Parley passes law to regulate electronic transactions
Gothataone Moeng | Wednesday April 9, 2014 11:38
The Minister of Trade and Industry (MTI) Dorcas Makgato-Malesu brought the bill to Parliament.
Once enacted, the law will provide for the legal recognition of electronic communications, electronic signatures as well as the admissibility and evidential weight of electronic communications.
The law will also provide for the legality of electronic transactions, the use of electronic signatures and automated message systems. The law will also provide for secure electronic signatures, outlining the requirement for electronic signatures as well as stipulating the conduct of signatory certification service providers.
A clause in the law provides for reliable and secure systems used by the certification service providers, and provides for the recognition of foreign certificates and electronic signatures.
The clause also provides that the geographical location does not determine the legal effect of the electronic signature nor the certificate issued outside Botswana. EFTs Electronic Fund transfers(EFTs) or the paperless movement of funds between banks for payment purposes, have increasingly become the main settlement system for government, corporate and individuals. According to the Bank of Botswana latest statistics the vale of EFTs rose from P24 billion in 2008 to P73 billion in 2013 , underlining the new technology’s uptake in the local payments arena.
In contrast the value of cheque transitions has declined from P87 billion in 2008 to P41 billion in 2013 as Botswana joins the list of countries in which cheques have ‘gone out of style’.
The law also provides for the protection of the rights of a consumer, by requiring the supplier to provide the customer with relevant and sufficient information regarding his goods or products as well as the terms and conditions of the transaction therein. It also provides for a cooling off period where the consumer is entitled to cancel without reason and without any penalty any transaction or any related credit agreement for the supply of goods within seven days after the date of receipt of the goods. The bill was first brought to Parliament in December 2013 for its first reading, after which debates were adjourned to allow the Parliamentary Committee on Works, Transport and ICT to further interrogate it.
During its brief debate this Monday, only five MPs rose to deliberate the bill. Although all those who debated supported the bill, they also admitted that there was need for legislators and the public to be educated further about the issues it deals with.
Vocal about this need was Kanye North MP Kentse Rammidi, who said it was clear that as matters discussed in Parliament become more sophisticated, the average MP is often left behind.
“To an average MP, these issues are difficult to understand, but we are the ones that have to pass these laws,” he said.
Rammidi said he had no reasons to disagree with the minister of Trade and Industry in her efforts to pass the law, but said he was constrained from making a meaningful contribution to the debates. He said he was disappointed that the Parliamentary Committee on Works, Transport and ICT did not return to Parliament to brief the House on their views of the bill.
Rammidi cautioned Makgato-Malesu to ensure that the bill does not only protect the big businesses and corporations, but also individuals. He said individuals needed to be protected from hacking and identity theft. Maun West MP Tawana Moremi said the ICT and banking industry should have been at the forefront of educating MPs on the issues involved, about what they need and why the bill is important. Makgato-Malesu said her ministry saw it fit to promulgate the law, as Botswana currently does not have any legislation relating to the legal recognition of electronic communications and transactions. She said there has therefore been no protection for people using electronic transactions.
She said the bill would also ensure efficiency in business.
She assured Parliament that the banking and ICT industries were consulted widely about the law.
The law will not be promulgated in isolation, as it will be used alongside other legislation such as the Cyber Crime Act.