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EAST AFRICAN COMMUNITY _______________ IN THE EAST AFRICAN LEGISLATIVE ASSEMBLY (EALA) The Official Report of the Proceedings of the East African Legislative Assembly 153RD SITTING - THIRD ASSEMBLY: THIRD MEETING – FIFTH SESSION Wednesday, 23 November 2016 The East African Legislative Assembly met at 2:30 p.m. in the Mini Chamber, County Hall, Parliament OF Kenya, Nairobi. PRAYER (The Speaker, Mr. Daniel Fred Kidega, in the Chair) (The Assembly was called to order) ___________________________________________________________________________ COMMUNICATION FROM THE CHAIR (iii) (by the Chairperson, Committee on Legal, Rules and Privileges (Mr The Speaker: Chairperson Council of Peter Mathuki) (Kenya): Ministers – The Report of the Committee on PAPERS Legal, Rules and Privileges on the oversight Activity on the The following Paper was laid on the Table: Approximation and Harmonisation of national laws in the EAC (i) (by the Deputy Minister for context. Foreign Affairs, Cooperation and East African Community, Tanzania (Dr Susan Kolimba) (Ex-Officio) (ii) The East African Community Annual Report 2014/2015 (The Report was referred to the Committee on General Purpose) Wednesday 23 November 2016 East African Legislative Assembly Debates MOTION Committee to spearhead the process of harmonization of national laws in the EAC FOR THE CONSIDERATION AND context. The Sub-Committee is headed by ADOPTION OF THE REPORT OF THE the Law Reform Commissions of Partner COMMITTEE ON LEGAL, RULES AND States and it works under the Sectoral PRIVILEGES ON THE OVERSIGHT Council on Legal and Judicial Affairs. In ACTIVITY ON THE APPROXIMATION undertaking its activities, the Committee AND HARMONISATION OF NATIONAL considers/analyses national laws to LAWS IN THE EAC CONTEXT. ascertain their convergences and The Chairperson, Committee on Legal, divergences from one Partner State to Rules and Privileges (Mr Peter another. In addition, the Committee Mathuki) (Kenya): Mr Speaker, I move determines whether national laws are in line with the Treaty for the Establishment THAT the Report of the of the East African Community and its Committee on Legal Rules and Protocols. After the analyses, the Privileges on the Oversight Committee makes specific Activity and Approximation and recommendations to Partner States to Harmonisation of National Laws in amend their national laws to address the the EAC Context, be adopted. discrepancies identified. The recommendations of the Committee are The Speaker: Seconders? later discussed by the Council of Ministers, which makes the directives to (Hon. Yahya, hon. Bhanji, hon. Partner States to implement the Nyirahabineza, hon. Pareno, hon. recommendations of the Sub-Committee. Byamukama, hon. Ngenzebuhoro seconded st th the motion) On 21 – 24 February 2016, the Committee on Legal, Rules and Privileges The Speaker: Chairperson, please undertook an oversight activity on the proceed. Harmonisation of National Laws pertaining to the Community by holding a Mr Mathuki: Mr Speaker, the Committee meeting in Arusha. In that meeting, the on Legal, Rules and Privileges of this Committee reviewed the reports of the Assembly had an activity on the Sub-Committee and interfaced with the approximation and harmonisation of Office of the Council to the Community. It national laws in the EAC context that took was noted that the Sub-Committee has place between 24th to 27th October 2016 reviewed national laws governing and the report is what I will be presenting Company; Insolvency; Partnership; this afternoon. Business Names Registration; Immigration; Labour and Employment and We have a copy of the report; we go Sale of Goods. The Sub-Committee also straight to two. developed two cyber-law frameworks. The Committee further observed that Partner 2.0 Background Information States are slow in amending their laws to comply with the directive of the Council of Mr. Speaker, Sir, in a bid to operationalize Ministers pertaining to harmonization of the implementation of the provisions national laws. Article 126 (2) (b) of the Treaty, the Council of Ministers established the Sub- 2 Wednesday 23 November 2016 East African Legislative Assembly Debates 3.0 Objectives of the Activity The Committee observed that Partner States are at different levels of amendment The objectives of this oversight activity of their national laws appertaining to the was to assess the progress made by Partner Community as recommended by the Sub- States in amending their national laws as Committee. recommended by the Sub-Committee. The specific objectives were: The following are the statuses of i. to interact with National amendments as reported by Partner States Institutions involved in the during the activity: approximation of national laws; ii. to