Let us be rulers
ussia today counts more than a thousand self-regulating organisations, but the market has not become more civilised and transparent that way yet, so what is the reason?
Modern Russian practice of self-regulating organisations stands apart from any other world model, and had to gain its experience much quicker than other countries. This process is still underway, one of the main difficulties is that management functions have not been fully handed over from the government to business yet.
The number of energy audit enterprises, for example, increased from 300 to 6000, since the federal law was issued obliging companies to undergo energy audits. The government set up a market entry barrier – which was SRO membership. New players were low-qualified, had no equipment, but they participated all tenders and won them due to heavy damping. As a result lots of money was wasted, which did not improve the quality of the objects at all. The government officials did not properly react to this situation since they were only interested in formally following the law and reporting about the job done. When it was almost too late, some alterations were finally offered to be made to energy efficiency law, which first of all toughened requirements to energy audits and made their responsibility personalized, and increased SRO's responsibility for its members. However, the project has not been accepted as a law yet, and the process has to be watched carefully.
One of the main difficulties in this sphere is that only auditor company is regulated by SRO, but not the customer company. Therefore, professional community has no effective tools to fight unfair competition, even though it is one of the most important functions of self-regulating organisations.
Estate agents encounter the same problem. When licences in the industry were cancelled, very quickly hundreds of small low-qualified players appeared in the market, which spoilt the industry's image considerably. Since no law appeared to improve the situation – the solution was the appearance of a SRO which had to begin its operations from scratch; it first of all defined standards of the profession. With that only a quarter of all real estate businesses entered the SRO, so it meant that the rest did not want to follow the standards or play according to the rules. If the situation continues, the idea of self-regulation will lose the point. In other words business cannot regulate the market without government's support. The entry barrier has to be set up, experts believe it should be SRO membership. The situation requires a federal law created by professional estate agents.
Housing and public utilities sector unlike real estate market remains under strong government control. Only its rules are highly changeable, controversial and pointless. That is why establishing self-regulating organisations is necessary to solve interaction problems between different sectors of this market, between property owners and facility managers. Another important question that self-regulating companies manage is interaction with federal government, which involves solving a lot of financial questions. There is a strong need for an organisation which can lead the dialogue with professional community.
Passenger transportation sector is in an even more difficult situation. Professionals of this sector have never been asked their opinion when executing regulations. SRO in these conditions is an attempt to protect the business against various threats. The most difficult issue is to keep the balance between all market participants' interests. That is why most market sectors quickly establish self-regulating organisations. Businessmen believe they need to unite in order to be heard by the government and to develop.