Wednesday, May 15, 2024

RB concerned with logistics on fuel imports

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President Rupiah Banda flanked by his vice George Kunda talks to reporters when he arrived from North western province at Lusaka City airport.
President Rupiah Banda flanked by his vice George Kunda talks

President RUPIAH BANDA has directed Oil Marketing Companies to import more fuel because duty on all imported fuel has been waived.

The President has also directed Energy minister KENNETH KONGA to immediately improve supply logistics of imported petrol.

President BANDA has further instructed authorities at all border posts to expressly clear oil tankers.

He said police vehicles should escort fuel tankers until they reach their destinations.

The President was speaking to journalists at Lusaka International airport shortly before departure for UGANDA.

Mr BANDA is in UGANDA to attend a two day special African Union Summit on Refugees and Returnees in Africa.

And President BANDA has apologised to the nation for the shortage of petrol.

He said he is disappointed and upset that the shortage has inconvenienced motorists.

President BANDA however said that the nation has not been given a correct picture of what has caused the shortage of petrol.

He said government has imported enough fuel but that the problem has been on the supply side.

President BANDA said he held several meetings last week with fuel stakeholders at State house on how best to find a lasting solution to the problem.

The President said he will not take any punitive measures on anyone for the shortage of petrol.

Mr BANDA said he wants to give chance to people entrusted with responsibilities to play their role.

Some parts of the country have been experiencing a shortage of petrol for over a week now.

[ZNBC]

62 COMMENTS

  1. Mbezani does it mean that this is when you have awaken up to know that Zambia is experiencing fuel shortage? Very recently you were saying there is no one to blame for the shortage. If you were a seriously president you should have fired you energe minister for having been a joker. Why do you have to wait for a trip out of the country to start talking about problems affecting the country at the airport? that is not being a serious leader.

  2. Good evening
    He says “he wants to give chance to people entrusted with responsibilities to play their role”.
    Does this mean he is ready to step down and hand over the entire leadership to others who might run things better?

  3. WHAT NEXT?

    Before 1964, it was a dream a dream that Zambia would be free; young men were luminously dreaming and forcing for the sovereignty of this nation from the colonial government.
    My note to you is not how it was done or how stones were thrown at the white man; the message today is where we are going as a liberated state.

    KK had a dream that ‘ZAMBIA SHALL BE FREE’, he and his fellow youths of his time worked tirelessly until they fulfilled their dream some still alive today, some dead, bravo to all of them.

    About 20 years later a vibrant young preacher by the name of Nevers Mumba had the dream that ‘ZAMBIA SHALL BE SAVED’ several Christians prayed for this nation to be saved, it was a dream for a long time until Fredrick Jacob Titus chiluba who whether you like…

  4. Not even Angels in heaven do show up everywhere at one time,but one wonders how this person is managing to show up everywhere at a single moment.

  5. It is plain to see that the MMD government has clearly failed to boost the country’s economy as a whole and thus mitigate the effects of the global turndown e.g. the fuel crisis. While other countries have managed to put out the fire by implementing proactive measures, our government is simply being driven by events and is not able to decide which fire to put out first.

    in other words: if we Zambians really care for the future of Zambia, then let’s VOTE THEM OUT!

  6. And if you smuggle anything using fuel tankers then you even get Police Escort. Government yaba Mbuya ba Banda elyo yalowa.
    I told you about the Kasama Bye Elections, nomba uwu shumfwa pa tunono ifingi fyena kuti atesha shani?

  7. Zambia has moved from being a major copper producer and potentially one of the continent’s richest countries at independence in 1964 to one of the world’s poorest. A colonial legacy, mismanagement, debt and disease are said to have contributed to the country’s tribulations. Politically, it switched from colonial government into an era of one-party rule lasting 27 years. A multi-party system emerged in the early 1990s.

  8. Awe Ba president besu amano tabakwata iyoo. He is now apologising while in the first place he denied that there was fuel shortage. He is also saying there is no one to blame……is he normal??? RB is our servant put in place to prepare food for us, we come at lunch, we find no food. We ask him why he has not prepared food, he says there is no one to blame!!!!! hahahahahahah ….ba RB amono tabakwata iyoo.

  9. R. B is a failure and a great liability to the country. Problems like the fuel shortage are a result of poor planning and nothing else. One of the roles of a leader is to plan for eventualities , if he cannot plan, then let him step down and allow able leaders develop the country, before he spoils the country any further. Shame on you R. B.

