1. GENERAL PROVISIONS

1.1. The State Agency for Antimonopoly and Consumer Market Control under the President of the Republic of Azerbaijan (hereinafter referred to as the “Agency”) is the central executive authority responsible for implementing state policy and regulation in the fields of competition, public procurement, advertising (except for outdoor advertising), standardization, metrology, technical regulation, conformity assessment, accreditation, quality management, consumer rights protection and consumer market oversight, as well as for exercising state hallmark control and state oversight over the production, processing, use and circulation of precious metals and precious stones, and the import, export, use, circulation, accounting, storage and traceability of rough diamonds in the Republic of Azerbaijan.

1.2. In its activities, the Agency shall be guided by the Constitution of the Republic of Azerbaijan, international treaties to which the Republic of Azerbaijan is a party, the laws of the Republic of Azerbaijan, this Statute, other decrees and orders of the President of the Republic of Azerbaijan, as well as decisions and orders of the Cabinet of Ministers of the Republic of Azerbaijan.

1.3. In performing its functions and exercising its powers, the Agency shall cooperate with other state bodies (institutions), local self-government bodies, international and non-governmental organizations, as well as other legal entities and individuals.

1.4. The Agency shall have an independent balance sheet, state property under its use, treasury and bank accounts, an official seal bearing the image of the State Emblem of the Republic of Azerbaijan and the name of the Agency, as well as the relevant stamps and official letterheads.

1.5. The Agency’s operational and maintenance expenses, activities and logistical support shall be financed from the state budget of the Republic of Azerbaijan, extra-budgetary funds and other sources provided for by law.

1.6. The Agency shall be headquartered in Baku.

2. AREAS OF ACTIVITY OF THE AGENCY

2.1. The principal areas of activity of the Agency shall be as follows:

2.1.1. participating in the formulation of state policy and ensuring its implementation in the fields of competition, public procurement, advertising (except for outdoor advertising), standardization, metrology, technical regulation, conformity assessment, accreditation, quality management, consumer rights protection and consumer market oversight, state hallmark control, and the production, processing, use and circulation of precious metals and precious stones, as well as the import, export, use, circulation, accounting, storage and traceability of rough diamonds (hereinafter referred to as the “relevant area”);

2.1.2. exercising state regulation in the fields of competition, public procurement, advertising (except for outdoor advertising), standardization, metrology, technical regulation, conformity assessment, accreditation, quality management, consumer rights protection and consumer market oversight;

2.1.3. exercising state oversight and coordination in the relevant area;

2.1.4. participating, together with relevant state bodies, in the implementation of the state’s price and tariff policy;

2.1.5. carrying out rule-making activities in the relevant area;

2.1.6. taking measures to promote the development of the relevant area.

3. FUNCTIONS OF THE AGENCY

3.1. In accordance with the areas of activity defined by this Statute, the functions of the Agency shall include:

3.1.1. performing functions arising from rule-making activities in the relevant area;

3.1.2. ensuring, jointly with relevant state bodies (institutions), the development and implementation of development concepts and state programmes in the relevant area;

3.1.3. submitting, as appropriate, proposals concerning the improvement of state regulatory mechanisms in the relevant area;

3.1.4. exercising state oversight over compliance with competition legislation and taking measures within its statutory powers to prevent, restrict and eliminate monopolistic practices and unfair competition, as well as actions that result or may result in the violation of the interests of economic entities and customers;

3.1.5. granting consent, in the cases and in accordance with the procedure prescribed by competition legislation, to the establishment, reorganization and liquidation of legal entities, including legal entities owned by the state or municipalities;

3.1.6. reviewing relevant applications concerning economic concentrations in accordance with competition legislation and, based on the findings of such reviews, granting conditional or unconditional approval for concentrations or refusing to grant such approval;

3.1.7. assessing the state of competition, determining the dominant position of economic entities and submitting proposals aimed at ensuring a competitive environment in the activities of economic entities holding a dominant position whose market share exceeds the threshold established by law;

3.1.8. regularly assessing the impact on competition of subsidies and other forms of state aid granted by state bodies (institutions), local self-government bodies and regulatory authorities to economic entities operating in specific sectors of the economy, as well as the impact of regulatory measures on competition;

