10 Dec 2017

Assistant Minister of Investment, Trade and Industry, Mr Biggy Butale has presented for second reading the Competition Bill in Parliament.

He said the Bill seeks to establish Competition Authority under the new name of the Competition and Consumer Authority.

It also seeks to establish Competition and Consumer Tribunal as well as to separate the Competition Authority and Competition Commission and brings along the implementation of the Consumer Protection Act under the ambit of the Competition Authority.

“The Competition Bill of 2017 and the amended Consumer Protection Bill of 2017 when considered side by side are highly complementary and share a goal of enhancing consumer welfare,” he said.

Mr Butale said the administration of the two under a single Competition and Consumer Authority will result in improved single competition and Consumer Authority that will result in improved coordination of the policies and enhance the importance of consumer welfare and effectively address anti competitive practices.

Mr Butale said prominent reasons for the amendment of the Act include the establishment of an independent tribunal as a quasi-judicial body and the separation of the Competition Authority and Competition Commission.

He said the structural separation of the investigative and adjudicative functions of the authority is considered an important revision of the Act, which should serve to ensure procedural fairness and enhance public confidence and trust in the organisation.

The Bill also seeks to establish Competition and Consumer Board, which shall be the governing body of the Authority and shall be responsible for the direction of the affairs of the authority.

Further, the assistant minister said the Bill also provides for the Chief Executive Officer and other employees of the authority that include appointment of Secretary to the board who shall be responsible for the day to day business of the board.

Mr Butale said the Bill also seeks to regulate restrictive agreements and the abuse of dominant position and provides for the determining thresholds for prohibiting vertical and horizontal agreements as well as abuse of dominant position.

It also outlines the scope of the powers at the disposal of the authority in the investigation of horizontal and vertical agreements. ENDS