  10. Four times in the past six months I have said Zambia is now officially a FAILED STATE. Leadership with no clue about running the affairs of state. No idea about confronting the problems besetting the nation. The president seems to have the delusional idea that his constant trips out of the coutnry will miraculously resolve the serious problems we face. I only foresee him ending up in a plane crash one of these days. It’s not wishing him any bad luck,; it’s the reality. Even that challenger has to get proper maitenance and service. it’s not just putting in aviation gas and you think it is okay just becaue it is able to take off! Forewarned is…

  11. Ili Tolay if he was concerned about the fuel crisis would have his A.S.S in one place – Zambia, instead of going off on wild goose chases every other day! Someone please poi.so.n this ugly thing and save us!

  12. uwu chikala taba serious with what he does for the pipo of Zambia, mr president its not fair that you have failed to perform to your expections as a president to up lift the living standards of pipo who voted for you. would you please slow down with your journeys?

  13. The Minister Of Energy needs to be questioned by the press……Where is the press conference???? People should be given more information. What steps are they taking to resolve the issue? How is the Ministry going to stop such an incident happening in the future? ( That does not include importing). If it was an unforseen event why doesn’t the Ministry have a contingency plan? MMD rule for 20 years….ThinkB4Uvote

  14. In this sad episode Hon Minister of energy has blamed everyone except himself for the mess. The situation was very simple to explain i.e. Indeni developing a fault before its official shutdown and therefore before suuficient fuel was imported for the shutdown, but Minister instead sees conspiracies everywhere – OMCs hoarding fuel, filling station attendants refusing to sell fuel etc – all proved wrong. RB do not sack the wrong people, culprit is within your cabinet.

  15. “He said he is disappointed and upset that the shortage has inconvenienced motorists” who is he disapopointed with,the indeni,the minister or the people of zambia and who has upset him. if he’s upset,then it means someone has not done their job, WHO,
    “The President said he will not take any punitive measures on anyone for the shortage of petrol” this guy makes chiluba look like a really damn good president

  16. i can’t even think. how in the F.u.c.k.e.n would not fire lazy m+++kers for not doing there Jobs? Energy is national security and needs to be addressed quickly

  17. What a good happy smiling President we have. He must be President of a very happy and prosperous nation to have such a smile on his face.

  18. This government has failed to run Zamtel,how in Gods name are they going to manage Indeni without a partner,they have floated 75% shares to a successful bidder for zamtel,meanwhile they want total control in Indeni,where’s the logic,they can only manage to own 25% in a communications utility company and opt to own 100% in a technically challenging venture which requires a partner with the experience and technical ability,meanwhile Peter Mumba the PS is on record promising to resign if the oil crisis persists,no morals so he cant resign on moral grounds…we are in for a rude awakening from this lot.God Help Zambia

  19. This govenment forgets that they need to be VOTED into power by US. We put them in office and they screw us around while beneffiting themselves. They are good managers of their assests but why do the toy with a whole nation and fail to manage it?

  20. WHEN I HEARD RB TALKING ABOUT HIS CHILDREN BEING EVER IN BUSINESS, THE QUESTION IS WHAT TYPE OF BUSINESS. IS IT KANTEMBA TYPE OR MANUFACTURING PHONES? WE KNOW IS SONS FOR GODS SAKE THE LIKES OF JAMES!!!!!!!!!!!!!!!!

  21. #14 Captain Solo, you are right about Zambia being a failed state. Failed states do not come in any different way than the image being portrayed by our country. Crime and corruption, failure by government to deliver services, crumbling infrastructure, na fyonse pamulu.

  22. My advice to RB. When a country is in a crisis such as this fuel shortage. Its vital for a leader to avoid attending this unbenefial summits and take us seriously and find a lasting solution to end the crisis of fuel. The summit can be attend by a foreign Minister. Some of this ministerial positions have become irrelevant because the president hijacks all there duties. The same situation happened when nurses went on a country wide strike, we lost so many lifes, mothers were giving birth outside hospital premises in full view of people and the President went to visit Mugabe in Zimbabwe. RB take us seriously.

  23. I have just finished reading the editorial in the online version of the Times of Zambia in which it is castigating HH, but upon searching for a story on which the editorial is based, I found none. John Phiri and Mirriam Zimba, mutekanye guys, you will be swept aside by the PACT ka.

  24. President BANDA has further instructed authorities at all border posts to expressly clear oil tankers.
    He said police vehicles should escort fuel tankers until they reach their destinations.