3.1.9. taking measures where agreements and/or concentrations concluded between economic entities and foreign legal entities or individuals, or the activities of such entities abroad, result in the restriction of competition in the domestic market;

3.1.10. taking measures against price manipulation, price discrimination and price dumping in accordance with the procedure established by competition legislation;

3.1.11. conducting investigations and inspections, as methods of state oversight over compliance by market participants with competition legislation, in the cases and in accordance with the procedure prescribed by competition legislation; carrying out analyses and monitoring activities, including monitoring each product market with a view to preventing monopolization, restrictions on competition, market allocation and the application of coordinated prices, all of which affect price increases;

3.1.12. bringing legal proceedings before courts to ensure the compulsory enforcement of decisions and orders issued to eliminate violations of competition legislation where such decisions or orders have not been complied with;

3.1.13. where market participants that have violated competition legislation fail to pay a financial sanction in due time or pay only part thereof, adopting a decision to refer the claim for compulsory enforcement for the collection of the financial sanction or its outstanding portion;

3.1.14. where an order to terminate or amend agreements and contracts concluded in violation of competition legislation, to conclude agreements and contracts compulsorily with other market participants, or to divide economic entities that have implemented concentrations restricting competition without obtaining the required approval has not been complied with, applying to a court for the declaration of such agreements or contracts as wholly or partially invalid and for the application of the relevant legal consequences, or for their compulsory conclusion; in the case of financial institutions, such division shall be carried out in coordination with the Central Bank of the Republic of Azerbaijan;

3.1.15. where indications of violations of competition legislation are identified during investigations and inspections conducted by the Agency, initiating proceedings against the respective entities in accordance with competition legislation, imposing financial sanctions based on the outcome of such proceedings and issuing binding orders;

3.1.16. submitting proposals to the state body (institution) that issued a licence or permit for its suspension where an economic entity has violated legislation on competition, consumer rights protection, technical regulation, metrology, conformity assessment, standardization or accreditation;

3.1.17. exercising state oversight over the activities of natural monopolies and taking measures in accordance with competition legislation to prevent and eliminate actions by natural monopolies that may adversely affect the interests of customers or competition;

3.1.18. monitoring the activities of natural monopolies for compliance with competition legislation and submitting proposals regarding the list of natural monopolies; for these purposes, obtaining technical, economic and other indicators from economic entities, obtaining economic and legal justifications, and considering applications submitted by economic entities concerning their inclusion in the list of natural monopolies;

3.1.19. issuing orders requiring natural monopolies to align economically unjustified prices for products whose prices are not subject to regulation with actual economic indicators, where such prices fail to comply with the requirements established by competition legislation;

3.1.20. authorizing the temporary operation of another market participant in a specified territory or during a specified period, upon an application by a natural monopoly entity, where such operation is necessitated by the implementation of actions subject to state oversight or by the existence of an emergency social regime;

3.1.21. exercising state regulation in the field of natural monopolies, including determining and applying, in accordance with competition legislation, the regulatory methods applicable to each natural monopoly entity;

3.1.22. submitting proposals regarding the list of goods (works and services) whose prices are regulated by the state, including the regulation of prices for products of natural monopoly entities and the formation of regulated prices; providing opinions on submitted proposals and overseeing the procedures for their implementation;

3.1.23. conducting investigations concerning anti-dumping, countervailing and safeguard measures in accordance with the procedure established by the Law of the Republic of Azerbaijan “On Anti-Dumping, Countervailing and Safeguard Measures”;

3.1.24. exercising oversight over the activities of financial-industrial groups in accordance with the procedure established by the Law of the Republic of Azerbaijan “On Financial-Industrial Groups”;

3.1.25. providing opinions on the compliance with competition legislation of agreements on the establishment of financial-industrial groups and applications concerning amendments to the terms of such agreements or the composition of group participants;

3.1.26. taking measures to prevent the production, import, placing on the market, sale, supply, performance, marketing or use of goods (works and services) that fail to comply with the requirements of the Law of the Republic of Azerbaijan “On Technical Regulation” and technical normative legal acts, or that pose a threat to human life and health or the environment;

