A Presidential directive granting Metu Bus
Industries ("Metu") exclusive rights to
run a bus service in Uganda's capital, Kampala, continues to
cast doubt over the government's sincerity and commitment to
the fair competition and consumer protection principles in the
Competition Act, 2023 (the "Act"). The
President recently assented to the Act and it is expected to be
gazetted and come into force shortly.
In his directive, the President stated that the exclusive rights
granted to Metu will allow it to not only fabricate buses but also
operate transport services, therefore empowering Uganda's
manufacturing sector. The fly in the ointment is that not too many
years ago, another presidential directive granted a similar
concession to Tondeka Bus Service ("Tondeka
Bus"), and today their bright orange
buses are a pretty sight criss-crossing Kampala City.
Interestingly, Tondeka Bus is expected to be a major buyer of the
electric buses produced by Kiira Motors, a
