The Senate has introduced the Price Control (Essential Goods) (Amendment) Bill, 2024, aimed at regulating the prices of essential commodities to ensure affordability for all citizens, particularly low-income earners.
The bill, presented by Senator Tabitha Mutinda, seeks to amend the existing Price Control (Essential Goods) Act, 2011.
The key objective is to prevent essential goods from becoming unaffordable, stabilise prices, and protect consumers from exploitation by monopolies and oligopolies.
If passed, the Treasury Cabinet Secretary will have the authority to fix minimum and maximum retail and wholesale prices for essential goods. They include;
The Cabinet Secretary will also be allowed to declare other goods as essential and set their prices in consultation with the industry.
The bill establishes a Price Control Unit within the National Treasury, headed by a Director of Price Control.
This unit will monitor compliance, analyse market trends, enforce directives, and collaborate with stakeholders to implement price control measures.
The amendment bill aims to address the rising cost of living and economic inequality by ensuring essential goods remain affordable.
It also seeks to prevent sudden price variations that can decrease consumer purchasing power and overall welfare.
By regulating prices, the bill aims to mitigate the effects of economic crises, such as natural disasters or public health emergencies, ensuring continued access to crucial goods.
The introduction of this bill comes at a time when global economic instability has heightened concerns about food security and affordability.
The government has been actively seeking measures to protect its citizens from inflation and exploitative market practices, making this bill a significant step in that direction.
The Price Control Unit will engage with producers, retailers, consumer groups, and other government agencies to gather feedback and foster cooperation in implementing price control measures.
Public education on the importance and implications of these policies will also be a priority for the unit.
In summary, the Price Control (Essential Goods) (Amendment) Bill, 2024, represents a crucial legislative effort to regulate the prices of essential commodities in Kenya, aiming to protect consumers from market exploitation and ensure affordability of essential goods.