3.1.27. taking measures to prevent the inclusion in contracts of terms and conditions that restrict consumer rights;

3.1.28. considering applications from buyers concerning deception in respect of weight (quantity), price or settlements, failure to provide consumers with complete and accurate information about goods, and violations of sales conditions, and taking appropriate measures;

3.1.29. taking measures within its statutory powers against the unlawful use of another person’s trademark or service mark, appellation of origin, or names similar to the names of identical or similar goods, including submitting proposals to relevant state bodies (institutions) concerning the elimination of identified deficiencies;

3.1.30. except in respect of food products and consignments subject to veterinary and phytosanitary control, overseeing compliance with requirements concerning the storage and sale of goods, including product adjacency, temperature conditions, and the procedures for the replacement or return of sold goods;

3.1.31. overseeing compliance with price discipline, including compliance with price discipline and the proper application of prices in the provision of goods (works and services) whose prices are regulated by the state;

3.1.32. overseeing compliance with competition legislation in public procurement and taking measures to establish an equal competitive environment enabling all suppliers to participate in procurement;

3.1.33. taking measures to ensure the efficient and economical use of financial resources in public procurement, the conduct of public procurement on the basis of the principles set forth in Article 4 of the Law of the Republic of Azerbaijan “On Public Procurement”, and the prevention of violations of public procurement legislation;

3.1.34. overseeing the procurement of the subject matter of procurement using financial resources in accordance with the Law of the Republic of Azerbaijan “On Public Procurement” and the performance of procurement contracts, reviewing disputes and taking measures prescribed by that Law depending on the outcome;

3.1.35. performing the functions of the operator of the unified internet portal for public procurement;

3.1.36. approving decisions of procuring entities in the cases and in accordance with the procedure prescribed by the Law of the Republic of Azerbaijan “On Public Procurement”;

3.1.37. where the procurement commission has stipulated this in advance in the tender documents, approving an increase or decrease in the quantity or volume of the subject matter of procurement, provided that the unit price and specifications (indicators) of each unit of the procurement subject are not changed and the estimated price is not exceeded, prior to the signing of the procurement contract by the successful supplier;

3.1.38. preparing annual reports on public procurement;

3.1.39. exercising state oversight over the activities of advertising entities, except for outdoor advertising;

3.1.40. approving national primary measurement standards and national measurement unit standards, as well as organizing their acquisition and preservation and the dissemination of measurement units from national primary measurement standards and national measurement unit standards;

3.1.41. adopting decisions on the approval of the type of standard samples or measuring instruments based on positive test results, issuing certificates thereof, and maintaining the State Register of type-approved standard samples and measuring instruments;

3.1.42. exercising state metrological control and oversight over the calibration of measuring instruments;

3.1.43. carrying out the calibration of measuring instruments on a contractual basis and issuing calibration certificates or granting the right to affix calibration marks;

3.1.44. ensuring the maintenance and publication of the unified State Register of normative documents on standardization in accordance with the Law of the Republic of Azerbaijan “On Standardization”;

3.1.45. organizing the development, adoption and implementation of standards and related services associated with their application;

3.1.46. ensuring compliance with the principles and rules of accreditation and carrying out accreditation in the field of conformity assessment in accordance with the Law of the Republic of Azerbaijan “On Accreditation in the Field of Conformity Assessment”, as well as maintaining the State Register of conformity assessment bodies;

3.1.47. submitting proposals concerning the development of a laboratory system for testing goods in the field of technical regulation;

3.1.48. conducting expert examination of draft technical regulations for the purpose of determining their compliance with the requirements of the Law of the Republic of Azerbaijan “On Technical Regulation”;

3.1.49. establishing the classification of goods (works and services) into high-, medium- and low-risk groups based on prescribed criteria, depending on the degree of risk they pose to human life and health, the environment, property and the interests of the state;

3.1.50. maintaining registers of certificates of conformity and declarations of conformity, as well as approving and publishing the list of standards referenced for the purpose of ensuring compliance with the essential requirements established by technical regulations;

3.1.51. maintaining a register of recognized conformity documents of foreign origin;

3.1.52. conducting inspections, in the cases and in accordance with the procedure established by law, in the fields of state hallmark control and the production, processing, use and circulation of precious metals and precious stones;