examine the actions taken by (i) The Republic of Burundi reported to Partner States in amending their have amended the following laws: national laws as recommended by a) The Law no 1/07 of 26 April 2010 the Council of Ministers; of Code of Commerce; and iii. to ascertain the challenges Partner b) The Law Governing Public and States faces in the amendment of Private Partnerships. their laws; and iv. to find out whether the amended (ii) The Republic of Kenya reported to laws by Partner States conform to have enacted the Insolvency Act, 2015. the Treaty and EAC laws. (iii) The Republic of Rwanda reported to 4.0 Methodology have enacted/amended the following laws: a) Law relating to Immigration and The Members of the Committee interacted Emigration in Rwanda; with experts/officers from the ministries b) Law Regulating Labour in responsible for EAC Affairs; Finance, Rwanda; Labour and Employment, Justice and c) Law Contracts; Immigration. Other experts came from d) Sale of Goods; Law Reform Commissions; Judiciary and e) Companies laws; the Attorneys General Offices. While f) Laws relating to Commercial undertaking this activity, the Committee: Recovery and Settling of Issues i. Divided itself into five groups and Arising from Insolvency; held meetings in the five Partner g) Law on the Protection of States simultaneously; Intellectual Property; ii. Each group received and reviewed h) Private and Public Partnership; briefs on the status of the i) Competition and Consumer Harmonisation of laws in each Protection; and Partner State. The status reports j) Law relating to Investment indicated the laws Promotion and Facilitation. amended/enacted and those yet to be amended; and (iv) The United Republic of Tanzania iii. Prepared the final report with reported to have made amendment/enacted matrix showing the progress made the following laws: by each Partner State in a) Amended the Immigration harmonizing their laws in the EAC Regulation and the Immigration context. (Visa) Regulations; b) Enacted the law on employment of 5.0 Findings and Observations non-citizens; 3 Wednesday 23 November 2016 East African Legislative Assembly Debates c) Amended the Forex Exchange Act, iv. It was also noted that there are 2008; and coordination challenges among the d) Amended the Capital Market and various Government Ministries, Securities Act. Departments and Agencies (MDAs) responsible for (v) The Republic of Uganda reported to harmonization and approximation have amended/enacted the following laws: of laws; a) The Accountancy Regulation Act; v. Information flow at different levels b) The Trade Licensing Act; from the Community level to c) The Airport Service Charges Act; Ministries of EAC and to different d) The Civil Aviation (Air Operator Sector Ministries and other Certification and Administration) relevant stakeholders is sometimes Regulations No. 26 of 2012; not well streamlined; e) The Civil Aviation (Air Craft vi. The Sub-Committee on Regulation and Marking) Approximation and Harmonisation Regulations; of National Laws no longer meets f) The Financial Institutions Act, No. regularly and this has slowed down 2 of 2007. the process; vii. It was noted that the National Apart from the amended laws, each Institution spearheading the Partner State reported the laws, which they process of Harmonisation of Laws are proceeding with the amendment in the Republic of Burundi (the procedures as it is indicated in the attached National Service for Legislation) is matrix. undergoing reforms and it has been given more mandates to enable it to In additional to the above specific do Law Reform; findings, the Committee observed the viii. While the National Parliament may following: play a critical role in the process of i. There is still limited awareness harmonization of laws in the among the stakeholders about the Partner States, their representation EAC integration especially with at the national task force on regard to the application of the harmonization of laws is less principles of the EAC Common visible; and Market; ix. It was noted that there is no ii. It was noted that there are established framework for regular budgetary constraints to undertake information sharing with the harmonization and approximation stakeholders about the harmonized of laws in respective sectors, in laws. addition to Council Decisions that arise and are not budgeted for in 6.0 Challenges Facing the Harmonisation particular financial years; Process iii. It was observed that surveys and i. The approximation task is carried studies needed to be carried out to out by Members of the Sub- understand the implications of Committee that have other duties at certain laws and decisions before national level, which makes the they are harmonized. Therefore, work of the Community thereby this process slows down