Hon Dr Duncan Webb: Don’t rush. You’re doing OK.

Hon CAMERON BREWER: Are you liking this, Duncan? I can talk slower—that is unlikely to harm competition and may deliver public benefits. Initially, limit to collective bargaining and resale price maintenance, submitters broadly support this new regime. The bill has been refined to improve certainty and usability, including that by clarifying the criteria and the process.

The bill also strengthens the enforcement tool kit through corrective action orders. This will allow the High Court to require practical steps to remedy, mitigate, or avoid the effects of a breach. Importantly, the bill has been amended so private parties, as well as the Commerce Commission, can apply for these orders, ensuring the remedy is more accessible. The bill updates the Act’s confidentiality framework to give the commission greater ability to protect confidential information obtained through investigations, inquiries, and merger reviews, including from disclosure under the Official Information Act. This is intended to support fuller engagement with the commission by giving businesses greater confidence that commercially sensitive information will be protected.

Following submissions, the bill has been amended to better balance that confidence with public accountability. The bill has been improved through the select committee process and now strikes the right balance between strong competition enforcement and practical certainty for business. Its objective remains clear: to promote competitive markets that deliver fairer prices, greater choice, and innovation for consumers.

I promised we’d delivered this reading within five minutes. I commend the bill.

ASSISTANT SPEAKER (Greg O'Connor): This debate is interrupted and set down for resumption next sitting day. The House stands adjourned until 2 p.m. on Tuesday, 4 August 2026. Enjoy your evening.

Debate interrupted.

The House adjourned at 6 p.m.