3.1.53. issuing opinions on the export and import of rough diamonds;

3.1.54. conducting examinations to determine the country of origin of goods and, based on the results of such examinations, issuing certificates confirming the country of origin of goods;

3.1.55. participating, together with relevant state bodies, in the formulation of state policy in the fields of domestic trade and services, as well as in measures aimed at developing domestic trade and the consumer market;

3.1.56. analyzing information on investigations, monitoring activities, inspections and expert examinations conducted in areas falling within its mandate, as well as on actions taken based on their results, and establishing a unified information database;

3.1.57. where indications of an administrative offence are identified in the relevant area, taking measures in accordance with the Code of Administrative Offences of the Republic of Azerbaijan and, where indications of a criminal offence are identified, reporting the matter to the competent authorities;

3.1.58. overseeing compliance by business entities and their officials, except for entities engaged in catering, tourism and hotel activities (including other hotel-type facilities), with the requirements of anti-epidemic, sanitary and hygienic, and quarantine regimes;

3.1.59. ensuring the digitalization of services provided within the Agency’s areas of activity;

3.1.60. ensuring the exercise of human and civil rights and freedoms in matters falling within its areas of activity and preventing their violation;

3.1.61. ensuring the implementation of international treaties to which the Republic of Azerbaijan is a party in the relevant area;

3.1.62. ensuring public awareness of the Agency’s activities, establishing an official website, publishing on that website public information held by the Agency that is required by law to be disclosed, and ensuring that such information is regularly updated;

3.1.63. considering applications received in connection with its activities in accordance with the laws of the Republic of Azerbaijan “On Citizens’ Appeals”, “On Administrative Proceedings” and “On Access to Information”, and taking measures in accordance with the procedure prescribed by law;

3.1.64. taking the necessary measures to protect state secrets and confidentiality regimes, as well as security measures appropriate to its areas of activity;

3.1.65. taking measures to improve the structure and activities of the Agency, coordinating the work of entities forming part of the Agency’s structure and subordinate entities not included in its structure, and exercising oversight over their activities;

3.1.66. consolidating proposals received from entities forming part of the Agency’s structure and subordinate entities not included in its structure concerning their respective areas of activity and taking appropriate measures;

3.1.67. ensuring staff development in matters relating to its areas of activity and taking measures for the training and continuing education of specialists;

3.1.68. taking measures to strengthen the social protection of employees of the Agency’s Apparatus, entities forming part of its structure and subordinate entities not included in its structure;

3.1.69. ensuring the proper use, for their intended purposes, of budgetary funds, loans, grants and other financial resources allocated to the relevant area;

3.1.70. organizing records management and archival operations within the Agency;

3.1.71. submitting an annual report to the President of the Republic of Azerbaijan on the results of its activities, including the state of consumer rights protection in the country;

3.1.72. performing other functions determined by acts of the President of the Republic of Azerbaijan.

4. RIGHTS AND POWERS OF THE AGENCY

4.1. For the purpose of performing its functions, the Agency shall have the following rights and powers:

4.1.1. exercising the rights arising from rule-making activities in the relevant area;

4.1.2. initiating proposals concerning the accession of the Republic of Azerbaijan to international treaties in the relevant area;

4.1.3. participating in international events, including forums, conferences, exhibitions and other events, and organizing such events both in the Republic of Azerbaijan and abroad;

4.1.4. engaging in international and foreign cooperation in the relevant area, conducting or participating in negotiations, preparing or participating in the preparation of draft international treaties, signing such treaties within the scope of its authority, taking measures to ensure their implementation following signature, representing the Republic of Azerbaijan in the relevant organizations in accordance with established procedures, and studying the practices of foreign states;

4.1.5. overseeing the implementation of international treaties to which the Republic of Azerbaijan is a party in matters falling within its areas of activity and taking measures to ensure fulfilment of the obligations arising from such treaties;

4.1.6. requesting and obtaining necessary information and documents from state and local self-government bodies, as well as individuals and legal entities, on matters falling within the relevant area;

4.1.7. issuing opinions on matters falling within its areas of activity and conducting analyses, reviews, monitoring, investigations, inspections, expert examinations and research, as well as preparing analytical materials;

