Draft treaty paves way for EA common market

The East African Community (EAC) is headed for major institutional reforms to facilitate the implementation of a Common Market Protocol endorsed by the regional council of ministers on Friday.

Sources familiar with the integration process said the anticipated institutional reforms would greatly affected the way the regional secretariat in Arusha is managed.

A recent study commissioned by the EAC secretariat to look into the viability of a common market already uncovered concerns over “the excessive centralised powers” of the council of ministers and the secretariat, proposing new power-sharing strategies.

“We expect the ongoing study on institutional reforms to come with massive recommendations on changes in the way the secretariat is run,” a source said.

In its final report on the viability of a regional common market, M.A Consulting Group recommended that the EAC secretariat be restructured and transformed into a commission in order to expand its mandate through the transfer of some powers from partner states to the regional body.

“The restructured commission will be led by five commissioners, one from each partner State, appointed for a five year term”, the report said.

“The President of the Commission shall be appointed by the Summit from among its members for a term of five years. The State from which the President comes… will be entitled to appoint a replacement.”

The consultancy proposed that the council of ministers share some powers with the regional legislative assembly, EALA, in areas such as the appointment of commissioners and the sanctioning of errant partner states.

“The council of ministers will retain its role as the key decision making organ. It will pass laws proposed by the commission and issue policy directives to the commission from time to time”, the report says.

It was further proposed that the election of members of the assembly be by direct universal suffrage in line with the EAC treaty’s principle of a people-centred co-operation.

EAC Affairs permanent secretary, Mr David Nalo, said the endorsement of the draft Protocol was a major step towards the establishment of a single market. The draft Protocol is now expected to be presented before the regional Heads of State for “ formal endorsement” in November.

The EAC expects to have an operational common market with a combined population of 125 million and a total gross domestic product of $55 billion by January 2010.

A special committee is now fine-tuning the draft Protocol for presentation to the Heads of State. In July the five members of the EAC struck a deal over the three contentious issues that had stalled the common market negotiations, paving the way for the parties to beat the January 2010 deadline.

Under the new agreement reached in Arusha, it was agreed that the EAC common market Protocol will be subject to national laws on matters relating to land ownership, choice of identification documents, and right of residence.

This means that Kenya can, for instance, choose to allow citizens of other EAC member states to enter its territory using national identity cards, but subject such persons to its national laws in terms of residence.