Friday, March 29, 2024

Opposition MPs reject Tazama Bill

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OPPOSITION members of Parliament (MPs) yesterday opposed the Tazama Bill, which seeks to protect Tazama assets from execution of any judgment saying only core assets should be protected.

Presenting the Bill for second reading, Energy and Water Development Minister Kenneth Konga said that Tazama was important to Zambians and that its benefits to the country overrode those of any person who may obtain judgment against the company.

Mr Konga said that the pipeline was the fastest, safest and most cost effective way of transporting feedstock to Zambia.

He said that Government wanted to protect the company’s assets from any seizures just as it had done to hospitals, universities and councils.

He said Government wanted to protect the company from people who had connived with lawyers to rob the people of Zambia.

But Mazabuka MP Garry Nkombo (UPND) said that although the committee that scrutinised the Bill that supported the protection of Tazama assets, it was against the idea of protecting all the assets.

Mr Nkombo said that some witnesses who opposed the Bill said it would give a comparative advantage to the company since it was a commercial entity and felt that only core assets should be protected.

Kankoyo MP Percy Chanda (PF) said the Bill that would protect Tazama was biased because parastatals such as Zamtel and Zesco also needed the same immunity to their assets.

Monze MP Jack Mwiimbu (UPND) said that only core Tazama assets should be protected because Tazama was a commercial entity which should be left to operate on the market.

Mr Mwiimbu said that protecting all the assets would promote inefficiency, as it was the case with councils and the universities because they could not be compelled to pay their debts.

Lusaka Central MP Guy Scott (PF) said that protecting Tazama assets would affect Zambia’s credit rating especially that the minister had not stated the reasons for the decision.

He said Parliament needed to be informed if Tazama was found in default by any court or if there were any reasons for the move otherwise the Bill should be withdrawn in the interest of the national credit rating.

Works and Supply Minister Mike Mulongoti said that the Government was just trying to protect the national property because replacing it was costly.

Local Government and Housing Minister Benny Tetamashimba said that Government was not protecting the assets alone because Tanzania, which was also a co-owner of the company was alive to the decision.

[Times of Zambia]

4 COMMENTS

  1. The government should be commended for this. Why are they opposed? Is it because the UPND leader enriches himself on the graves of parastatals? He has an interest in this. The argument of credit rating does not hold water. We have been through the worst in terms of indebtedness and we could not be in a better position now. Lenders will always lend to a country like Zambia no matter what. They will always que up to shackle us. We have resources that many countries would like to lay hold of. We must protect TAZAMA.

  2. The Petroleum industry in Zambia is very lucrative, hence the mushrooming of service and filling stations all over the country. These MPs have interest because some of them own these businesses and they do not want TAZAMA to thrive so that they can import cheaper products from the south.

  3. What is the opposition(PF & UPND) really saying?

    At all costs protect ZAMTEL assets but don’t protect TAZAMA assets .The Energy sector is less strategic than the CommunicationS sector.

  4. I think th PF MP has a point and i think Dr.Scott has a point too. To start with why should they only Protect Tazama, the should start by Protecting Zamtel, which of course government has an intrest on it( a cut-could be), if they dont Sell Zamtel, and also prtect Zesco it would make sense to protect Tazama…Dont tell me that ZAmtel is not strategic every country needs communication, every country needs electricity there all important therefore all should be proetcted..there is something behind this move from government it will later be know to the public…Thats why Dr.Scott has said the government should mention why the protection…they should be a problem somewhere

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