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Lawmakers in Kosovo finally approved a draft law on price ceilings on Thursday, despite opposition from the opposition, which accused the government of interfering in the free market.
The bill, officially known as the Draft Law on Temporary Measures for Essential Products in Special Cases of Market Destabilization, was approved with 63 votes in favor, none against and no abstentions, about a week after it passed its first reading.
To become law, it must be signed by the country's president, in this case the acting president, Albulena Haxhiu.
The government has rejected the opposition's criticism, arguing that the law aims to impose temporary and proportionate measures for basic products in exceptional cases of market disruption, to protect citizens from unreasonable and sudden increases in the prices of basic products.
The law defines as basic products: cereals; flour; bread; rice; pasta; edible oil; milk and dairy products; water; fruits and vegetables; table salt; chicken eggs; meat; granulated sugar; basic baby foods; personal hygiene products including: soap, detergent, hair shampoo, toilet paper, toilet paper, toothpaste and diapers; firewood.
The law also provides for the establishment of a five-member board, as the highest and most responsible body to deal with the issue of price ceilings, which must report to the Assembly every three months.
MPs from three opposition parties, the Democratic Party of Kosovo (PDK), the Democratic League of Kosovo (LDK) and the Alliance for the Future of Kosovo (AAK), said they do not oppose the initiative to draft a law on price ceilings, but they opposed the way in which the Government of Prime Minister Albin Kurti has drafted this law.
Arben Mustafa, a PDK MP, said that the Draft Law approved on Thursday has “a lot of uncertainties” and leaves room for intervention in the free market.
“It is not clear in which cases the market will be intervened in order to set maximum prices. The law states that the market will be intervened in cases where there is an unreasonable and immediate increase in prices. However, the methodology for determining what constitutes an unreasonable increase in prices must be determined by law, otherwise there is room for arbitrariness in intervening in the free market,” Mustafa told lawmakers.
LDK MP Janina Ymeri said that "we do not support this law, not for the initiative, but for its content and wording."
"This law may be influenced by other party, private, personal interests and risks being completely captured and influenced by the ruling party, without effective control by other state institutions," Ymeri stressed.
AAK's Besnik Tahiri claimed that his party does not support the law, arguing that its board will "originate from the Government."
The Board will consist of five members, three external members and two members delegated by the Ministry of Industry and the Competition Authority.
The government selects them and sends them to the Assembly of Kosovo for a vote by a simple majority of 61 votes.
The Minister of Industry, Entrepreneurship, Trade and Innovation, Mimoza Kusari - Lila, rejected the opposition's accusations, insisting that the law is intended to be activated only in cases of market destabilization,
"This law applies only to products that are specified in this draft law, that is, the basic basket products," said Kusari.
She argued that the aim is to protect the most vulnerable categories in relation to price changes and that the law does not aim to set prices for all products, but only for prices for the list of products foreseen in the law.
The law on price ceilings was declared invalid by the Constitutional Court in 2023, when the court stated that it was not in accordance with the country's Constitution.
During the Government meeting on April 3, the Minister of Industry, Entrepreneurship, Trade and Innovation, Mimoza Kusari - Lila, said during the presentation of the draft law that she had taken into account the recommendations of the Constitutional Court in its drafting. /REL
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