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{
"id": 234286,
"url": "https://info.mzalendo.com/api/v0.1/hansard/entries/234286/?format=api",
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"type": "speech",
"speaker_name": "Mr. Kiunjuri",
"speaker_title": "The Assistant Minister for Energy",
"speaker": {
"id": 175,
"legal_name": "Festus Mwangi Kiunjuri",
"slug": "mwangi-kiunjuri"
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"content": " Mr. Temporary Deputy Speaker, Sir, the Ministry has been looking at all the relevant provisions of the law with a view to harmonising them. In most cases, we have found out that there are conflicting sections of the law. If you look at what happened in 1992, that is, the deregularisation of pricing of petroleum products, you will see that it is in direct conflict with the other existing laws. If you look at the Restrictive Trade Practices, Monopolies and Price Control Act, Cap.504, it gives the Minister for Finance the powers to fix prices not only for petroleum products, but for other products too. However, it is being challenged by the amendments of 1992. If you look at Section 35, fixing and regulation of prices for various goods and services is not provided for under the Petroleum Act, Cap.116, but it is already provided for in Cap.504.Under the Restrictive Trade Practices and Monopolies and Price Control Act, the powers of the Minister for Finance in relation to complaints of high pump prices and petroleum products include the following: (a) Restrictive trade practices. Here, sections 4 to 18 deal with the practices aimed at driving competitors out of November 15, 2006 PARLIAMENTARY DEBATES 3657 business and their control, that is, those below the cost price. Sections 23 and 24 are about control of unwarranted concentration of economic power. It monitors the market to determine whether there is unwarranted concentration of economic power in any chain whose sales exceed one-third of the market. Section 35 is also empowered by sections 37 and 38 of the same Act.If you look at Section 37, Cap.504, it gives the Minister some powers. It reads thus:\"Restrictive Trade Practices, Monopolies and Price Control Act: The Minister may, from time to time by order declare the method by which the cost of any good or of any service shall be determined and may in such order declare a different method of determining the cost in respect of different classes of goods, transactions, or sellers.\"This means that what we are discussing today and what we want to insert now in the Petroleum Act, Cap 116, Laws of Kenya is already provided for. In fact, it is for the Minister to implement it. Section 38 goes ahead to state that the order should be read before the National Assembly. So, if the Minister feels that he is being restricted in anyway, he can table the regulations before this House which would then give him the go ahead to do what the regulations appertain.Section 38 reads thus:\"All orders made under Sections 35 and 37 shall be laid before the National Assembly as soon as--- (b) after they are made and if a resolution is passed within the next 20 days on which the National Assembly sits next after any such order is read before it, that the order be annulled, it shall henceforth be void but without prejudice to the validity of anything done thereunder or to the making of any new order.\" In this Act, if the Minister for Finance is very serious on it, he can enforce the powers that have been given to him through Parliament. I believe that this Parliament will always be ready to do exactly that. Mr. Temporary Deputy Speaker, Sir, we have already prepared the Energy Bill which is coming up for debate either today or tomorrow. In the same respect, we have been concerned, as a Ministry, on the issue of control of prices of petroleum products. If you look at the Energy Bill, 2006 which we shall be debating either today or tomorrow, Section 5 is about the objects and functions of the Energy Regulatory Commission. This Bill seeks to establish an Energy Regulatory Commission whose first task shall be to regulate---"
}