Download Experience on Competition Law - Competition Law - Lecture Slides and more Slides Competition Law and Policy in PDF only on Docsity! Experience on Competition Law from Botswana Docsity.com Overview • Introduction and Background • Laws and Regulations Affecting Competition in Botswana • Nature of Market/Competition • Competition Policy and Law • Interface between Competition and Economic Regulation • Regional Integration • Conclusions Docsity.com The Company’s Act • The first key statute regulating market entry or the establishment of a business in Botswana. • Review to encourage a competitive or less restrictive commercial environment and would facilitate domestic commercial activity and the flow of foreign investment. • Explicity regarding SMMEs Docsity.com Industrial Development Act • Regulates entry into manufacturing businesses that are not otherwise regulated by specific pieces of legislation. • Reserves some manufacturing businesses for citizens (uncompetitive) • Better to pursue policies like citizen empowerment through measures other than regulation or restriction of entry into certain lines of businesses. Docsity.com The Trade and Liquor Act • Regulates entry into businesses for the supply of goods and services, mostly to end-users. • Licenses have to be renewed within twelve months (Admin burden) • Minister has powers to suspend, cancel, or withdraw a licence at any time if, in his/her opinion, this is in the interests of the inhabitants of a particular area or of Botswana generally. Docsity.com Telecommunications Act • Regulates the provision of telecommunications services. • Unlike PPAD Act, no profound citizen preference • More – pro competition • “promote and maintain competition among persons engaged in commercial activities for, or in connection with the provision of telecommunications services, and promote efficiency and economy on the part of persons so engaged” Docsity.com Telecommunications Act (Cont’d) • Overlaps with model Competition Law • Need for repeal and transfer competition issues to the competition authority Docsity.com Consumer Protection Act • Consumer protection office • investigates “unfair business practices”, and would preside over the settlement of disputes relating to “unfair business practices”. • Overlaps with model competition law • Need for repeal and transfer competition issues to the competition authority. Docsity.com Competition Policy (Cont’d) • To be implemented by Botswana Competition Authority. • Independence and insulation from external interference. • Transparency and well designed administrative mechanisms and regulations. • Clear separation of investigations of anticompetitive behaviour from the application of the Competition Law, prosecutions and adjudication functions. Docsity.com Competition Policy (Cont’d) • Checks and balances with rights of appeal, reviews of decisions, and access to information on legal and economic interpretations. • Expeditious and transparent proceedings that safeguard sensitive business information. • Provisions for imposing significant penalties. Docsity.com Interface between Competition and Economic Regulation • Financial Services - regulated and supervised by the Central Bank, the Bank of Botswana under the 1995 Banking Act. - entry into this sector by foreigners is largely unrestricted. - no discriminations between local and foreign banks. - entry into this market is encouraged through a 15% tax incentive, 10% lower than the prevailing 25% corporate tax, up to the year 2020. Docsity.com Regional Integration • The New Southern African Customs Union (SACU), requires that members have a competition policy (Article 40). • The Southern African Development Community (SADC) also recognizes the importance of a regional Competition Policy, but is yet to develop one. Docsity.com Conclusions • No Competition Law • But opportune time – Lack of understanding of competition issues in general – Thankful to CUTS and hope Docsity.com
