ABC

The ACT Government's supermarket policy has been criticised by the chief of the Australian Competition and Consumer Commission (ACCC).

The ACT Government is planning to loosen planning laws to encourage more supermarkets to set up in centres like Dickson, which are currently only permitted one large supermarket.

The Government is also planning to change the rules, by excluding Coles and Woolworths from bidding on some land set aside for supermarkets, to encourage other operators.

But the ACCC head Graeme Samuel has told a Senate Estimates hearing the proposals are not consistent with the principles of competition and opening up markets.

He also told the hearing the ACT plan is not consistent with the ACCC's own 2008 grocery report.

But Mr Samuels says ultimately the plans are a matter of ACT government policy.