    POLICE ARE SUPPOSED TO FIGHT CRIME AND NOT ESCORT JAMES BANDA’S CONTRABAND. IMWE MUKACHIVOTOLOLE ICHI CHIMUNTU TWAPAPATA.

  25. CHAMBISHI COPPER SMELTER

    The President is proud to say that Chambeshi copper smelter will employ 600 people. The much talked about 600 people have already been employed and they are getting as little as K540,000 per month inclusive of housing allowance and overtime.
    Now if you multiply K 540,000 by 600 employees by 12 months you will find that this company is spending K3, 888,000,000 which is equivalent to $845,000 at the current exchange rate.
    The current PAYE threshold is K800, 000 meaning all the 600 employees are not contributing to the national treasury.
    This company has capacity to produce 150,000 metric tons of copper blister which is worth $900,000,000 at the current copper price of $6,000 per metric ton. So the wage bill is 0.093% of gross income and the government is…

  26. Guys, lets be serious!!!! There is a fuel crisis that threatens to distabilise the Zambian economy and this guys is leaving the country, what a joke!!!! He knows very well that his ministers are incapable of handling the situation and all they keep giving us are lies. Its a pity because by the time he realises what amount of damage he will have caused the country, it will be too late. Twanaka naba RB!!!

  27. Kapuli, I must tell you, James is not a Kantema business man. Ask any one in business, he has handled large Government contracts like importing national maize imports before the return of RB to politics. SO done get it wrong. He has his weaknesses, but when it comes to business acumen, I have no problem saying if we had 100 more black zambians like him, this country would be different

  28. No on this fuel issue. while the buck stops with the head of state, the reason for the shortage ws a part malfunctioned two weeks before the scheduled shut down.at Indeni. Now as a land locked country and non oil producer it takes time to import fuel. Now how can we blame that on Rupiah? .. What I see are structural problems in the fuel industry which explains the high price of fuel , the failure to maintain stocks, and the delays in importation. In all fairness there are institutions like the Ministry of Energy, ERB that are mandated to manage the fuel sector. And these are institutions that we as the Zambian people have empowered and do this work on a daily basis. The president is the head and works on reports. He certainly will not be checking the state of the machinery at Indeni CONTD

  29. I also dont think that we expect him to asjk and verify actuall figures of the reserve stocks. Now to resolve what I am calling the structural problems , it will take years. The questions are- do we rehabilitate INDENI ? if so money wil need to be sourced, how ?will it be more taxes? if so who will pay and how long will it take to collect ? , reduced expenditure?? which area will have reduction. We will all say maybe presidential travel, will it be enough?? How long will the rehabilitation take, certainly not two weeks, We are talking months if not years and just the tendering can take up to year becuase of a technical specs. Unless it is fast tracked in which case they will be an out cry of corruption..

  30. Now if we go for a new refinery ( mind you INDEMI is close to thirty years old and was brought in second hand. ) that will cost in the region of US$ 100 – US 300 million ( approx 2.5 % to 7%) of the budget… No would you want Government to borrow such money or tax you and me?? its easy to criticise biy the solutions are not a walk in the park

  31. #34,35,36 & 37. Importing commodities does not make one a big business man. Give us one business project your brother has come up with which does not involve some political influence? We all know that decicions are made indirectly from state house. Dont fool us,the people appointed in strategic positions do not make any decisions independentely. If you know that we are a landlocked country and maintenance is required at your oil refinery time and again,why not put measures in place to avoid shortages. Are you telling us that we will continue having same problems because the cost of solving the problem is so high? Surely there must be a way of resolving this.The point is we have a VERY wrong leader in the name of RUPIAH BANDA.

  32. # 38……you on the point.. These thieves think Zambians are too dull as not to analyse issues. They think they are dealing with the uneducated zambians in the 60s and 70s where the Gonvernment cheated them time and again. Let them know that this epoch is so unique, it has so many professors, doctors etc who understand things better than them. Can mulongoti or Konga understand the dynamics in the fuel sector? SHAME ON YOU positivist pa zed. KNOW THAT WE ARE EDUCATED PEOPLE YOU ARE DEALING WITH. Uko kwene bami chonga.

  33. Can anyone with knowledge on Oil dealings in Zambia educate me on: 1. Why we as a country have not been able to build a second refinery? 2. Why we import crude from Kuwait and other middle eastern countries while Angola exports its crude to China and America? 3. Once I heard that Indeni can not process Angola crude because of its chemical composition, is it true? 4. If that be the case what technology do these guys have that we cant import? 5. How dificult is it to find an investor to put up a second refinery? Can someone with good knowledge help, otherwise we will all be insulting and not achiving anything.

