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Friday, August 14, 2020

Government withdraws motor vehicle replacement allowance for Cabinet Ministers

Economy Government withdraws motor vehicle replacement allowance for Cabinet Ministers

Secretary to the Cabinet Roland Msiska
Secretary to the Cabinet Roland Msiska

Government has withdrawn the motor vehicle replacement allowance for Cabinet ministers effective January 1, 2019 in adherence to the austerity measures government has put in place.

Secretary to Cabinet Roland Msiska said government has made the decision because it is fiscally untenable to continue providing the allowance at the fixed monthly rate of K32, 715.20 for each Cabinet and Provincial Minister which was being effected through the payroll.

Dr Msiska announced the development in a press statement issued to ZANIS in Lusaka yesterday.

He stated that the introduction of a motor vehicle replacement allowance was seen to be more cost effective as government would not have to spend more on maintenance and insurance of motor vehicles for ministers.

Dr Msiska explained that since independence, ministers and parliamentary presiding officers have been entitled to personal to holder and utility vehicles and fully furnished houses.

He said this was however revised by Government through circular 12 of 2018 issued on June 15, 2018 which abolished the provision of personal to holder motor vehicle and free furniture and introduced the motor vehicle replacement allowance.

Dr Msiska said the abolishment was in line with government’s pay policy of 2009 and recommendations of the Salaries Review Report of 2011 to rationalize and harmonise salaries and conditions of service in the public service.

He further added that the abolishment was in line with government’s implementation of austerity measures in view of the country’s current fiscal challenges.

Dr Msiska said all affected and eligible offices shall revert back to their previous conditions of service which require that they are provided with personal to holder vehicles and furnished houses.

The Secretary to Cabinet explained that requests by Members of Parliament to have the motor vehicle replacement allowance extended to them was unjustified as they were not entitled to in their conditions of service.

Dr Msiska explained that emoluments presently payable to Ministers and Parliamentary Presiding officers are provided under the ministerial and parliamentary offices Emoluments Act Cap 262 of the Laws of Zambia.

He said Statutory no. 63 of 2018 as amended is the emolument that is in force providing for special allowance, utility and constituency allowance and that personal to holder entitlements for Members of Parliament are not statutory but effected through circulars issued from time to time by the Secretary to Cabinet.


    • So we are moving from a bad policy to go back to another bad policy where money is being spent like there is no tomorrow? What type of vehicles are these that you are going to get the ministers as personal to holder? As usual it will be luxury SUVs straight from the show room costing us over USD 50,000 each. Its too much the rest of Zambians are suffering and yet the govt continues to treat its senior officers as if they are gods, we are spending too much on things which add no value.

    • I drive a $42,000 European car I bought 5 years ago. I service it per manufacturer’s recommendations and depending on what type of service is recommended, the highest maintenance fee I have paid is $1200. All the other services are at least btn $450-$650 dollars.
      Now can someone please tell me who has a car that needs $3300 to maintain a month? That’s like buying a new car every year. This is theft! Preposterous if you ask me!

    • @Olivia Pope, use better math than the thieves of PF. your huge SUV should trade-in, it’s costing you too much. Expensive oil is full synthetic, I change every 2 months. Cost $75. I get Mileage rembesment at 50 cents per kilometer. My car is same as HH in 2016. And I drive more than Vice-president Davies Chama.
      $3300??? Baffikala..

    • @Nostradumus; my car is not an SUV. In any case the $450-$650 is what I spend annually. I don’t need to trade it in because it’s paid off and is good for another 10 years. I have better investments for my money a new car is not an investment.

    • Extravagances of the have not copycats desirous to live like kings in the midst of a poverty stricken population!

    • These are the right measures to undertake. When we say there are taking austerity measures they should be seen to start at the top. However, those allowances were extremely extravagant it was ungodly.

      We will send another list of allowances to cut using normal channels and those should be enacted yesterday as well. On the salaries that need to be paid back per the ConCourt decision, they immediately have to.

      Margaret can easily find this money out of the discretionary budget and pay back since these ministers were serving at the pleasure of the President. Those costs can then be offset by contingent liability on the balance.

      It’s as simple as moving money from your left pocket and you put it in your right pocket but meanwhile, you have met a legal requirement by following the…

    • Continued…

      It’s as simple as moving money from your left pocket and you put it in your right pocket but meanwhile, you have met a legal requirement by following the rule of law.

      These are the little foxes that spoil the brew and cabinet can not overlook these things. Very important especially that we need to demonstrate that no one is above the law among the smart people of the Zambian Enterprise.

      Margaret knows what I mean because she is a great accountant like myself … Let’s roll.

  1. “He said this was however revised by Government through circular 12 of 2018 issued on June 15, 2018 which abolished the provision of personal to holder motor vehicle and free furniture and introduced the motor vehicle replacement allowance.”

