This is how I read it:
a) In the current election, existing political associations, nine of them in total, are considered political parties, and shall compete in upcoming Parliamentary, and Presidential elections.
b) In the future, starting with the next election, there shall be no political associations, but any political party, which garnishes up to 5% of the Local Council elections, shall be a political State party. Further, there shall be no expired political parties, and if a political party ceases to exist, so it shall be, albeit if there were parties, which did not quite make up the 5% threshold, those might be allowed to compete. This requires revisiting.
I consider the 5% cutoff rather taxing, if terribly high, and have no idea what it is based upon, yet am of the view, they shall do away with it in the years to come.
The current system works, but comes with a variety of limitations, is flawed, serves the interest of the larger tribes, yet is unfair to sections of the wider community incl. the young, women, minorities, implants i.e. IDPs etc. Alternatively, I have been looking at the Chinese system of government, and I think it might suit Somalis better than the coveted democracy.