The Agency for Protection and Development of Competition of the Republic of Kazakhstan conducted an analysis of the market for collection, disposal, sorting, and burial of solid household waste (SHW) for the period 2020-2022.
The analysis conducted by the Agency for Protection and Development of Competition revealed a lack of competition in the market for collection and processing of solid household waste in Kazakhstan, as reported by Sarbaz.kz. The results showed that this market is highly concentrated with underdeveloped competition.
The majority share of the market is held by 62 entities engaged in SHW collection and disposal, along with 56 entities controlling the burial market. This creates a monopolistic situation and restricts the entry of other participants into the market.
One of the reasons for this situation is the existing tariff regulation system, aimed at tariff restraint. In addition, formalities were identified in the conduct of competitions and an active state presence in the SHW service market.
In response, the Agency for Protection of Competition and the Ministry of Ecology and Natural Resources of the Republic of Kazakhstan are developing a Roadmap for Competition Development, aimed at stimulating and enhancing this market. The proposal includes revising the methodology for tariff approval and waste generation norms, as well as legislatively regulating market participant selection criteria and reducing the involvement of state organizations in the SHW market.
As a result of the analysis, 13 violations of competition protection legislation were identified, related to determining market participants without conducting competitive procedures and setting excessive requirements for competition participants.