  34. # 41 Very good questions. I dont think our leaders would want to see answers to your question beacuse it will mean NO deals. Even if lm no expert in that field one of the answers to your questions will give us a long lasting and cost effective solution. Ask your self. Why is the gov not looking for an alternative investor after Total pulled out? Why dont we attract GENUINE investors? We have so much resources but very poor due to VERY bad management. Yes we are landlocked but with proper PLANNING we cant have such shortages. All the delays in securing decent deals is because of corruption and you are forgetting that it is affecting the whole country. Please lets look after our country no just our pockets!

  35. ANS; to 41

    1. It is extremely expensive to build a Refinery especially with the country’s current economic position. 2. Indeni cannot process crude from Angola unless its modified or we set up what is called Hydrocabon craker which will convert Angolan crude in to something Indeni can process and that the cheapest, fastest and possible way of resolving fuel problem in Zambia.
    3. Its possible to find an Investor to build a second Refinery or Cheaply to Modify and improve the efficiency of Indeni making it New (RECAPITALISATION). As a matter of fact Indeni is made up of various equipment and its only a few thingsthat may need to change.

  36. #37 Positive Pa Zed. I hear you. But I assure you that $300m is a small amount of money in oil business. If that is the price of a new refinery, then plz lets build a new one.

    You see, fuel in Zambia is expensive because of Indeni refinery. A new refinery will result in cheaper fuel as it will be able to process cheaper feedstock, hopefully form Angola. $300m will be a good investment. Indeni is old and it costs a lot of money to maintain this old plant. Further, it was designed for 1970s fuel market when the mines needed a lot of heavy fuel oil to smelt copper ore. That is no is no longer the case. To keep Indeni going pure diesel, petrol & parafin are added to crude oil going into refinery, making it expensive. Close down Indeni. It’s a liability.

  37. Countrymen something is wrong in this country. Worldwide when a leader takes to apologise it indicates that he is part of the blame. I miss Levy may his soul rest in peace. Remember how demoted his best friend Mpombo when he messed up with the fuel planning. That was leadership but what do we get from RB An apology addressed at the airport to his cadres. The fuel issue is a serious issue and deserves to be treated as such. Issues are catching up with these thieves and now the boss is apolgising instead of telling us that Konga is smart like Dora. You know what he has had many scadles so this time around he just has to apologise.
    At first they were blaming everyone why shift the blame at the end. And why not punish the culprits why atking a soft stand on such an important issue. God forbid

  38. #43 Expert. Spot on.

    If I may add, a hydrocracker cost $100m by year 2000. Indeni does need one right now if we are to process consignments that contain more crude oil than currently.

    As for Angolan crude, you will need to redesign Indeni refinery massively. Indeni was designed to process Middle Eastern crudes which are lower on sulphur.
    The cheapest way is to shut Indeni and import refined products. Zimbabwe and Botswana are examples. More expensive and better is to invest in a new refinery which will process Angolan oil. Yes its expensive but it will be cheaper in the long run and secures our oil supplies. Sooner or later a decision on Indeni must be made, like on Zamtel. Indeni is not getting younger.

  39. UK-OBSERVER

    You need alot of time to understand Petroleum Industry, your main interest is to have INDENI shut with no proper solution to our fuel problem. Am beggining to think that you have selfish interest but lets think beyond. In all the efforts we are making lets ensure we protect the manufacturing Industry, study some basics of economics and you understand the economic difference between importation and manufacturing. Why do you want to kill our country by making it a dumpping ground? Do you know also what mportation mean technically; Rehabilitation of Tazama Pipe

  40. Cont 47.
    Rehabilitation of Tazama Pipeline, employing security all along the Pipeline from zambia to Dar es slam (2000 km). Its not possible to import by road due to geograhical location of zambia. Who will allow you to be using their roads for your hundreds of trucks which will be carring fuel? what about the security of our country when that country will no longer allow us to pass thru? Do you know how cars are tranported from south africa now and how? you put on the truck. Build New Refinery or by buy Hydrocabon Cracker.

  41. Bo Rupiah, friendly advice from a very young man. Kindly devise a plan and make it fast, it better be a good one because you are not going to wallow in Mwanawasa’s greatness forever, they are catching up with your little skims. Come up with something; anything. That’s what the Zambians expect from their leaders, lotsa direction and very few apologies and near misses. There you got it, free advice.

