The Competition Authority of Kenya’s roles are defined in the Competitions Act, aiming to boost the well-being of Kenyan citizens by fostering effective market competition and curbing deceptive business practices nationwide.
Established by the Competitions Act, the Competition Authority of Kenya operates autonomously, executing its duties and wielding its powers with neutrality, free from bias or external influence.
As a corporate entity with continuous existence and a common seal, the Authority has the capacity to:
- Engage in legal actions, both as plaintiff and defendant;
- Acquire, own, manage, encumber, and transfer both movable and immovable assets;
- Raise funds through borrowing;
- Undertake any necessary actions or deeds for the effective execution of its responsibilities under the Competitions Act, as permitted by law for a corporate body.
The Competition Authority of Kenya comprises the following members:
- A chairperson, appointed by the President.
- The Permanent Secretary or their representative from the currently responsible finance ministry.
- The Permanent Secretary or their representative from the currently responsible trade ministry.
- The Attorney-General or their representative.
- The Director-General, who serves as the chief executive officer of the Authority.
- Five additional members appointed by the current finance Minister, chosen for their expertise in competition and consumer welfare issues, with at least one member knowledgeable in consumer welfare. These members must be vetted and approved by Parliament via its relevant committee prior to their appointment.
The Competition Authority of Kenya has several key roles, including:
- Enforcing adherence to the Competitions Act.
- Processing and examining complaints from individuals, legal entities, and consumer organizations.
- Enhancing public awareness and understanding of rights, obligations, and remedies under the Competitions Act, as well as the functions and activities of the Authority.
- Supporting the formation of consumer groups and setting standards and guidelines for these bodies to safeguard competition and consumer welfare.
- Acknowledging registered consumer bodies as legitimate representatives of consumers in their operational areas.
- Providing consumers with information and guidance on the responsibilities of entities under the Competitions Act, and the rights and remedies available to them.
- Conducting studies, research, and inquiries into competition matters and consumer protection.
- Reviewing government policies, procedures, and potential legislation for their impact on competition and consumer welfare and disseminating the findings.
- Investigating barriers to market competition and publishing the results.
- Assessing the impact of regulatory authorities’ policies and programs on competition and consumer welfare and sharing the findings.
- Engaging in discussions and proceedings with government entities, commissions, and regulatory bodies concerning competition and consumer welfare.
- Presenting views to governmental and regulatory bodies on competition and consumer welfare issues.
- Coordinating with regulatory and public bodies regarding competition and consumer welfare.
- Providing advice to the government on competition and consumer welfare matters.
The Competition Authority of Kenya holds the power to initiate inquiries or sectoral studies under the following conditions:
- When it deems such an action necessary or desirable to fulfill its duties.
- Following a written directive from the finance Minister, instructing the Authority to investigate a specific issue.
The Minister’s directive will outline a timeframe for the Authority to deliver its findings.
Post-inquiry or study, the Authority is expected to report to the Minister, pinpointing sectors with undue economic power concentrations and recommending mitigative strategies.
The Authority can also undertake investigations at the behest of regulatory bodies or on its own accord into issues concerning competition, buyer power abuse, or consumer welfare, promising a timely report.
Announcement procedures for upcoming inquiries or studies include:
- Publishing a notice in the Kenya Gazette and a national daily, detailing the inquiry’s focus, inviting public input within a set timeframe, and, if directed by the Minister, including the terms of reference.
- Dispatching written notifications containing the aforementioned details to affected businesses, industry and consumer groups, and the responsible finance Minister.
All entities, including individuals, companies, and associations, are mandated to supply the information the Authority needs to conduct these inquiries or studies effectively.
