a tripartite report - Unctad
a tripartite report - Unctad
a tripartite report - Unctad
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156 VOLUNTARY PEER REVIEW OF CLP: A TRIPARTITE REPORT ON THE UNITED REPUBLIC OF TANZANIA – ZAMBIA – ZIMBABWE<br />
sector. According to the Pensions and Insurance<br />
Authority (PIA), most competition concerns in the<br />
insurance sector relate to unfair practices and under-cutting<br />
of each other by the industry players.<br />
The Energy Regulation Board (ERB) submitted that<br />
the main competition concerns in the energy sector<br />
include monopolistic tendencies, because of high<br />
entry barriers, and predatory pricing, and that collusive<br />
and cartel-like behaviour in the sector is also<br />
a very live issue. ERB also submitted that there are<br />
a lot of competition concerns in the electricity sector<br />
because of its dominance by one player, Zambia<br />
Electricity Supply Company, which tends to abuse<br />
its dominance.<br />
-<br />
ing<br />
rife in the banking services sub-sector, related<br />
to exploitative bank charges.<br />
4.3 Competition Enforcement<br />
Challenges<br />
The new Act greatly facilitated the effective enforcement<br />
of competition law in Zambia. As has<br />
already been pointed out, the main enforcement<br />
challenges under the old Act included wide exclusions<br />
and exemption provisions, limited inter-<br />
tion<br />
provisions, limited investigative powers and<br />
administrative remedies, and absence of a leniency<br />
programme, which have all been addressed<br />
in the new Act. The Commission is however still<br />
facing some challenges in competition enforcement. <br />
ment<br />
conducted two dawn raids during the months<br />
of October and November 2011. The challenges it<br />
faced in doing so were mainly related to the human<br />
factor. It had to rely on other security agencies<br />
to undertake the raids, which had little knowledge<br />
of what was being looked for. Lessons were learnt<br />
but it was recognized that a lot more needed to be<br />
done by the Commission at the next raid.<br />
<br />
abuse cases because of lack of information and<br />
appropriate economic tools. Training needs required<br />
in competition enforcement include investigative<br />
skills, litigation skills, and, to a lesser extent,<br />
principles of competition law.<br />
It is recommended that the Commission<br />
undergo extensive training in the conduct<br />
of dawn raids, as well as in other<br />
competition enforcement areas such<br />
as case investigations and litigation.<br />
5. COMPETITION ADVOCACY<br />
The Commission has wide advocacy responsibilities<br />
under the Act. In terms of section 5 of the new Act<br />
the Commission is the “primary advocate for competition<br />
and effective consumer protection in Zambia”.<br />
It also has the functions of: (i) advising government<br />
on laws affecting competition and consumer<br />
protection; (ii) providing information for the guidance<br />
of consumers regarding their rights under the<br />
Act; (iii) advising the Minister on agreements relevant<br />
to competition and consumer protection and<br />
on any other matter relating to competition and<br />
consumer protection; and (iv) cooperating with<br />
and assisting any association or body of persons to<br />
develop and promote the observance of standards<br />
of conduct for the purpose of ensuring compliance<br />
with the provisions of the Act.<br />
The old Act also bestowed upon the Commission<br />
considerable advocacy functions, such as the functions<br />
of: (i) providing persons engaged in business<br />
with information regarding their rights under the<br />
Act; (ii) undertaking studies and making available<br />
to the public <strong>report</strong>s regarding the operations of<br />
the Act; and (iii) cooperating with and assisting any<br />
association or body of persons to develop and<br />
promote the observance of standards of conduct<br />
for the purpose of ensuring compliance with the<br />
provisions of the Act.<br />
<br />
visit to Zambia that it tries to make itself visible<br />
to the business community and general public<br />
through the media (both print and electronic).<br />
It engages the government in what it is doing<br />
through representations on discussions under the<br />
auspices of trade negotiations forums such as the<br />
WTO and the Economic Partnership Agreements<br />
(EPAs) with the European Union. It also has held<br />
joint stakeholders workshops with various organizations<br />
such as the Law Association of Zambia, the<br />
Zambia Association of Chambers of Commerce<br />
and Industry, the Chamber of Mines, the Manufacturers<br />
Association, and the Pensions and Insurance<br />
Authority.