    But that is barely six months, Mr Msiska you mean that you did not know what you were doing? No wonder some trib.als will call them chiimbwi no plan, always misleading government, and the government itself doesn’t seem to think through decisions or recommendations before effecting them.
    The only problem with the trib.al opposition is that they are much worse, they don’t know what they stand for, no leadership qualities, they don’t know whether they are coming or going. Just look at the trib.al MPs (upnd), instead of criticising they want the…

  2. This is a step in the right direction by PF!

    So this is what Kambwili failed to read and ended up misleading his friend HH???

    We want to see Govt implementing these austerity measures and I’m happy to see this

  3. “Personal to holder vehicles and furnished houses. .” this is what they will revert back to. Now friends those of you who believe that politicians are your servants you need to think again. Our leaders are not our servants but they are kings who live lavishly at the expence of the poor.

  4. It is long overdue.Infact this has been very expensive. Normally you service a vehicle after 3 months and insurance is once a year but these leaders have been getting these allowances every month. This was free money. These people mwandini! One would wonder why they even failed to pay back those illegal salaries and allowances when they have been getting ‘free money’

  5. Dr.Msiska we know you are very educated but you cannot insult our intelligence. Okay you remove the K32,000 vehicle replacement allowance from Minister’s salaries but at the same time you increase their salaries by K41,000.What difference does it make? That vehicle allowance is hiding in the salary increment

    • heheh, i have seen one foolish person saying ati “great move” now that is a serious mental illness. These guys are so smart and dull…They should come here(LT) and get some wisdom

  6. Hell noooooooooooooo this nonsense.How do u come up such use—less laws mwebantu.Where on earth can u service a brand new car every month @ K33,0000.Foooooooooooooool this poor country can’t develop.I have said before we don’t have systems to stop pipo from stealing but we have systems of collecting revenue to enrich these ministers.Awe takwaba guys.Be humbe and help the poor.

  7. The DR.Msika is doctor of stealing from poor pipo.A doctor who can’t save Zambians.Stop calling doxtor but mundrerer of innocent pipo.Education should help improve lives of pipo not for few old pipo who don’t care about the future of their children.China has been planiing for 200years but u’re busy planing to have a house.What a capacity of a brian of these ministers.Think about the country.Think about having avarage income of citizens of $200o by 2030.Think of becoming the best country in southern africa n Africa.Think of becoming the only country in Africa to be a middle income country.Not ifyo ifybupaba

  8. Politicians are gods, the feed from the poor, we pay tax, they eat our hard earned money, should you not pay tax hell will fall on you. These gods are so greedy.

  9. Dr Msiska why is it that you seem to use your ‘education’ against your people?? Preoccupation is creating all forms of allowances in all names. You sell yourself a new car from gvt at give away loan, tomorrow you create an allowance on top of the car and backdate payment for God knows how long then after collecting the Jack port you change ‘allowance’ to another new vehicle and ..
    Please change as these are crimes agai st humanity. African educated are really a curse.God help us…take them away

  10. What is so sad is that you do not get the stupid allowances paid to ministers in developed countries yet a country like Zambia that is a developing nation gives away too much in allowances.

  11. This is why it has been difficult for our country to develop the average salary in Zambia is in the range of $300 to & $700 per month and yet we pay vehicle allowance of $3000 per minister & only God know how many other allowances we pay them it’s no wonder 50% of the budget goes to paying salaries & allowances .To make things even worse we have a government that is so corrupt they can buy a fire engine at a million dollars each when the size of our economy cant manage we can’t keep wasting money like this when 90% of the work force gets below $1000 don’t these guys understand they can’t live like American ministers simply because in America 75% of the work force earns above a few thousand dollars so their economy can support them. I cry for my country we bought planes at 45 million…

  12. I cry for my country we bought planes at 45 million dollars and want to build a road at 1.2 billion dollars when our economy is only worth 25 billion dollars it’s no wonder we have to borrow to build anything ;am asking every Zambian out there do you think this is the right way to lead a country when an average Zambian who only earns a $500 will continue to pay even more taxes when we waste money like this .This is not right whether on earth or in heaven we should demand better from our government .Let us demand better we need transparency we need sanity in Zambia or else we will continue wallowing in poverty this is not about PF or UPND it’s about our lives because a country like ours should not pay anyone $3000 per month for vehicle allowances

  13. You don’t know which direction you are taking us $3300 per month as allowance, what of other allowances how much are you getting plus your salary please tell us the broc figure?????

    • The day we stop seeing politics as money making venture is the time this country will begin to make real economic strides.

  14. This is a cosmetic austerity be serious and remove the electricity subsidy for the Mines as has been done for the public. Why should Government subsidize profit making entities? They make $6 billion a year and the country only gets $300m a year from this. This is an Oxymoron for the poor to subsidize the rich. Government, Let’s get our heads in order.

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