Thursday, March 28, 2024

Govt urged to invest more into the Zambia Railways Limited (ZRL) infrastructure

Share

Zambia Railways
Zambia Railways

Kabwe Chamber of Commerce and Industry (KCCI) president, Christabel Ngongola, has urged government to invest into the Zambia Railways Limited (ZRL) infrastructure to make it competitive and efficient.

Ms Ngongola says following the introducing of the SI number 7 of 2018, there was need for government to invest more in the railway firm as it is the bloodline of the country’s economic system which she said lies in the heart of a proper and well-functioning transportation system.

ZANIS in Kabwe reports that Ms Ngongola was speaking at Tuskers Hotel in Kabwe last evening during a sensitisation cocktail function on the Statutory Instrument number 7 of 2018.

“SI has been received with a lot of apprehension and that it is important to raise awareness among the major stakeholders in the transport sector, “ she stated..

She said the enactment of the new legislature is an indication that ZRL is going through a facelift and that it is important for businesses to oblige with the law.

However, she said ZRL needs major infrastructural investment and urged government through the responsible ministry and other financiers to weigh in that direction.

Ms Ngongola urged the government to continue providing an enabling business environment to ensure sustainability of both new and existing industries in Kabwe.

And Zambia Railways Limited (ZRL) Chief Executive Officer (CEO), Christopher Musonda, said the SI has been controversial and brought anxiety in the chambers and business.

Mr Musonda said the SI will make Zambia competitive and the preferred investment destination in the region.

He said ZRL Zambia has a choice because she is the hub of the sub Sahara Africa by solidifying her position.

He added that ZRL has held a series of high level sensitisation meetings to build the capacity and answer the touch questions that are being asked.

Meanwhile, Central Province Minister, Sydney Mushanga, says the provincial administration is in full support of the Statutory Instrument (SI) number 7 of 2018.

The instrument will ensure 30 percent of bulk cargo moves onto rail from road to increase lifespan on roads and this move is expected to improve.

Mr Mushanga says the new legislature brings on board numerous economic benefits to only Central Province but the entire country.

The minister said the introduction of the SI 7 by government guarantees additional tonnage to Zambia Railways Limited (ZRL) and increased revenue for the company.

He said ultimately this will lead to the restoration of the country’s rail market shares that ambiguously currently stand at five to eight per cent.

ZANIS in Kabwe reports that Mr Mushanga said this in a speech read for him by Kabwe District Commissioner (DC), Dominic Mulenga during a sensitisation meeting on new legislature that was held at Tuskers Hotel in Kabwe last evening.

“ This is a sharp contrast to the road sector that commands the lion’s share of about 92-95 per cent, “ he said adding that : “ of the 95 per cent, over 90 per cent has been taken up by foreign truckers depriving the country of the much needed revenue.”

He observed that the SI 7 by virtue of reducing the cost of doing business through the optimization of all transportation modes will also make the country more attractive for investments.

“ The reducing of the number of trucks will further ensure the roads are sustainable and safe that will see government save a lot of money that is currently being spent on roads maintenance and rehabilitation, “ he said.

Mr Mushanga noted that the move will also see reduction in accidents and carnages on the country’s major roads thereby avoiding the resultant costs.

The minister hailed the efforts ZRL has made with other rail companies in the region that include the acquisition of extra rolling stocks and track rehabilitation alongside investment in communication technology.

He thanked ZRL board, management, the union leadership and staff for effecting the SI.

Mr Mushanga urged industries to support ZRL in the implementation of SI number 7 of 2018 as it will promote job creation, poverty reduction and increase the country’s Gross Domestic Product (GDP).

7 COMMENTS

  1. Sometimes it is interesting to what happens in this country. The issue of Zambia Railways is not there or here. Really, what is so special about SI? I am happy that people are now seeing the complexity. Some low calibre managers in ZR could celebrate that things were going to improve suddenly because government issue the SI thing just like that. From 1st, July, 1967 to 1alot of 1991 ZR enjoyed monopoly (SI) and ZR received a lot of help technically and financially. What happed? Indeed, some will say government inference, really? The biggest problem with ZR having inept managers. This is a company where a G12 or certificate holder could be promoted to senior mgt as director. Look at the decisions made to do Euro bond, u spend $6million on coaches and the line is death trap, defective…

  2. cont;,
    defective rolling stock. When the refurbished coaches were brought in the country the entire consist derailed between Ndola and Kitwe because of the rotten line. The other empirical evidence of inept managers is that when foreign managers came to ZR eg hifab, spoorned under RSZ, operations improved but the moment Zambians took over poor performance was evident.

  3. Whom are you aiming this at Mwansa Mbulakuima? ZR had a tough time collecting money from ZCCM for copper transported on its line. The freight line is the lifeline of any railway company and if it doesn’t bring in money, a railway company is sunk. I have had occasion to read ZR’s annual reports in the late 1980s and early 1990s. ZCCM and other parastatals were the main culprits.

  4. The main problem here is GRZ passing laws and hoping for the best to happen. This is not possible without constant intervention and strategic thinking by GRZ…..if this gov was serious , we all know how long Zambia has been without a rail industry , GRZ should know this and should have seconded engineers and managers to other countries with developed rail industries like India and S.A to learn how to run a sucsesffull railway.

    BY now we should have had qualified experienced people in position…

Comments are closed.

Read more

Local News

Discover more from Lusaka Times-Zambia's Leading Online News Site - LusakaTimes.com

Subscribe now to keep reading and get access to the full archive.

Continue reading