4.1.8. submitting proposals concerning the establishment, reorganization and liquidation of subordinate entities not included in the Agency’s structure;

4.1.9. engaging independent experts and specialists, consulting organizations and scientific institutions on a contractual basis, within the funds allocated for this purpose, and establishing working groups and commissions on a voluntary basis;

4.1.10. publishing special bulletins and other publications;

4.1.11. issuing non-regulatory methodological and instructional guidelines, recommendations and explanations on matters falling within its areas of activity;

4.1.12. obtaining from financial-industrial groups and natural monopoly entities reports and information required by law concerning their activities, including investment projects of natural monopoly entities;

4.1.13. establishing scientific, technical, economic and normative legal information databases in the field of public procurement and organizing the provision of consultancy services;

4.1.14. applying to courts in connection with the exercise of its functions and rights and participating in court proceedings in its own name;

4.1.15. entering into contracts on matters falling within its areas of activity and ensuring the use of funds received from service fees collected for services provided by subordinate entities not included in the Agency’s structure;

4.1.16. submitting proposals to relevant state bodies (institutions) on matters falling within its areas of activity;

4.1.17. exercising the rights over state property under its use as established by normative legal acts;

4.1.18. exercising other rights determined by acts of the President of the Republic of Azerbaijan.

5. ORGANIZATION OF THE AGENCY’S ACTIVITIES

5.1. The Apparatus of the Agency, entities forming part of its structure, and subordinate entities not included in its structure (legal entities, organizations, etc.) shall constitute a unified system of the Agency. The Agency shall carry out its activities directly and through such entities.

5.2. The structure of the Agency and the total number of employees of its Apparatus and entities forming part of its structure shall be determined by the President of the Republic of Azerbaijan. The list of subordinate entities not included in the Agency’s structure (legal entities, organizations, etc.) shall be approved by the Cabinet of Ministers of the Republic of Azerbaijan.

5.3. The Agency shall be headed by a Chairperson appointed to and dismissed from office by the President of the Republic of Azerbaijan. The Chairperson shall bear personal responsibility for the performance of the functions assigned to the Agency and the exercise of its powers and shall be accountable to the President of the Republic of Azerbaijan.

5.4. The Chairperson shall have one First Deputy Chairperson and three Deputy Chairpersons, who shall be appointed to and dismissed from office by the President of the Republic of Azerbaijan. The First Deputy Chairperson and Deputy Chairpersons shall perform their duties in accordance with the distribution of responsibilities and shall bear personal responsibility for the performance of the functions assigned to them.

5.5. The Chairperson shall:

5.5.1. organize and direct the activities of the Agency;

5.5.2. distribute responsibilities among the Deputy Chairpersons, determine the powers of other officials of the Agency and ensure coordination among them;

5.5.3. approve the statutes of the structural units of the Agency’s Apparatus, the entities forming part of its structure (except for entities whose statutes are approved by the President of the Republic of Azerbaijan), and the Scientific and Technical Council, as well as the charters or statutes of subordinate entities not included in its structure (except for legal entities whose charters are approved by the President of the Republic of Azerbaijan, the Cabinet of Ministers of the Republic of Azerbaijan or the Ministry of Economy of the Republic of Azerbaijan), and adopt, in the form of decisions, normative legal acts on matters not assigned to the competence of the Agency’s Board under paragraph 5.11 of this Statute;

5.5.4. approve, within the established organizational structure, payroll fund and staffing limits, the organizational structure and staffing table of the Agency’s Apparatus, entities forming part of its structure and subordinate entities not included in its structure, as well as their revenue and expenditure estimates within the limits of allocated budget appropriations and extra-budgetary revenues;

5.5.5. appoint and dismiss employees of the Agency’s Apparatus, except Deputy Chairpersons, as well as heads and deputy heads of entities forming part of its structure and subordinate entities not included in its structure, and apply incentive and disciplinary measures to them;

5.5.6. confer civil service qualification ranks of Chief Adviser and lower ranks on employees of the Agency other than Deputy Chairpersons, as well as on heads of entities forming part of its structure and their deputies, and submit recommendations to the President of the Republic of Azerbaijan concerning the conferment of honorary titles or state awards on distinguished employees;

