The COMESA Competition Commission together with Fidelis Leadership Institute have launched a training program on consumer protection and competition laws, amidst calls for the implementation of the relevant laws in Uganda.
Recently, President Yoweri Museveni assented to the Competition Act 2023 but it is yet to be operationalized due to the absence of the relevant regulations and policies. But the country is yet to have a Consumer Protection Law that would directly protect consumers against issues like unfair pricing, poor and substandard products and services, among others, despite the debate and demand being on for more than 10 years now.
Sam Wetasa, a member of the Comesa Competition Commission said the government, itself has been a culprit of the violation of competition and consumer protection rights, because there are no laws. But even with the laws, he says, the Ministry of Trade, Industry and Cooperatives, which is the supposed custodian of the law will find it difficult to enforce the laws, especially where the government is itself a culprit, giving the example of the digital motor vehicle number-plate saga.
Wetasa, also the founder and Executive Director, Uganda Consumer Protection Association, also says the government, through the Bank of Uganda, is responsible for the financial institutions freely setting high interest rates. He gave the example of the hike in the minimum capital requirements that have seen some institutions fall out, creating sort of monopoly or dominant players in the industry with ability to set the cost of money.
Wetasa also calls on the laws to be more consumer-centred. He says for example, when service providers like telecoms, give poor services like many dropped calls, the regulator penalizes them.
However, this is in terms of a fine, which becomes revenue for the government, but that the aggrieved consumer is not compensated. For this, he calls for a specialized body that would be charged with enforcing the laws.
As the demand for the laws, regulations and policies continues, the questions that the training seeks to answer include whether the laws would have any effect even if they were in place and implemented. Jane Nalunga, the Executive Director of the regional trade information NGO SEATINI-Uganda, called for flexibility in the consumer protection and competition laws to ensure that they do not negatively affect local or regional businesses.
Pheona Nabaasa Wall, the Chief Executive Officer, Fidelis Institute says the training targets the public sector including the government technocrats and political leaders, as well as the private sector and civil society and other interested persons. This, she says, advised by the effects of the lack of proper implementation of the laws or the absence of them, not only in Uganda, but other African countries to, where corporations were operating unethically without due regulation.
This is also critical especially as the East African community countries are getting more integrated into world trade, with the coming of the African Continental Free Trade Agreement.
Hussein Musiho, who represented the Permanent Secretary Ministry of Trade, Industry and cooperatives, the biggest challenges the implementation of the laws will encounter, will be the lack of knowledge, both by the business operators and the consumers.
He says proper and effective implementation and the success of the laws will rely on the consumers giving information about the violations committed. However, this needs the public to be fully aware of their rights, hence the need for further trainings.
On the delayed implementation of the competition law, Musiho said there were no implementation committee and the required regulations for the operationalization of the law. He however, says there is an ongoing process to expedite the implementation and the draft regulations will soon be tabled before cabinet. Similarly, he says that the implantation committee for the Competition Act will be the same for the Consumer Protection law, because they are related.
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