Cabinet has approved, in principle, the establishment of a semi-autonomous Consumer Protection Agency as Namibia moves towards creating a dedicated institution to protect consumers from unfair and deceptive business practices.
The agency will be established through a hybrid institutional model, while the Ministry of Industries, Mines and Energy has been directed to draft a Consumer Protection Bill aligned with the model approved by Cabinet.
“Cabinet directed the Ministry of Industries, Mines and Energy to draft the Consumer Protection Bill in accordance with the institutional model as directed by Cabinet; and Cabinet further approved, in principle, the establishment of the Consumer Protection Agency, through a Hybrid Model, as a Semi-Autonomous entity,” the latest Cabinet briefing said.
The planned agency and legislation are expected to provide Namibia with a dedicated framework for addressing consumer complaints and business practices involving issues such as unfair contract terms, misleading marketing, pricing practices and defective products.
The development follows longstanding calls for dedicated consumer protection legislation in Namibia, including advocacy by the Namibian Consumer Association.
The proposed framework would bring Namibia closer to several Southern African Development Community (SADC) countries that have established specific institutions or legislation dealing with consumer protection.
SADC adopted a Declaration on Regional Cooperation in Competition and Consumer Policies in 2009, aimed at strengthening cooperation and promoting greater convergence between national competition and consumer protection authorities.
Across the region, countries have adopted different institutional models. Some combine competition and consumer protection functions within a single authority, while others have established separate consumer protection bodies.
Botswana operates a Competition and Consumer Authority responsible for enforcing both competition and consumer protection legislation.
Zimbabwe, meanwhile, has a separate Consumer Protection Commission established under its Consumer Protection Act. Its functions include handling consumer complaints, investigating unfair business practices, consumer education and providing mechanisms for redress.
Cabinet’s decision means Namibia will now move to the drafting stage of the Consumer Protection Bill, while the proposed agency remains subject to the processes required for its formal establishment.