5.5.7. as the administrator of funds allocated from the state budget and extra-budgetary funds, distribute financial resources and, within the limits of allocated funds, ensure the provision of salary supplements, financial assistance and bonuses to Agency employees;

5.5.8. approve the Chairperson of the Appeals Board, as well as, upon the recommendation (proposal) of the Chairperson of the Appeals Board, its other members, the head of the Secretariat and the composition of the Secretariat;

5.5.9. adopt non-regulatory legal acts in the form of orders and instructions and organize, verify and oversee their implementation, as well as the implementation of normative legal acts adopted by the Agency;

5.5.10. represent the Agency in relations with state bodies (institutions) of the Republic of Azerbaijan and foreign states, legal entities and individuals, as well as international organizations; conduct negotiations and, within the scope of the authority granted, sign relevant international documents;

5.5.11. submit proposals concerning the formation of the state budget and extra-budgetary funds for the relevant year in matters falling within the Agency’s competence;

5.5.12. ensure that funds allocated from the state budget and extra-budgetary funds are spent for their intended purposes;

5.5.13. ensure the reception of citizens and consideration of their applications;

5.5.14. repeal decisions of Agency officials that are contrary to legislation;

5.5.15. ensure the implementation of the functions established by this Statute.

5.6. Heads of entities forming part of the Agency’s structure and subordinate entities not included in its structure shall bear direct responsibility for the performance of the functions assigned to them and the exercise of their respective powers.

5.7. The Chairperson may delegate the exercise of part of his or her powers, or the temporary performance of his or her duties, to the First Deputy Chairperson or one of the Deputy Chairpersons.

5.8. A Board shall be established within the Agency, comprising the Chairperson of the Agency (Chairperson of the Board), the First Deputy Chairperson and Deputy Chairpersons, and other senior officials of the Agency. Specialists and academics may also be included in the composition of the Board.

5.9. The number and composition of the members of the Board shall be approved by the President of the Republic of Azerbaijan.

5.10. The Board shall consider matters relating to the activities of the Agency at its meetings and adopt relevant decisions.

5.11. The Board of the Agency shall adopt the following normative legal acts in the form of decisions:

5.11.1. normative legal acts regulating relations between the Agency and other persons (entities);

5.11.2. specific normative legal acts whose adoption has been assigned to the Agency by the President of the Republic of Azerbaijan or the Cabinet of Ministers of the Republic of Azerbaijan;

5.11.3. unified (joint) normative legal acts regulating the activities of several entities;

5.11.4. normative legal acts subject to coordination with relevant state bodies;

5.11.5. normative legal acts referred to for consideration by the Board upon the initiative of the Chairperson and specified in subparagraph 5.5.3 of this Statute;

5.11.6. normative legal acts repealing or amending normative legal acts adopted by the Board in accordance with subparagraphs 5.11.1–5.11.5 of this Statute.

5.12. Meetings of the Board shall have a quorum when more than half of its members are present. Decisions of the Board shall be adopted by a simple majority of votes of its members. Where the votes are equally divided, the vote of the Chairperson of the Board shall be decisive.

5.13. Where a disagreement arises between the Chairperson and members of the Board, the Chairperson shall inform the President of the Republic of Azerbaijan thereof and proceed with his or her decision. Members of the Board may communicate their individual opinions to the President of the Republic of Azerbaijan.

5.14. Representatives of other state bodies (institutions), as well as non-governmental organizations, may be invited to meetings of the Board.

5.15. A Scientific and Technical Council operating on a voluntary basis may be established within the Agency for the study and implementation of scientific and technical achievements and best practices in accordance with the Agency’s areas of activity.

5.16. An Appeals Board, functioning on a voluntary (unpaid) basis as a collegial body, shall be established within the Agency to consider repeated complaints submitted by individuals and legal entities engaged in entrepreneurial activities concerning decisions, actions or omissions of the Agency or its structural (local) entities in relation to their entrepreneurial activities, except for complaints concerning corruption-related offences, as well as complaints submitted by candidates concerning the results of interviews conducted for admission to civil service.