Government and First Quantum Minerals (FQM) have concluded high-level discussions on electricity supply and migration to the new power tariff structure.
Among the issues discussed was the quality of electricity supply to FQM Operated Mines and the restriction of ZESCO power supply.
At the conclusion of the two-day high-level talks on Friday 18th August, 2017, it was resolved and agreed by all parties involved in the discussions that the FQM Operated Mines will be deemed to have migrated to the new tariff structure with effect from January, 2017.
Secondly , government, through ZESCO, will put in place measures to ensure continuous, stable and full supply of power to FQM Operated Mines, including importation of power from alternative suppliers.
Arising from this development, normal power supply has been restored to FQM operated mines.
FQM was represented during the meetings held in Lusaka by Matt Pascal – Director of Operations, Hannes Meyer – Chief Financial Officer, and John Dean – Commercial Manager, while government was represented Ministry of Labour, Ministry of Energy, Ministry of Mines, Ministry of Finance, and Zesco.
This contained in a joint statement by minister of Energy David Mabumba and Minister of Finance, Felix Mutati, in Lusaka today.
“At the conclusion of the two-day high-level talks on Friday 18th August, 2017, it was resolved and agreed by all parties involved in the discussions that the FQM Operated Mines will be deemed to have migrated to the new tariff structure with effect from January, 2017.”
This is good news. FQM will now pay arrears starting from January to date into the future. At least they bought time to wait for increased copper price on world market from $5,500 to $6,500. So impact on cash flow is not that severe. Mopani Copper Mines (MCM) should also back out of that court case and own up. There is absolutely no merit in that case. We poor private citizens are paying even higher tariffs
Look at the nationalities of who was representing FQM. No name suggesting any Zambian is closer to the decision makers. With all the educated zambians does it mean these investors cant even be empowering locals for high level management skills.
I thought power restriction was only CEC to Mopani mines. So even Zesco restricted power to FQM mines? So why did Richard Sakala and his Daily Nation target an innocent CEC with such dirty attacks? It must be the same argument then, the cost of Zesco supplying power to CEC, to Mopani, to FQM. So why is Richard Sakala and his Daily Nation targetting an innocent CEC with such dirty and shameless attacks? If FQM has done it why can’t Mopani done it too? Who does Mopani think will pay for its power consumption so that they make money? Why hasn’t FQM threatened to lay off workers the way Mopani is blackmailing our country? I pay for power in my house and Mopani wants free power? Shame on Mopani!
I remember that while campaigning last year, underfive and his UPNDonkeys promised to reduce the price of power to everybody. Let’s hear from the UPNDonkeys please, or Spaka like Donkeys, are you still consulting with underfive?
Maybe Mopani should wait until 2026 when underfive MAY become President and reduce the price of power to K100 per month.
Meanwhile DRC has suspended taxes for all mining companies. I don’t know how this will benefit the country.