  42. #48 Expert.

    I must say I am an expert on the oil industry in Zambia, having worked therein in high offfices.

    We do not need to import refined petroleum products thru Tazama pipeline. We just do it by road and rail like is being done right now and was done for 2 years from 1999 to 2001 when Indeni burned down. Tazama pipeline is not even good enough for crude oil. It’s old and leaks a lot. In 1996 it caused a disaster. Besides the pipeline is never empty, it’s always full with 90 tons of crude oil. That’s a whole ship load. You dont want to retain highly inflammable petrol in there would you? And that will be a lot of $m tied in. It’s expensive enough to tie crude oil in there.

    But the problem in Zambia is due to refining, not transportation.

  43. No 38 Twachula, you can see from the informed contributions of Expert and UIK observer that there is no simple solution,. And yes energy issues have political infuence, strong influence which explains American influence policy in Iraq, Saudi Arabia etc, buts lets not over look that the problems in the petroleum sedtor are deep and structural. So unless you believe and Rupiah and team sabotaged the catalyst at Indeni, you cant break for the break down and the fact that INDENI has been poorly maintanied. But yes they need to find a solution as the goverment. . Yes the problem is big and vostly and a long term solution will not be found over night or even by the head of state , rather it takes experts in the areas to advise and then a decision to be made CONTD

  44. tHEREAFTER PLANNING , IMPLEMENTATION AND THIS TAKES TIME. tO PUT IT IN CONTEXT, WHEN THE jAPANESE WERE INVITED AROUND 2003 TO PLAN AND DO THE mfez, THEY SAID THEY WOULD ONLY BE READY TO COMMENCE IN 2012 BECAUSE POF THE PLANNING PROCESS. THIS JUST GOES TO SHOW HOW LONG THESE ACTIVITIES TAKE. a NEW HYDRO STATION TAKES A MINIMUM OF FIVE TO SEVEN YEARS SO YOU DO NOT EXPECT TO REVERSE A SITUATION OF UNDER OF PRODUCTION OF POWER TO BE REVERSED IN A YEAR OR SO.

  45. aS FOR BUILDING A REFINERY GO TO ——-The Denali Project by BP/Conoco will spend $600 million over 36 months and have 150 staff working by the end of this year. The gas pipeline proposed will take 10 years to build and cost $30 billion dollars making it the largest construction project in North America ever. The pipeline will have a capacity of 4 billion cubic feet of gas per day and equal a rough equivalent of 6-8% of US daily consumption.”Source(s):
    http://www.anwr.org/Headlines/Conoco-and…
    1 year ago

  46. Have you guys read the editorial part of the Times Newspaper ,I’m afraid these news writers have trounced HH like no man’s business .Now what happen if the pact comes to power in 2011 ? will these guys survive or they may end up joining MMD in archives?

  47. 50 UK-ZED

    Am still in this Industry and familiar with almost all your concerns the only difference is that you dont have the economic view of the matter. My point is we should never dare paralise the manufacturing industry. Imports will destroy our economy though i know you may not understand this and our kwacha will be something else in a long run. If i had time i would explain this to you. Every business has challenges and lets learn to meet them but Importation should never be encouraged. Right now the Gvt is loosing Billions of its revenue by waiving duty for imports. Try balance your Technical knowledge with this light. Good night Brother for now.

  48. tHEN TWACHULA YOU ASK IF IMPORTING COMMODITIES MAKES A BIG BIUSSNESSMAN . i SAY YES. In zambia we large importers of commoditie, due to low incomes, so commodities is the biggest business. and ven in the developed world a lot of the richest are people are succesful businesmen are commodity brokers. If you are given in France ,where they subsidise their farmers, and you win an order to import the national requirement of inputs then you are not succesfull, you are big. And do not tell me there is no political influence there

  49. Another 7 Years with RB. Imagine the senseless MMD members supporting such a senseless person, i can call in hm leader as he is and will never be one. Time for Change, as citizens we need to stand up and denounce this kind of mediocre leadership. OLD FOLKS MUST GO!

  50. #31 Thanks for that information. Last time I brought up that question….. some bloggers were saying windfall tax was scrapped for the sake of saving jobs. Your point proves that windfall tax needs to be introduced . The revenue could help create jobs in other areas which will contribute to the treasury. My question is what kind of tax system is being used now to replace windfall tax? Are resources being depleted without the Zambia benefitting…we need money for areas like education, farming etc donor money and 75% foreign investments are not always the answer.

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